Market Size of Europe Aviation Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 67.81 Billion |
| Market Size (2029) | USD 78.53 Billion |
| CAGR (2024 - 2029) | 2.98 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Europe Aviation Market Analysis
The Europe Aviation Market size is estimated at USD 67.81 billion in 2024, and is expected to reach USD 78.53 billion by 2029, growing at a CAGR of 2.98% during the forecast period (2024-2029).
In Europe, some airlines’ financial performance has been curtailed by the war in Ukraine. Nevertheless, the region to return to profitability in 2023 when a net profit of USD 612 million is forecast. Furthermore, growing air traffic, an increasing number of airports, and rising spending on procuring business jets drive market growth across Europe.
Factors such as increasing demand for charter aviation and surging demand for electric aircraft across Europe propel the growth of the market. Several vendors and aviation research organizations have been working on the development of advanced power-efficient and low-emission aircraft models, such as hybrid electric and fully electric aircraft.
Furthermore, several major countries in the region are involved in the development of next-generation military aircraft. In contrast, many countries require rapid fleet modernization to maintain technological superiority over their adversaries.
However, volatile fuel prices and geopolitical uncertainties can act as restraints and are likely to impact the overall aviation industry in Europe during the forecast period.
Europe Aviation Industry Segmentation
The European aviation market encompasses the sales of fixed-wing and rotary-wing aircraft across the commercial, military, and general aviation sectors in the European region. The market offers an overview of air passenger traffic, aircraft orders and deliveries, defense spending analysis, the introduction of new routes, and investments by country into the aviation sector in the region.
The European aviation market is segmented by type and country. By type, the market is segmented into commercial aviation, military aviation, and general aviation. The commercial aviation segment is further divided into passenger aircraft and freighter aircraft. Military aviation is further segmented into combat and non-combat aircraft. The general aviation segment is further classified as helicopters, piston fixed-wing aircraft, turboprop aircraft, and business jets. The report also offers the market size and forecasts for six countries across the region.
For each segment, the market sizing and forecasts have been done based on value (USD).
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Europe Aviation Market Size Summary
The European airline industry is poised for steady growth over the forecast period, driven by increasing air traffic, the expansion of airport infrastructure, and heightened investment in business jet procurement. Despite challenges such as the geopolitical tensions stemming from the war in Ukraine, which have impacted some airlines' financial performance, the region is expected to return to profitability. The market is further bolstered by a rising demand for charter aviation and advancements in aircraft technology, including the development of electric and hybrid aircraft models. However, the industry faces potential constraints from volatile fuel prices and ongoing geopolitical uncertainties.
In addition to commercial aviation, the European military aviation sector is experiencing significant developments, fueled by increased defense spending and modernization efforts. The region's robust military helicopter market is supported by geopolitical concerns and strategic defense budget allocations. Countries like Germany, France, and the UK are investing in next-generation military aircraft to enhance their operational capabilities and maintain technological superiority. The European aviation market is characterized by a few dominant players, with Airbus SE leading in both commercial and military aviation sectors. Innovations in aircraft design are expected to transform safety, comfort, and efficiency, offering new opportunities for market players to expand their shares.
Europe Aviation Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.3 Market Restraints
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1.4 Porter's Five Forces Analysis
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1.4.1 Bargaining Power of Suppliers
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1.4.2 Bargaining Power of Buyers
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1.4.3 Threat of New Entrants
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Type
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2.1.1 Commercial Aviation
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2.1.1.1 Passenger Aircraft
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2.1.1.2 Freighter Aircraft
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2.1.2 Military Aviation
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2.1.2.1 Combat Aircraft
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2.1.2.2 Non-combat Aircraft
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2.1.3 General Aviation
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2.1.3.1 Helicopters
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2.1.3.2 Piston Fixed-wing Aircraft
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2.1.3.3 Turboprop Aircraft
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2.1.3.4 Business Jet
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2.2 Geography
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2.2.1 United Kingdom
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2.2.2 Germany
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2.2.3 France
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2.2.4 Italy
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2.2.5 Spain
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2.2.6 Russia
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2.2.7 Rest of Europe
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Europe Aviation Market Size FAQs
How big is the Europe Aviation Market?
The Europe Aviation Market size is expected to reach USD 67.81 billion in 2024 and grow at a CAGR of 2.98% to reach USD 78.53 billion by 2029.
What is the current Europe Aviation Market size?
In 2024, the Europe Aviation Market size is expected to reach USD 67.81 billion.
