Military aircraft play a vital role in ensuring national security by carrying out surveillance, reconnaissance, airlift, air-to-air refuelling, and close air support missions. These aircraft are equipped with advanced sensors, avionics, weapons, and communication systems to ensure effectiveness in combat operations.
The modernization of existing fleets with upgrades of sensors, radars, and weapons systems have increased their capabilities. The global Military Aircraft Market is estimated to be valued at US$ 106.9 Mn in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends driving growth in the military aircraft market is the modernization of existing fleets. Many countries are adopting strategies to upgrade existing aircraft rather than procuring new ones due to high costs. This is done by integrating newer technologies to enhance the capabilities of in-service aircraft. For instance, the United States has undertaken service life extension programs and various modernization efforts for aircraft fleets such as F-15, F-16, A-10 and C-130. Similarly, European countries are extensively upgrading their Typhoon and F-16 fleets. The upgrades aim to integrate advanced avionics, electronic warfare systems, weapons, and other technologies to prepare the existing fleets for future battlefields. This trend of modernizing aging fleets rather than replacements is expected to fuel demand in the global military aircraft market over the forecast period.
Segment Analysis
The military aircraft market is dominated by the fighter jet segment which accounts for over 40% share of the overall market. Fighter jets are essential for a country's defense capabilities and therefore witness steady demand. Subsonic aircraft form another major segment and are expected to witness growth due to increasing orders for utility and transport aircraft from emerging economies looking to modernize their fleets.
Key Takeaways
The Global Military Aircraft Market Demand is expected to witness high growth over the forecast period driven by increasing defense budgets globally and geopolitical tensions. The demand for fighter jets, transport aircraft, and utility helicopters is surging in the Asia Pacific region driven by countries like India, China, and South Korea looking to boost indigenous production and reduce import dependence.
Key players operating in the military aircraft include Lockheed Martin Corporation, The Boeing Company, Northrop Grumman Corporation, Saab AB, BAE Systems PLC, Rostec, Aviation Industry Corporation of China, Korea Aerospace Industries Ltd, Mitsubishi Heavy Industries Ltd, Leonardo SpA, Textron Inc., Airbus SE, Dassault Aviation SA, and Piper Aircraft Inc. Lockheed Martin has the largest share in fighter jet manufacturing globally and is aggressively marketing the fifth generation F-35 jets. Boeing enjoys a strong position in military transport aircraft production while Northrop Grumman and Airbus are also prominent players catering to this segment. Asian players like Aviation Industry Corporation of China and Korea Aerospace Industries have ramped up defense manufacturing capabilities in recent years to scale up indigenous platforms and components.
The demand for aircraft upgrades, modernization programs and life extension activities are also driving opportunities in service and aftermarket revenues for key players. Regional analysis suggests that the Asia Pacific military aircraft market will witness the fastest growth over the next decade led by countries expanding defense budgets and building indigenous capabilities. Countries are also open to co-development and technology sharing partnerships to access key defense technologies.
Explorer more information on this topic, Please visit-
