Published On: December 2022
A helicopter, also known as a chopper, is a rotorcraft whose thrust and lift are offered by the rotor. The helicopter can take off and land vertically, as well as fly forward, laterally, and backward- all thanks to the thrust and lift. The helicopter can be used even in remote and congested places where fixed-wing aircraft are not very easy to operate and fly owing to these features and benefits. Helicopters can also be used in contingencies since they have incredible mobility, specifically in confined spaces. They can reach any required location avoiding all road traffic and natural disasters such as floods and earthquakes. Moreover, modern helicopters have passenger seats, air conditioning, and improved soundproofing, which is attractive. Manufacturers are trying to create more visually appealing helicopters with carpeted interiors, and glossy exterior finishes in the global market.
According to the helicopters market outlook, the market size is estimated to reach USD 8.92 billion by 2030, growing at a CAGR of 5.4% between 2022 and 2030.
The helicopter market analysis suggests significant industry growth in the coming years, as these flying vehicles have low maintenance costs that will benefit the market's overall development. Helicopters have a simple design and use fewer moving parts than winged aircraft and planes. This is one of the most significant reasons for its growing popularity in the global aircraft market. Additionally, the helicopter's engine is less complicated to operate, resulting in greater reliability. Helicopters are pointed out for their long operating life and working time and overhaul as opposed to other aircraft engines.
Furthermore, the low maintenance cost of helicopter engines compared to the other rotary machines and improved flight dynamics provided by important players in the market are the key factors driving the demand for the product. According to the Helicopter Association International (HAI), the sales of military helicopters reached around USD 29.2 billion in 2019, and civil helicopters accounted for USD 17.82 billion sales-wise. Based on the end user's requirements, helicopter manufacturers' primary focus is fuel savings and operational efficiency. Technological breakthroughs in the aerospace and defense industry and the need for greater helicopter power performance are driven by the need to modernize military and commercial helicopters. Manufacturers are increasingly attempting to lower the overall weight of helicopter engines to minimize fuel consumption and improve cost-effectiveness. Besides, increased efforts by helicopter manufacturers and technological developments have minimized the size and weight of helicopters. A helicopter engine weighs about 10-15% of the overall working weight, depending on the model. Over the past five years, budget allotment in the defense sector has gradually reduced in wealthy countries.
According to the helicopters market analysis, for 2012-2021, the US Department of Defense requested a cut in defense funding by almost USD 487 billion. Europe adopted strict measures to cut military spending, with key countries like Germany, the United Kingdom, Ireland, Belgium, Spain, Italy, and France reducing overall defense spending from 2011 to 2018. A handful of developed countries are projected to make significant cuts to assist in optimizing their defense budgets. Hence, the reduced budget and scarce military expenditure are expected to hamper the market growth. More restraints and challenges are covered in the report as data from 2020 is studied along with key market trends. Moreover, the report also covers a key analysis of COVID-19 impact on the market with essential numbers.
Furthermore, there is an increasing popularity of commercial applications of rotorcraft in the Asia-Pacific and the Middle East and the boosting market growth in the European region. The emergence of COVID-19 significantly impacted businesses, especially in the US, Asia-Pacific, and Europe region, impacting the demand for helicopters, consequently having late deliveries, the allowance of minimal staff at production facilities, manufacturing closure, and minimal equipment availability across every market.
In addition, an increase in demand for changes in operational requirements, fuel-efficient rotorcraft, and expiring warranties- are the key factors anticipated to be market drivers over the predicted period for new helicopters.
According to the region-based helicopters market analysis, the North American market is expected to grow prominently during the forecast period due to the growing demand for rotorcraft in the oil and gas and renewable energy industries. The Asia-Pacific market had the largest revenue share in 2021 and is anticipated to grow. Due to the easing of space rules and the increasing growth of the regional aviation sector, countries like India and China are emerging as fast-growing markets. Growing adoption of advanced rotorcraft for public safety, law enforcement, and other para-public uses contributes towards creating several market growth prospects. Growth in oil and gas excretion, exploration activities, and the increased demand for air ambulances for medical purposes are also expected to be significant market drivers.