Business Jet Market Forecasts to 2030 - Global Analysis By Aircraft Type, System, Point of Sale (Original Equipment Manufacturer and Aftermarket ), Business Model, Range, End User and by Geography

According to Stratistics MRC, the Global Business Jet Market is accounted for $33.03 billion in 2023 and is expected to reach $50.32 billion by 2030 growing at a CAGR of 6.2% during the forecast period. A business jet, also known as a private jet or corporate jet, is a type of aircraft that is specifically made to carry business executives, celebrities, and small groups of people. Business executives can hold meetings effectively, visit several sites in a single day, and remain highly productive while traveling thanks to these jets' quick and adaptable air travel. Moreover, business jets provide passengers with a comfortable and productive environment thanks to their opulent interiors, cutting-edge avionics, and state-of-the-art technology.

According to the data from GAMA, the General Aviation Manufacturers Association, the deliveries of corporate jets increased statistically by over 12% in the first half of 2019. Due to their advantages, the demand for new models such as Pilatus PC-24, Cirrus SF50 Vision, and Gulfstream G500 is maximum.

Market Dynamics:

Driver:

Requirements for corporate travel

The changing needs of business travelers are closely linked to the demand for business jets. Executives are faced with managing complex schedules and multiple locations as businesses participate in more international business ventures. Furthermore, executives can travel to a variety of locations with efficiency, attend important meetings, and maintain a degree of flexibility that is not possible with commercial airlines thanks to business jets, which offer a customized solution.

Restraint:

Economic recessions

The business jet market can be greatly impacted by financial instability and economic downturns. Businesses may reduce discretionary spending, including private aviation investments, during economic downturns. Moreover, as businesses prioritize cost-cutting measures, a decline in demand for business jets could result from lower corporate profits and a broader economic downturn.

Opportunity:

Digital linkage and airline services

Improving in-flight amenities and digital connectivity gives business jet operators a chance to set themselves apart from the competition. Additionally, in order to meet the needs of contemporary business travelers, enhanced in-flight amenities, integrated entertainment systems, and cutting-edge connectivity solutions all contribute to a more seamless and pleasurable travel experience.

Threat:

Strict environmental guidelines

Business jet manufacturers face difficulties due to strict environmental regulations and emissions standards. Research and development expenditures for the creation of more ecologically friendly and fuel-efficient aircraft must be significantly increased in order to comply with these regulations. Furthermore, ignorance of these changing requirements may lead to exclusion from the market and higher retrofitting costs for already-existing models.

Covid-19 Impact:

The COVID-19 pandemic caused a significant decline in demand and operations for business jets, which had an immediate and significant effect on the market. Lockdowns, travel restrictions imposed globally, and increased economic uncertainty resulted in a general decline in business travel, which caused orders for new business jets to be cancelled or delayed. Companies tried to reduce discretionary spending by concentrating on cost-saving strategies, which had an impact on how well-utilized their current business jet fleets were. Moreover, the pandemic also highlighted the significance of health and safety, which led to a re-evaluation of travel preferences and possibly long-term changes in business travel practices.

The Mid-sized segment is expected to be the largest during the forecast period

The mid-sized business jet segment has the largest market share. Many different types of business aviation users favor mid-sized business jets because they present an attractive option because they balance capacity, range, and operating costs. Additionally, business organizations and wealthy individuals prefer mid-sized business jets for both local and international travel because they can carry a large number of passengers in comfort and cover greater distances than light jets.

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

The market's highest CAGR has been seen in the avionics segment. The field of avionics, which includes the electronic systems used in aircraft for navigation, communication, and monitoring, has seen a rapid advancement in technology. Furthermore, the need for updated avionics solutions has been fuelled by the integration of cutting-edge technologies like fly-by-wire systems, sophisticated radar systems, and state-of-the-art cockpit displays.

Region with largest share:

With the largest market share in the market, North America is a major player in the global aerospace and aviation sector. Leading centers for aerospace manufacturing, R&D, and research are found in the United States, home to organizations like Boeing and Lockheed Martin. The area gains from substantial investments in commercial and defense aviation, as well as from a strong infrastructure and established aerospace ecosystem. Moreover, North America is an important market for cutting-edge technologies such as avionics, propulsion systems, and next-generation aircraft.

Region with highest CAGR:

With the highest CAGR, the Asia-Pacific region has become a vibrant, quickly expanding center for the global aerospace industry. Demand for air travel is surging in countries like China and India due to strong economic growth, rising urbanization, and an expanding middle class. This need has prompted large investments in R&D and manufacturing in the area, as well as an increasing focus on domestic aerospace capabilities. Additionally, Asia-Pacific governments are actively working with international aerospace behemoths on large-scale projects aimed at improving their defense capacities and developing their civil aviation infrastructure.

Key players in the market

Some of the key players in Business Jet market include Embraer SA, Gulfstream Aerospace Corporation, Dassault Aviation, Airbus SAS, Honda Aircraft Company, Collins Aerospace, Bombardier, Honeywell International, Textron, Inc., Joby Aviation, Ametek and The Boeing Company.

Key Developments:

In October 2023, Collins Aerospace and Satair sign engine mounts distribution agreement. The new agreement builds upon a longstanding partnership between Satair and Collins Aerospace and expands the existing LEAP programme with the addition of PW1100 engine mounts, increasing Satair's support capabilities for the A320neo platform.

In June 2023, Honeywell International Inc. HON has entered into a definitive agreement to acquire heads-up-display (HUD) assets of Swedish aerospace and defense company Saab Technology. The financial terms of the transaction are kept under wraps. The HUD system reduces the workload for pilots, helps them with increased situational awareness and increases flight safety. Per the deal, the companies will collaborate to advance and strengthen HON's HUD product portfolio.

In May 2023, Embraer SA and Saab launched a production line for Gripen fighter jets in Brazil, a move seen strengthening their partnership as the South American country mulls potential new orders for the aircraft. Brazil holds a contract for 36 Gripen jets with Sweden's Saab, but has been considering further increasing that order as the local Air Force has long said more fighters would be necessary to meet its needs.

Aircraft Types Covered:

• Light
• Mid-sized
• Large
• Airliner
• Other Aircraft Types

Systems Covered:

• Propulsion System
• Aero Structure
• Avionics
• Other Systems

Point of Sales Covered:

• Original Equipment Manufacturer (OEM)
• Aftermarket

Business Models Covered:

• On-Demand Service
• Ownership
• Other Business Models

Ranges Covered:

• Less than 3,000 nm
• 3,000 nm -5000 nm
• More than 5,000 nm

End Users Covered:

• Private Jets User
• Operator
• Other End Users

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 2021, 2022, 2023, 2026, and 2030
• 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

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• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
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• 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