Global Commercial Aircraft Manufacturing Market Size, Share, and COVID-19 Impact Analysis, Russia-Ukraine War Impact, Tariff Analysis, By Product & Service (Aircraft Parts & Components, Large Commercial Aircraft, Aircraft Engines & Services, Regional & General Aviation Aircraft, and Helicopters), By Application (Passenger Travel and Cargo), and By Region (North America, Europe, Asia-Pacific, Latin America, Middle East, and Africa), Analysis and Forecast 2025 - 2035

Commercial Aircraft Manufacturing Market Summary, Size & Emerging Trends

According to Spherical Insights, the Global Commercial Aircraft Manufacturing Market Size is Expected to grow from USD 327.5 Billion in 2024 to USD 616.5 Billion by 2035, at a CAGR of 5.92% during the forecast period 2025-2035. An increasing demand for air travel is a key growth driver for the global commercial aircraft manufacturing market.

Key Market Insights

• North America is expected to account for the largest share in the commercial aircraft manufacturing market during the forecast period.
• In terms of product & service, the aircraft parts & components segment is projected to lead the commercial aircraft manufacturing market throughout the forecast period
• In terms of application, the passenger travel segment captured the largest portion of the market

Global Market Forecast and Revenue Outlook

• 2024 Market Size: USD 327.5 Billion
• 2035 Projected Market Size: USD 616.5 Billion
• CAGR (2025-2035): 5.92%
• North America: Largest market in 2024
• Asia Pacific: Fastest growing market

Commercial Aircraft Manufacturing Market

The commercial aircraft manufacturing market includes the production of civilian aircraft, including cargo planes and components like aerospace engines, propulsion units, auxiliary equipment, and parts. The industry manufactures a range of aircraft, from large long-distance planes to smaller regional jets, for passenger and cargo transport. Commercial aviation in air transportation provides potential economic and social benefits. The positive trends towards increasing global passenger air traffic, along with the low-cost carriers, are expected to drive demand for narrow-body aircraft. Advancements in aerodynamics, fuel efficiency offer significant opportunities for innovation and expansion. Further, aerospace innovation includes AI and ML expansion, sustainable aviation, autonomous aircraft, additive manufacturing, and more, reshaping the commercial aircraft manufacturing market.

Commercial Aircraft Manufacturing Market Trends

• Technological innovation in electric and hybrid aircraft, with a consistently increasing electrification of aircraft systems and research on electrical propulsion
• Digitalization and Industry 4.0, including AI, industrial IoT, blockchain, digital twins, big data analytics, and advanced robotics, that are achieving sustainable manufacturing
• Integration of advanced avionics and connectivity enhances aircraft performance and meets evolving industry standards
• Integration of AI-powered systems for a more efficient, safer, and customer-centric future of air travel

Commercial Aircraft Manufacturing Market Dynamics

Driving Factors: Demand for air travel is driving growth in the commercial aircraft manufacturing market

The growth of the commercial aircraft manufacturing market is driven by increasing demand for air travel, with increasing economic growth and an expanding middle-class population. It was estimated that between 2004 to 2019, flights increased steadily, rising from 23.8 million to 38.9 million annual global flights. Domestic leisure travel has a projected 2% growth rate in 2023 and 2024, while international inbound travel volume could yet reach 31% growth in 2023 and 18% in 2024. Trends towards advanced technology and robotics for enhancing the traveller's safety, security, and efficiency, providing investment opportunities.

Restrain Factors: The Commercial Aircraft Manufacturing market faces challenges due to the increased manufacturing cost and high investments in R&D

The manufacturing process for aircraft is complex, requiring specialized equipment, materials, and skilled labor. Further, the lengthy and expensive certification process involving rigorous testing and stringent safety standards is challenging for market growth. The profitability of aircraft manufacturers is impacted by the high cost. However, technological advancements, including automation and 3D printing, have led to more efficient and cost-effective manufacturing processes with reduced labor costs.

Opportunity: Increasing cargo services, along with an increase in trade among nations, are creating new opportunities in the commercial aircraft manufacturing market

There is an increasing demand for freighter aircraft, which are specifically designed for carrying cargo, including high-value products like electronics, pharmaceuticals, and luxury goods. For instance, Boeing and Airbus have developed freighter aircraft technologies that enable passenger aircraft to carry cargo in the passenger cabin.

