Business Aircraft Market Research Report - Global Forecast till 2030

Business Aircraft Market Information By Type (Large Jet, Mid-size Jet, and Light Jet), By End User (Operator and Private), and By Region (North America, Europe, Asia-Pacific, and the Rest of the World)ÔÇöForecast till 2030

ID: MRFR/A&D/2650-HCR | February 2023 | Region: Global | 110 Pages         

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Business Aircraft Market

Business Aircraft Market Size Valued at USD 42.5 Billion, market Grow at a CAGR Of 4% by 2022 -2030

Segmentation
By Aircraft Type Fixed-Wing Rotary Wing
By Service Fractional Ownership Charter Jet Card Programs
By Application ourism VIP Transportation Others
Key Players
Companies Profiled   Cessna Aircraft Company (US)   Dassault Aviation SA (France)   Bombardier Inc. (Canada)   Gulfstream Aerospace Corporation (US)   Saab AB (Sweden)   Piper Aircraft (US)   Textron Aviation (US)   Embraer SA (Brazil)   Pilatus Aircraft Inc. (Switzerland)   Honda Aircraft Company (US).
Drivers
Market Driving Forces   The aviation industry's simultaneous improvement and significant growth in the global economies
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Global Business Aircraft Market Research (MRFR Insights)


The  business aircraft market is projected to register a CAGR of 4% from 2022 to 2030. The  business aircraft market size is expected to reach approximately USD 42.5 Billion by 2030. The launch of projects is what is driving the growth of the  market. Business aircraft are those used by companies and organizations for business-related passenger or freight transportation. Most people flying on these aircraft do so for personal or business purposes. The jet offers extended flying times, adaptability, safety, security, and reasonably priced access to locations across the nation and around the globe. Adding new models to the current fleet is driving the expansion of the  market. New aircraft, such as the Gulfstream G700 and the Bombardier 7500, are in high demand due to their advantages.


COVID-19 Impact Analysis


Due to travel limitations and severe aviation regulations brought on by the pandemic, demand for air travel has decreased since the coronavirus outbreak. The International Air Transport Association (IATA) published the IATA World Air Transport Statistic (WATS) publication in 2021 with performance data for 2020. According to the publication, 1.8 billion passengers flew in 2020, a decline of 60.2% from the 4.5 billion who did so in 2019. By considering their issues during COVID-19, governments and regional groupings from around the globe have defined supply chain management solutions.


Business Aircraft Market Dynamics


Technological improvements are significantly impacting the market for business jets. Most people who use these jets do so for either personal or professional reasons. The jet offers efficient long flight periods, safe and secure travel, and convenient, economical access to sites domestically and abroad. The most cutting-edge technologies, such as fighter technology, are used by business jets with the best safety features, the largest cabins, the most sophisticated flight decks, and other luxuries. Major corporations are concentrating on producing technologically sophisticated business jets to provide clients with an unsurpassed experience with all the safety features. Higher net order expectations, new orders, and deliveries in the  market are driving the market's expansion. It has been determined that more than 30,000 commercial aircraft exist ly. Even many major firms are now active in the airline business, boosting competitiveness ly and opening up new chances for the  market for business aircraft.


Market Drivers



  • Replacement of old aircraft fleets


Existing owners and operators buy new business jets in large numbers to replace their older aircraft or grow their fleets. 2,000 business aircraft are anticipated to retire between 2016 and 2025, with a business jet's average age being 17. The retirement age for business jets has been lowered due to environmental rules and the upgrading of airspace, which has increased the rate at which they are being replaced. It is anticipated that many business aircraft around the globe will have operational restrictions due to environmental rules and actions taken by various governing bodies toward a greener environment. A business jet's fuel efficiency decreases with age, and its carbon footprint increases. It drives the demand for business jets in a significant way.


Market Restraints:



  • Uncertainty of orders


Since 2019, there has been a lack of assurance regarding orders for business aircraft. There are uncertainties in this industry because it depends on numerous factors, including the state of the  economy, the number of HNWI, fuel prices, and demand. Economic expansion, HNWIs, fuel costs, the accessibility of infrastructure, and the capacity to own business jets are all factors that affect orders. In contrast to the commercial aircraft market, where few buyers and orders are given in advance, the business jet market has a higher percentage of individual buyers and a high degree of customization, making it unpredictable when forecasting orders and limiting the market growth.


Market Opportunities:



  • The emergence of e-VTOL aircraft


Traffic time within a city has increased as intracity travel has become more congested. Traditional business jets are ineffective in such circumstances since they take off and land at airports, the availability of which is typically restricted to urban areas. VTOL aircraft might be useful for intracity travel because they can take off and land at several vertiports inside a city. The notion of urban air mobility includes e-VTOL aircraft, which make city travel easier because they are less expensive and noisy. Technology breakthroughs in battery capacity, the construction of infrastructure like vertiports and charging pods, and a strong legal framework are required for the concept to be commercialized. The market for business aircraft is anticipated to expand with the introduction of e-VTOL technology because they are already needed.


Business Aircraft Market Segmentation


Type Insights


The  business Jet market segmentation, based on type, is large jet, mid-size jet, and light jet. The  business aircraft market growth was prominently high under the large jets category in 2021 due to their significantly higher cost than light jets. As a result of their significantly higher cost than light jets, the large jet sector today holds a monopoly over the industry in terms of market share. It is because large aircraft come equipped with luxuries like a business and guest lounge, a private entertainment area, and a private apartment with a toilet. The demand for huge planes, which can hold up to 19 passengers, was quite high.


