India’s aviation sector had increasingly emerged as a fast-growing industry. The sector had established itself as an affordable and credible alternative to the tedious and long journeys via road or rail. With a visible growth trend, it was estimated that by 2034, India would become one of the largest aviation markets in the world. As of financial year 2024, the passenger carrier IndiGo was the leader in the segment with around 62 percent of the market. IndiGo - the market leader The Indian aviation sector handled over 376 million passengers at Indian airports the same year. Jet Airways held the largest market share after IndiGo as of 2018. But the former passenger carrier had suspended operations in April 2019 following financial difficulties, leaving the field open for the latter, with little competition from other players in the market. A flight for the budget airline market Indigo airline’s low-cost and no-frills approach to domestic flying has been cited as one of the factors leading to its relative success in India. According to the Directorate-General of Civil Aviation, IndiGo airline carried over 85 million passengers during the fiscal year 2023. It ranked third among the country’s most punctual airlines with above 81 percent on-time arrivals. As a carrier that also had the least complaints from the customers, IndiGo’s popularity with the domestic base was high, soaring towards growth in the years to come.

The India Aviation Market is segmented by Aircraft Type (Commercial Aviation, General Aviation, Military Aviation). Key Data Points observed include air passenger traffic, air transport freight, defense spending, military aircraft active fleet, revenue passenger kilometers, high-net worth individuals, and inflation rate.

IndiGo held around 17.6 percent of the international airlines market during financial year 2024, out of the 87 scheduled international operators across India. Emirates held almost 8.3 percent of the international market in the south Asian country, whereas the airline was ranked as the fourth leading airline worldwide based on brand value.

At the end of financial year 2023, IndiGo reported around 544.5 billion Indian rupees in operating revenue. It was followed distantly by Air India, with an operating revenue of 314 billion rupees. Previously, Jet Airways dominated the Indian domestic air travel market. After a series of unprofitable years, the airline declared bankruptcy in early 2019.

The Indian airline market was valued at around 20 billion U.S. dollars in financial year 2020. This was estimated to grow to 40 billion U.S. dollars by financial year 2027. Although domestic travel accounted for the lion's share, international travel was expected to recover from the effects of the COVID-19 pandemic.

According to Cognitive Market Research, the global domestic aviation market size will be USD 999142.5 million in 2024. It will expand at a compound annual growth rate (CAGR) of 4.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 399657.00 million in 2024 and will grow at a compound annual growth rate (CAGR) of 2.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 299742.75 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 229802.78 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 49957.13 million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 19982.85 million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.7% from 2024 to 2031.
The spiral wing aircraft category is the fastest-growing segment of the domestic aviation industry.

Market Dynamics of Domestic Aviation Market

Key Drivers for Domestic Aviation Market

Rising Demand for Faster and More Convenient Transportation Options Fuels Market Growth

The rising demand for faster and more convenient transportation options continues to fuel growth in the domestic aviation market. Air travel offers unparalleled speed and efficiency compared to other modes of transportation, making it the preferred choice for business and leisure travelers. As urbanization increases and economic conditions improve, more people seek air travel for its ability to save time and enhance connectivity. Furthermore, advancements in aviation technology and the expansion of regional air routes make domestic air travel increasingly accessible. Airlines are also adopting customer-centric services, such as streamlined booking processes and enhanced onboard experiences. These factors collectively contribute to the sustained growth and expansion of the domestic aviation market. For instance, in December 2024, AIAI India advanced the nation’s aerospace capabilities through strategic initiatives and collaborations. By fostering growth and enhancing international competitiveness, it drove innovation, improved manufacturing processes, and developed cutting-edge technologies. Through these efforts, AIAI India actively positioned the country as a major player in the global aerospace industry, creating new opportunities for growth, investment, and collaboration.

Increasing Focus on Sustainability and Fuel Efficiency in Aviation Propels Market Growth

The domestic aviation market is witnessing substantial growth, propelled by an increasing focus on sustainability and fuel efficiency. Airlines are adopting advanced technologies, such as lightweight materials, aerodynamic designs, and fuel-efficient engines, to reduce operational costs and environmental impact. The rising demand for eco-friendly practices has accelerated the development and integration of biofuels and electric aircraft, catering to growing consumer awareness of environmental concerns. Furthermore, regulatory bodies worldwide are implementing stricter emission standards, encouraging airlines to invest in sustainable innovations. Improved fuel efficiency not only lowers emissions but also enhances profitability, making it a crucial factor in market expansion. As a result, sustainability and efficiency are becoming key drivers shaping the future of the domestic aviation market.

Restraint Factor for the Domestic Aviation Market

Infrastructure Limitations in Remote or Underserved Regions Restrict Market Growth

Infrastructure limitations in remote or underserved regions significantly restrict the growth of the domestic aviation market. Many areas lack adequate airport facilities, runways, and essential navigation equipment, making it challenging for airlines to operate efficiently. These limitations increase operational costs and reduce the viability of establishing new routes, particularly in regions with low passenger demand. Furthermore, insufficient infrastructure often leads to delays, safety concerns, and limited service frequency, discouraging travelers from choosing air tra...