Challenges: Factors including economic conditions, geopolitical risks, and changing consumer preferences are challenging the commercial aircraft manufacturing market

Factors, including economic conditions, geopolitical risks, and changing consumer preferences, are challenging as they make it difficult to predict future demand and revenue.

Global Commercial Aircraft Manufacturing Market Ecosystem Analysis

The Global Commercial Aircraft Manufacturing Market ecosystem includes major commercial electric aircraft providers, private enterprises, distributors, suppliers, retailers, and end customers, including airlines and corporate companies. Key technologies involve advanced avionics and connectivity, and innovation in hybrid and electric aircraft. Market growth is driven by demand for increasing demand for air travel and technological advancements, while increased investment and manufacturing costs remain challenges. Opportunities, including the increasing demand for freighter aircraft designed for carrying cargo.

Global Commercial Aircraft Manufacturing Market, By Product & Service

The aircraft parts & components segment led the commercial aircraft manufacturing market, generating the largest revenue share. This dominance can be attributed to the growing global commercial aircraft fleet and fuel-efficient replacement parts. Some of the major aircraft parts & components include structural components, avionics, powerplant components, interior components, and auxiliary systems.

The large commercial aircraft segment in the commercial aircraft manufacturing market is expected to grow at a 6.6% CAGR over the forecast period, driven by the expanding air travel and investment in larger and fuel-efficient models for high-density routes. For instance, the Airbus A380 and the Boeing 747 are wide-body aircraft with extensive range and capacity.

Global Commercial Aircraft Manufacturing Market, By Application

The passenger travel segment is leading the commercial aircraft manufacturing market with a larger market share, due to long-term growth in air transportation. Further, an increasing disposable income, economic development, and middle-class population with improved standards of living are contributing to propel the market growth in the passenger travel segment.

The cargo segment in the commercial aircraft manufacturing market is projected to register a significant CAGR, driven by increasing investments in freighter aircraft capacity and modernization to meet the growing demands for cargo transportation. An increasing demand for air cargo services is anticipated to drive the commercial aircraft manufacturing market.

North America is expected to account for the largest share of the commercial aircraft manufacturing market during the forecast period,

driven by the existence of a stable supply chain, advanced research centers, and an increased focus on innovation and technology. An increasing emphasis on fleet optimization and modernization is promoting the market growth of commercial aircraft manufacturing.

The United States is experiencing steady growth in the commercial aircraft manufacturing market,

fueled by an increase in commercial air travel demand, modernized aircraft by major airlines, and innovation in aerospace technology with government support.

Asia Pacific is expected to grow at the fastest CAGR in the commercial aircraft manufacturing market during the forecast period.

With an increasing rate of air travel, emerging economies such as India, China, and Japan are escalating the market for commercial aircraft manufacturing. Further, substantial investment in aviation infrastructure, resulting in increased air traffic and fleet expansion, is promoting the market demand.

South Korea is expanding at a notable CAGR in the commercial aircraft manufacturing market,

due to increasing tourism and travel, which drives the demand for commercial aircraft manufacturing. Further, an increasing investment in new and fuel-efficient aircraft, owing to the rising need for dependable and effective air transport options, contributes to promoting the market.

WORLDWIDE TOP KEY PLAYERS IN THE COMMERCIAL AIRCRAFT MANUFACTURING MARKET INCLUDE

• Boeing Co.
• Embraer SA
• Mitsubishi Aircraft Corporation
• Bombardier Inc.
• Textron Inc.
• Lockheed Martin
• Dassault Aviation SA
• Pilatus Aircraft Ltd.
• Airbus
• Sukhoi Civil Aircraft
• Honda Aircraft Company
• Others

Product Launches in Commercial Aircraft Manufacturing

• In October 2024, India’s ambitious plan to develop a domestically-produced regional transport aircraft (RTA) is gaining momentum as Civil Aviation Minister K. Rammohan Naidu prepares to present a funding proposal to the Finance Ministry.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the commercial aircraft manufacturing market based on the below-mentioned segments: 

Global Commercial Aircraft Manufacturing Market, By Product & Service

• Aircraft Parts & Components
• Large Commercial Aircraft
• Aircraft Engines & Services
• Regional & General Aviation Aircraft
• Helicopters

Global Commercial Aircraft Manufacturing Market, By Application  

• Passenger Travel
• Cargo

Global Commercial Aircraft Manufacturing Market, By Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa