Electric Aircraft Market Forecasts to 2028 - Global Analysis By Type, Platform, System, Component, Range, Technology, Application and By Geography

According to Stratistics MRC, the Global Electric Aircraft Market is accounted for $8.8 billion in 2022 and is expected to reach $25.72 billion by 2028 growing at a CAGR of 19.57% during the forecast period. Electric aircraft are powered by electric motors, in which the electricity is supplied via multiple methods including batteries, solar cells, fuel cells, power beaming, and ground power cables. Electric aircraft promise huge advantages in regards to degrade the issues of air and noise pollutions and harmful emissions. In addition, electric motors have low maintenance and operational costs. These potential benefits of electric aircraft make them more adoptable over fuel-based aircraft.

According to the World Tourism Organization, a specialized agency of the United Nations, the arrival of tourists in Maldives in January 2021 stood at 92,103. This count grew to 99,397 by 3rd February 2021. The rising count of tourists is creating immense scope for the aviation sector.

Market Dynamics:

Driver:

Growing concerns regarding environment

Electric aircraft are anticipated to become more popular as they have less carbon impact than conventional aircraft. In tandem with rising air travel, the size of the world's fleet of airplanes is growing, which raises carbon dioxide emissions. Given the pressing need to reduce emissions, electric aircraft are now in high demand. These aircraft eliminate the need of non-renewable fuels which has negative impact on the environment and therefore fuelling the market growth.

Restraint:

Low energy density of batteries

The largest obstacle for the market for electric aircraft is low battery energy density. The energy density of aircraft batteries is substantially lower than that of traditional fossil fuels. The adoption of electric aircraft is hampered by the lengthy development process for high-density batteries needed for medium- and long-distance travel.

Opportunity:

Growing air traffic

Domestic air travel has increased significantly in both developed and developing nations, which is mostly to credit for the increase in air traffic. The number of travellers using airplanes for short holiday journeys is fast expanding throughout many nations of the world due to increased disposable income and improving the tourist industry. The market's growth is being propelled by an increase in the number of passengers flying throughout the world.

Threat:

Inadequate infrastructure

The initial deployment is being hampered by the high manufacture and maintenance expenses of eVTOLs as a result of the unknown overall cost. The majority of the manufacturing costs are related to the acquisition of new materials required to build effective and lightweight electric aircraft. The early introduction of air taxi services is being seriously delayed by the low aircraft count, a lack of sufficient charging stations, and airspace accommodations which are hampering market expansion.

Covid-19 Impact

The COVID-19 pandemic's fast and unexpected spread and breakout have had a negative impact on the smooth operation of several industrial sectors, with aviation being one of the most affected due to the continual need for the industry and its services. Significant reductions in passenger numbers have resulted in flights being cancelled or planes flying empty between airports, which in turn massively reduced revenues for airlines and forced many airlines to lay off employees or declare bankruptcy.

The aerostructures segment is expected to be the largest during the forecast period

The aerostructures segment is estimated to have a lucrative growth, due to its advancements. The majority of the entire cost of developing an airplane is made up of aerostructures. In order to be lightweight while preserving their structural strength, newly developed electric aircraft, notably eVTOL aircraft requires some of the most cutting-edge materials. These elements play considerable role in the segment growth.

The hybrid wing segment is expected to have the highest CAGR during the forecast period

The hybrid wing segment is anticipated to witness the fastest CAGR growth during the forecast period, due to its fuel-powered engines and batteries. It offers a design that is impractical with just fuel-powered engines. It facilitates noise free vertical landings and takeoffs. It also has a significant number of electric propellers, which aid in effective aerodynamics. Also, it greatly lowers fuel costs, and the aviation sector is anticipated to save money, which is fueling the segment's expansion.

Region with largest share:

North America is projected to hold the largest market share during the forecast period owing to the raising urban air mobility. The US region has the largest UAV fleet used in military and civil applications. Many environmentally conscious individuals in this region are travelling short distances by electric airplanes. Several key market players are increasing investment toward research and development (R&D).

Region with highest CAGR:

Europe is projected to have the highest CAGR over the forecast period, owing to the presence of major market participants. This region is being facilitated by favourable government policies. Additionally, the ability of the residents of this region to fly on business jets is fostering a surge in interest in electric aircraft in Europe.

Key Players in the market

Some of the key players profiled in the Electric Aircraft Market include Airbus, Bye Aerospace, Pipistrel Group, Leonardo S.p.A., Aerospace Limited, Boeing, Faradair Aerospace Limited, Yuneec Holding Limited, Digisky S.R.L., PDL Electric Aircrafts, Groupe Gorge, Delfort Group AG, Republic Technologies, Papcel, Glatz, China Tobacco Maudit, Nippon Paper Papylia. And Hufeng.

Key Developments:

In February 2023, Boeing announced the launch of its first global support center (GSC) in India and also plans to invest in a new logistics center to cater to its regional customers.

In February 2023, The Tata Group-owned Air India has announced its commitment to order 250 Airbus aircraft to boost its domestic and international operations. The commitment includes 140 A320neo and 70 A321neo single-aisle aircraft as well as 34 A350-1000 and six A350-900 wide-body jets that will mark a new era for the country as the all-new, long-range aircraft celebrates its debut in the Indian market.

Types Covered:

• Fixed Wing
• Rotary Wing
• Hybrid Wing

Platforms Covered:

• Business Jets
• Regional Transport Aircraft
• General Aircraft
• Trainer Aircraft
• Unmanned Aerial Vehicle (UAV)
• Advanced Air Mobility

Systems Covered:

• Aircraft Configuration & Management System
• Flight Control & Mission Management System
• Air Pressurisation & Conditioning System
• Power Generation & Management System

Components Covered:

• Electric Motors
• Batteries
• Avionics
• Software
• Aerostructures
• Other Components

Ranges Covered:

• < 500 KM
• 500 KM

Technologies Covered:

• Conventional Take-Off & Landing (CTOL)
• Short Take-Off & Landing (STOL)
• Vertical Take-Off & Landing (VTOL)

Applications Covered:

• Military
• Civil
• Other Applications

Regions Covered:

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

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances