Market Trends of Aircraft Propeller Systems Industry
The Original Equipment Manufacturer (OEM) Segment to Dominate the Market
As the aviation industry continues to grow, the orders for new turboprop and piston engine aircraft may simultaneously generate demand for the parts of the aircraft, like propellers. The demand generated by the aircraft OEMs is now high, which increased the revenues from the OEM segment. For instance, in May 2022, the US Army, in its modernization plan for aviation platforms, selected Bell Textron's V-280 Valor Tiltrotor to replace the UH-60 Black Hawk. The army awarded a USD 1.3 billion contract to Bell Textron for a V-280 Valor Tiltrotor helicopter. As per the contract, the army will fund USD 232 million for Bell's preliminary design and development of a virtual prototype.
Similarly, in August 2023, Statkraft Ventures invested in Electra. Aero, Inc., a US-based firm, to develop its full-scale pre-production prototype electric short takeoff and landing (eSTOL) aircraft. Electra's eSTOL aircraft include eight electric propellers mounted under the fixed wings. As per the plan, the company is to test its prototype by 2025. Electra received 1,200 preorders for the eSTOL aircraft.
Asia-Pacific is Projected to become the Fastest Growing Market During the Forecast Period
Asia-Pacific is expected to show remarkable growth during the forecast period. China emerged as a global leader in terms of UAV development. The development of new UAVs in China is anticipated to generate a huge demand for propeller systems during the forecast period. The increasing demand for turboprop aircraft from commercial and military sectors is a major driver for the propeller systems market in India.
Even in Japan, Australia, and other countries in the region, the procurement of turboprop aircraft is increasing, thereby contributing to the growth of the regional market. For instance, in March 2023, the Indian Ministry of Defence signed a contract with Hindustan Aeronautics Limited (HAL) for the purchase of six Dornier-228 aircraft for the Indian Air Force (IAF). The six current aircraft will be modified with a more fuel-efficient engine and a composite propeller with five blades.
Similarly, in June 2023, the Indian Ministry of Defence approved the acquisition of 31 MQ-98 drones from General Dynamics at USD 3.5 billion. According to this agreement, the Indian Navy would receive 15 Sea Guardians, and the Indian Army and Indian Air Force would each receive 8 SkyGuardians. The SkyGuardian drone includes a wingspread of 24.07 m, carries a payload of 2,155 kg, and is capable of maritime surveillance, over-the-horizon targeting, anti-submarine warfare, airborne early warning, and electronic warfare.
