PUBLISHER: The Business Research Company | PRODUCT CODE: 1773666
PUBLISHER: The Business Research Company | PRODUCT CODE: 1773666
Zero-emission aircraft are aircraft that produce no greenhouse gas emissions during their operation, including carbon dioxide or methane. These aircraft offer a sustainable alternative to traditional models, contributing to a reduction in the carbon footprint associated with air travel.
The primary types of zero-emission aircraft include turboprop rear bulkhead, turbofan system, and blended wing body. The turboprop rear bulkhead is a structural component installed in the fuselage to separate the pressurized zone from the unpressurized zone, providing support for the pressure load in the cabin. These aircraft can be powered by various sources such as hydrogen, electric, and solar, catering to different range requirements such as short-haul, medium-haul, and long-haul flights. Additionally, diverse technologies such as electric motor technology, fuel cell technology, hydrogen fuel storage, and power management and distribution technology are applied in passenger and cargo aircraft.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
The sharp increase in U.S. tariffs and resulting trade disputes in spring 2025 are significantly affecting the aerospace and defense sector. Prices for key materials such as titanium, carbon fiber composites, and avionics primarily sourced from international suppliers have surged. Defense contractors, constrained by fixed-price government contracts, are forced to absorb these rising costs. Meanwhile, commercial aerospace companies are encountering resistance from airlines over increased aircraft prices. In addition, customs delays are disrupting already tight production timelines for jets and satellites. In response, the industry is stockpiling essential materials, pursuing import waivers for defense-related goods, and working with allied nations to diversify supply chains.
The zero-emission aircraft market research report is one of a series of new reports from The Business Research Company that provides zero-emission aircraft market statistics, including zero-emission aircraft industry global market size, regional shares, competitors with a zero-emission aircraft market share, detailed zero-emission aircraft market segments, market trends and opportunities, and any further data you may need to thrive in the zero-emission aircraft industry. This zero-emission aircraft market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The zero-emission aircraft market size has grown rapidly in recent years. It will grow from $24.04 billion in 2024 to $28.04 billion in 2025 at a compound annual growth rate (CAGR) of 16.6%. The growth in the historic period can be attributed to environmental regulations, advancements in electric propulsion, increased concerns about climate change, public awareness and pressure, demonstration projects.
The zero-emission aircraft market size is expected to see rapid growth in the next few years. It will grow to $48.99 billion in 2029 at a compound annual growth rate (CAGR) of 15.0%. The growth in the forecast period can be attributed to market demand for sustainable travel, government funding for green aviation, transition to urban air mobility, global air travel recovery, standardization of regulations, emergence of sustainable aviation fuels. Major trends in the forecast period include technological innovation in aerospace, evolution of battery technologies, hybrid-electric aircraft solutions, hydrogen-powered aircraft, zero-emission regional aviation, technological collaboration.
The forecast of 15.0% growth over the next five years reflects a modest reduction of 0.3% from the previous estimate for this market.This reduction is primarily due to the impact of tariffs between the US and other countries. This is likely to directly affect the US through supply chain disruptions for hydrogen fuel cells, sourced from key regions such as South Korea, Canada, and Germany, which could delay green aviation initiatives.The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.
The growth of air traffic is anticipated to drive the expansion of the zero-emission aircraft market in the coming years. Air traffic encompasses the operation of aircraft within designated airspace and at airports, including various types of flights such as commercial, cargo, and private aviation. Several key factors contribute to the rise in air traffic, including economic growth, globalization, and increased tourism. Zero-emission aircraft provide a more environmentally friendly alternative to conventional aircraft, addressing climate change concerns and appealing to environmentally conscious travelers and regulators. For example, a report from the Bureau of Transportation Statistics, a U.S. government agency, revealed that the number of passengers transported by American airlines rose by 30%, increasing from 658 million in 2021 to 853 million in 2022. Thus, the growth in air traffic is propelling the zero-emission aircraft market forward.
The growth of the zero-emission aircraft market is also expected to be fueled by the rising and fluctuating fuel prices. Traditional fuel costs, which are subject to fluctuations and increases, are prompting the aviation industry to explore alternative, cost-effective, and sustainable propulsion systems such as electric and hydrogen-based technologies. For example, according to the Bureau of Transportation Statistics, regular motor gasoline prices increased by 49% between January and June 2022, while diesel fuel prices increased slightly higher by 55%. Although fuel costs decreased in June and July of 2022, they remain more than twice as high as they were at the beginning of two years ago. Therefore, the upward and variable trajectory of fuel prices is a significant driver for the zero-emission aircraft market.
Electric aircraft technologies have emerged as a prominent trend in the zero-emission aircraft market. These technologies involve the use of batteries to power electric motors instead of traditional jet fuel. Companies in the zero-emission aircraft market are introducing innovative electric aircraft to establish their market presence. For example, in September 2022, Eviation Aircraft, an Israeli-based company focused on developing electric aircraft, unveiled Alice, a groundbreaking all-electric passenger aircraft. Alice, designed for nine passengers, utilizes battery technology similar to electric cars or cell phones. With just 30 minutes of charging, it can achieve up to 2 hours of flight time, representing a significant advancement in sustainable and environmentally-friendly air travel.
Major players in the zero-emission aircraft market are strategically forming partnerships to explore potential applications for superconducting technologies. Strategic partnerships involve companies leveraging each other's strengths and resources for mutual benefits. In December 2022, Airbus SE, a Netherlands-based aerospace manufacturing company, announced a partnership with CERN to assess the role of superconductivity in the decarbonization of future aircraft systems. The Super-Conductor for Aviation with Low Emissions (SCALE) prototype aims to promote the adoption and implementation of superconducting technology in aerial electrical distribution systems. This collaboration showcases CERN's recognition of the excellence of Member States' industries and marks the beginning of a long-term partnership. The SCALE demonstration combines Airbus UpNext's expertise in revolutionary aircraft development with CERN's proficiency in superconducting technology. Initial results are expected by the end of 2023, marking the commencement of a partnership that will pave the way for aircraft power distribution using superconducting technology. CERN is an international organization based in Switzerland, operating the world's largest particle physics laboratory.
In April 2022, Textron Inc., a US-based aircraft company, acquired Pipistrel d.o.o for $240 million. This acquisition integrated Pipistrel into Textron's newest business sector, Textron eAviation, aligning with Textron's long-term strategy to offer a family of sustainable aircraft for civic air mobility. Pipistrel, based in Slovenia, specializes in electric aircraft, emphasizing sustainable flight for the future.
Major companies operating in the zero-emission aircraft market include AeroDelft, Airbus SE, Bye Aerospace, Eviation Aircraft, Joby Aviation, Lilium GmbH, Wright Electric, Boeing Company, Northrop Grumman Corporation, SpaceX Aerospace Company, ZeroAvia Inc., MagniX, Zunum Aero, SkyDrive Inc., Pipistrel d.o.o., HyPoint Inc., Wisk Aero, XTI Aircraft Company, Rolls-Royce plc, Ampaire Inc., Alaka'i Technologies, Volocopter GmbH, Vertical Aerospace, H55, Heart Aerospace, Scaled Composites, Embraer SA, Faradair Aerospace Limited, Beta Technologies
Europe was the largest region in the zero-emission aircraft market in 2024. The regions covered in the zero-emission aircraft market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the zero-emission aircraft market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The zero-emission aircraft consist of sales of aircraft that uses various technology including solar power during its operation. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Zero-Emission Aircraft Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on zero-emission aircraft market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for zero-emission aircraft? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The zero-emission aircraft market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.