Market Trends of Aerospace Industry In Mexico
The Manufacturing Segment Will Showcase Remarkable Growth During the Forecast Period
- Growth in the demand for air travel within the country will lead to significant growth in terms of manufacturing new and technologically advanced aircraft to meet the growing aviation requirements within the country, and this is expected to drive market growth during the forecast period. According to the data presented by the Federal Agency of Civil Aviation (AFAC), in the first two months of 2023, the number of passengers at Mexican airports witnessed a growth of 28.2% year on year and amounted to 28.93 million passengers.
- Moreover, the combined efforts of the Mexican Federation of Aerospace Industry and American Industries have driven Mexico to emerge as a key hub for aircraft manufacturing. According to the Mexican Federation of Aerospace Industry, the aerospace manufacturing industry within the country accounted for 368 firms in mid-2022. As per official sources, around USD 75 million was invested during the first quarter of 2022 in aerospace equipment manufacturing in Mexico.
- In July 2022, the State of Querétaro announced that they had signed a cooperation agreement with Airbus to increase the industrial activities of the aerospace company in Mexico. Such factors render a positive outlook for the manufacturing segment during the forecast period.
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Maintenance, Repair, and Overhaul Segment Dominates the Market During the Forecast Period
- The maintenance, repair, and overhaul are considered to be a key industry segment in Mexico. Significant growth in terms of aircraft replacement parts manufacturing, as well as growth in local MRO capabilities, will lead to the market witnessing growth in the future. Furthermore, there has been a significant increase in the number of new aircraft acquisitions by various major airline companies in Mexico, and this will bolster the demand for advanced aircraft MRO within the country. For instance, in July 2023, Grupo Viva Aerobus SAB of Mexico announced that they had signed a preliminary order to acquire 90 Airbus A321 aircraft to cater to the growing expansion plans of the carrier in both the international and the domestic market.
- Furthermore, in recent years, the country of Mexico has witnessed significant growth in terms of the development of in-house maintenance facilities by various airline companies in an attempt to reduce maintenance costs. The growth of in-house maintenance facilities has also helped airline companies in Mexico to increase their aircraft reliability as opposed to external maintenance. Thus, growth in in-house maintenance facilities coupled with growth in aircraft acquisitions will lead the segment to witness significant growth in the near future.