End User Insights


The  business aircraft market segmentation, based on end user, is an operator and private. In 2021, the operator segment accounted for the largest market share of the  market. The demand for business jet operators across North America and Europe and a rise in fleet modernization are driving the segment's expansion. During the forecast period, the private segment is anticipated to develop significantly. It is a result of the rise in high-net-worth individuals' and corporations' demand for private jets.


Global Business Aircraft Market Share, by Region, 2021 (%)
Business Aircraft Market Share, by Region, 2021
Business Aircraft Market Overview, by Region


By region, the  business aircraft market has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. North America accounted for the most extensive market share. Asia-Pacific will exhibit the highest CAGR during the forecast period.


North America


North America dominated the  market for business aircraft share in 2021. It can be linked to the existence of a sizable population of high-net-worth individuals as well as significant business jet manufacturers such as Textron Inc. (US), Bombardier Inc. (Canada), Gulfstream Aerospace (US), and Piper Aircraft (US), among others. Furthermore, the accessibility of airports across North America makes business travel to the continent simple. Geographically, North America is the largest region, so business travelers must choose the quickest means of transportation to save time, which is why business jet demand is rising.


Asia-Pacific


Asia-Pacific accounted for the fastest growth rate in the  market for business aircraft in 2021. India, China, and Japan are growing their infrastructure development and investment, which is what is causing the rise. In addition, because of the rising use of business jets by operators and service providers in India, China, and Japan, these nations are anticipated to lead the Asia-Pacific market for business jets. Due to other travel limitations and challenging long-distance journeys, Asia-Pacific customers favor private aircraft. Even on the  market, Asia-Pacific has the biggest demand for large jets.


Business Aircraft Market Competitive Landscape


The leading players are currently concentrating on implementing methods like product innovations, mergers and acquisitions, new advancements, joint ventures, collaborations, and partnerships to improve their position in the  market for business aircraft position. In April 2022, Exclusive Jets, LLC, doing business as FlyExclusive, is a leading supplier of upscale private jet charter experiences for up to 30 Cessna Citation CJ3+ aircraft. Textron Aviation announced an investment partnership with Exclusive Jets, LLC. By 2023, FlyExclusive expects to get five aircraft; by 2025, it will have acquired more aircraft. In August 2022, to participate in charter operations with Air Corporate SRL, Bombardier purchased the first Challenger 3500 Business Jet located in Europe.


The  business aircraft market research prominent players include Airbus SAS, Dassault Aviation, Textron Inc., Joby Aviation, Bombardier, Gulfstream Aerospace Corporation, Zunum Aero, Embraer SA, Cirrus, and HondaJet, among others.


Scope of the  Business Aircraft Market Report


Type Outlook



  • Large Jet

  • Mid-size Jet

  • Light Jet


End User Outlook



  • Operator

  • Private


Region Outlook



  • North America

    • US

    • Canada

    • Mexico



  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

    • Rest of Europe



  • Asia-Pacific

    • China

    • India

    • Japan

    • Australia and New Zealand

    • Rest of Asia-Pacific



  • Rest of the World

    • South America

    • Middle East

    • Africa




Objectives of the Study


The objectives of the study are summarized in 5 stages. They are as mentioned below:


Business Aircraft Market Forecast & Size:


To identify and estimate the market size for the  business aircraft market report segmented by type and end-user by value (in US dollars). Also, to understand the consumption/ demand created by consumers in the  business aircraft market forecast between 2022 and 2030


Market Landscape and Trends:


To identify and infer the drivers, restraints, opportunities, and challenges in the  business aircraft market growth


Market Influencing Factors:


To find out the factors which are affecting the  business aircraft market size among consumers


Impact of COVID-19:


To identify and understand the various factors involved in the market affected by the pandemic


Company Profiling:


To provide a detailed insight into the major companies operating in the market. The profiling will include the company's financial health in the past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.



Report Scope:

Report Attribute/Metric Details
  Market Size   2030: USD 42.5 Billion
  CAGR   4% CAGR (2022-2030)
  Base Year   2021
  Forecast Period   2022-2030
  Historical Data   2020
  Forecast Units   Value (USD Billion)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Type and End-User
  Geographies Covered   North America, Europe, Asia-Pacific, and the Rest of the World (RoW)
  Key Vendors   Airbus SAS, Dassault Aviation, Textron Inc., Joby Aviation, Bombardier, Gulfstream Aerospace Corporation, Zunum Aero, Embraer SA, Cirrus, and HondaJet
  Key Market Opportunities   The emergence of e-VTOL aircraft
  Key Market Drivers   Replacement of old aircraft fleets


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Frequently Asked Questions (FAQ) :

The  business aircraft market forecast period is 2022 - 2030

The market is expected to register a CAGR of ~4% over the next 10 years, according to  business aircraft market research.

Asia-Pacific is expected to register the highest CAGR during 2022 - 2030

North America held the largest share in 2021

The market size is expected to be USD 42.5 Billion by 2030.

Airbus SAS, Dassault Aviation, Textron Inc., Joby Aviation, Bombardier, Gulfstream Aerospace Corporation, Zunum Aero, Embraer SA, Cirrus, and HondaJet are the major companies operating in the  market.