Market Size of Aviation Industry
| Study Period | 2020 - 2029 |
| Market Size (2024) | USD 333.96 Billion |
| Market Size (2029) | USD 396.15 Billion |
| CAGR (2024 - 2029) | 2.87 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Aviation Market Analysis
The Aviation Market size is estimated at USD 333.96 billion in 2024, and is expected to reach USD 396.15 billion by 2029, growing at a CAGR of 2.87% during the forecast period (2024-2029).
The COVID-19 pandemic affected the aviation market in many ways, and the effect of the pandemic is expected to continue even during the forecast period. In the commercial sector, passenger traffic fell dramatically in 2020 and 2021. However, the aviation industry has started to improve during 2022 and is gradually returning to its pre-COVID-19 level. According to the latest updates from IATA, ICAO, the Airports Council International (ACI), the UN World Tourism Organization (UNWTO), the World Trade Organization (WTO), and the International Monetary Fund (IMF), the international air passenger traffic in 2022 has improved compared to that of 2021. The international air passenger traffic in June 2022 increased by 229.5% compared to June 2021, and the revenue passenger kilometers (RPK) in June 2022 reached 65% of that of June 2019.
There has been a significant rise in demand for helicopters and business jets to transport medical supplies, cargo, VIPs, and charter operations. Thus, the aforesaid factors are expected to propel the growth of the market. The orders and deliveries improved during 2022 compared to 2021, signifying the growth in demand for general aviation aircraft and recovering the market to its pre-COVID-19 level.
Several manufacturers are now focusing on developing newer generation aircraft in various aviation segments. The newer generation aircraft offer better fuel efficiency and safety for commercial and general aviation customers and better situational awareness and tactical advantage for military customers. The advent of such aircraft is expected to drive market growth during the forecast period.