The domestic airline market share in the Indian air travel market was estimated to grow from 58 percent in financial year 2020 to 64 percent in financial year 2027. Although international travel made up the smaller share of the airline market in the country, it was expected to grow by 2026 with the increase in passport applications among Indians, which averaged about 12 million every year.

IndiGo, the scheduled airline operator, had the highest number of aircraft in India with about 304 aircraft as of March 2023. Following IndiGo, Air India had 118 aircraft in the same period. IndiGo was a low-cost private airline operator, whereas Air India was previously a state-owned enterprise and later was sold to Tata Group. Aviation industry scenario The civil aviation industry in India was one of the quickest growing industries in India. India, with its vast size and large population, was the third-largest domestic aviation market in the world. An increase in the number of passengers led to a rise in aircraft usage, which could be seen by the number of domestic departures by private Indian airlines and national airlines. By 2024, it was expected that India would become the third-largest market in terms of passengers, overtaking the United Kingdom. In the financial year 2019, over 28 million people flew with Indian national airlines, and over 7 million people flew in and out with private Indian scheduled carriers. The aviation industry added approximately 72 billion U.S dollars to the Indian gross domestic product. As per the Directorate General of Civil Aviation (DGCA) headquartered in New Delhi, India was about to have its largest fleet by its scheduled airlines in December 2019. The eight domestic carriers added 145 aircraft to their fleet in the year 2019. IndiGo airlines IndiGo had the highest market share in the industry as of March 2020. It added 53 aircraft in 2019 and 60 in 2018. There was a constant increase in the number of passengers transported by IndiGo airlines over the period beginning since April 2015. IndiGo went international in 2011, five years after it started its domestic operations. As of March 2020, with 261 aircraft under its wings, IndiGo flew to 24 international and 63 domestic destinations.

India’s leading low-cost air carrier, IndiGo, carried around 106.4 million domestic and international passengers in the financial year 2024. This was an increasing in comparison to the previous year.   The no-frills airline Established in 2006 and headquartered in Gurgaon, IndiGo climbed the airline ladder to become the largest passenger carrier with a market share of about 55 percent. The company’s focus was threefold – offering low fares mainly in the domestic market, being on-time and providing a smooth flying experience. IndiGo was the preferred airline among Indians and was known for its punctuality. Leading the domestic market IndiGo had 412 aircraft as part of its fleet and over a thousand daily flights to 122 destinations. As a low-cost carrier, it offers only economy seating and no complimentary meals on any flights. It was one of the leading budget airlines in terms of net profit in 2019. As an airline that operates mainly within the south Asian country, it has become a major player in the market since its establishment in 2015. It found a stronger foothold when its competitor Jet Airways suspended operation between early 2019 and mid-2022.

The global Airport Services market was valued at USD 167.23 billion in 2022. It is expected to reach a value of USD 390.79 billion by 2030, growing at a CAGR of 13.67%. The rise in passenger traffic and increasing air travel demand are expected to drive market growth. Airport services therefore include various service requirements identifying simplistic procedures that support functionality of airport facilities. These services target rich needs for passengers and airlines and the entire related entities. Thus the services offered in airport services include, Ground handling, Baggage handling and Passenger assistance, Security Check, Sales, and Retail. There are diverse classifications of airport services such as passengers’ services, airline services, cargo services as well as other services. Aspects of airport management consist of terminal management, air side management, land side management and management of utility services. Airport services result in efficiency of service provision and delivery, better customer satisfaction, safety of passengers and personnel as well as more optimized airport operations. The emerging strategies in the market include the utilization of unique security and passenger technologies such as Biometrics & Artificial Intelligence, in addition to providing efficient and additional revenue generative facilities like a retail village and gourmet restaurants. Recent developments include: March 2022 – Hainan Airlines gave a new ramp handling contract to Worldwide Flight Services (WFS) at Seattle-Tacoma International Airport. The WFS will provide loading and unloading of its 3-5 weekly passenger freighter services for the Chinese airline. Moreover, WFS will also offer other ramp services for the airline, including lavatory, GPU services, crew shuttle, and water., February 2022 – Worldwide Flight Services (WFS) extended its cargo handling contract with Turkish Airlines in North America Dallas/Fort Worth and Houston. The new agreement will commence in March as the local WFS team will handle 3-4 freighter weekly flights plus daily B777 passenger services in the city., May 2022 – Celebi Aviation, an Indian ground cargo handling company, announced deploying emerging technologies such as Internet of Things (IoT) and blockchain in their operations. The company invested more than USD 220 million in India, investing in infrastructure to handle 7,000+ tonnes of cargo, increasing security initiatives, additional handling equipment, and a state-of-the-art transshipment center., September 2022 – LAS Goldair Handling, an Indian services joint venture, launched its services at two of India's airports. The services have been established at Bagdogra International Airport and Udaipur Airport. The company is expected to manage the terminal, cargo, and ramp for chartered flight operators for all international and domestic flights departing and arriving at Bagdogra International Airport., August 2022 – U.S.-based cargo ground handling company, Alliance Ground International (AGI), acquired Airport Terminal Services (ATS). The acquisition is anticipated to offer additional services in commercial passenger ground handling services.. Key drivers for this market are: Various Upgradations in Existing Naval Guns and Ammunition to Aid Market Growth . Potential restraints include: Lack of Appropriate Infrastructure and Strict Government Restrictions to Limit Market Growth. Notable trends are: Integration of Laser Based Weapons with Naval Artillery is an Ongoing Trend in the Market .

The market share of low-cost carriers across India was at 82 percent in the fiscal year 2020. The south Asian country was the fastest growing domestic air travel market at the same time. With more disposable income, the middle-class population made a switch from rail to air transport.

Snapshot img

Air Freight Services Market Size 2025-2029

The air freight services market size is forecast to increase by USD 64.6 billion at a CAGR of 4.9% between 2024 and 2029.

The market is experiencing significant growth, driven primarily by the increase in cross-border e-commerce activities. The increasing trend of online shopping and the subsequent rise in international deliveries have led to a substantial increase in demand for air freight services. Additionally, the adoption of advanced technologies such as blockchain is revolutionizing the industry by enhancing security, transparency, and efficiency. However, the high cost of availing air freight services remains a significant challenge for market growth. Despite this, companies can capitalize on the opportunities presented by this market by offering competitive pricing, focusing on niche markets, and implementing technology solutions to streamline operations and reduce costs. Overall, the market offers substantial growth potential for investors and businesses seeking to capitalize on the increasing demand for fast and reliable international delivery solutions.

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The market, a significant segment of the global logistics industry, continues to evolve with advancements in technology and increasing demand for efficient and expedited shipping solutions. Key trends shaping the market include the integration of cool-chain systems for temperature-sensitive goods, the adoption of robotics, automation, and artificial intelligence (AI) for enhanced aircraft operations, and the utilization of big data, deep learning, Internet of Things (IoT), augmented reality, and virtual reality for optimized freight management and tracking. 
The air cargo industry's growth is driven by the need for high-speed shipments, particularly in sectors such as electronics, pharmaceuticals, and perishables. Freighter flights are increasingly popular for time-sensitive and large-volume consignments, contributing to the market's expansion. Overall, the air freight industry remains a dynamic and innovative sector, continually adapting to meet the evolving needs of global trade.

How is this Industry segmented?

The industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  International
  Domestic


End-user

  Manufacturing
  Retail
  Others


Product Type

  General cargo
  Perishable cargo
  Dangerous cargo
  High-value cargo


Geography

  APAC

    Australia
    China
    India
    Japan
    South Korea


  North America

    US
    Canada


  Europe

    France
    Germany
    UK


  Middle East and Africa



  South America

By Type Insights

The international segment is estimated to witness significant growth during the forecast period. Air freight services have gained significant importance in the logistics industry due to the increasing globalization of trade and the e-commerce boom. Companies expanding their global reach require efficient and reliable air freight services to transport goods between continents. Technological advances and logistics management systems have enhanced the efficiency and dependability of international air freight services, offering real-time tracking, automated customs clearing processes, and improved route planning. These advancements have reduced transit times and increased overall service quality, making air freight the preferred choice for time-sensitive cargo. The rise of online shopping and cross-border e-commerce has further fueled the demand for international air cargo services, necessitating fast delivery of goods to customers worldwide.

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The international segment was valued at USD 126.20 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 44% to the growth of the global market during the forecast period.Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The market in Asia Pacific (APAC) is experiencing significant growth due to the increase in cross-border e-commerce, particularly in countries like China, India, and Japan. The e-commerce sector's expansion is driven by the convenience and speed it offers, which has been further accelerated by the pandemic. This trend is expected to boost the growth of the regional the market. According to the Association of Asia Pacific Airlines, the number of foreign passengers transported by APAC airlines increased by 49.4% in January 2024

The size of the Asia Pacific Airport Ground and Cargo Handling Services Market market was valued at USD 1.86 USD Billion in 2023 and is projected to reach USD 3.95 USD Billion by 2032, with an expected CAGR of 11.36% during the forecast period. Airport ground and cargo handling services encompass a range of operations essential for the smooth functioning of an airport. These services include the management of aircraft movements on the ground, such as parking, refueling, and maintenance, as well as the handling of passenger luggage and cargo. Types of ground handling services include ramp services, which involve aircraft servicing and marshaling, and passenger services, which cover check-in, boarding, and baggage claims. Cargo handling involves the loading, unloading, and storage of goods, ensuring efficient processing and secure transport. Features of these services include the use of specialized equipment, adherence to safety protocols, and coordination with various stakeholders. Applications span from domestic flights to international cargo operations, ensuring timely and safe airport and cargo management. Recent developments include: May 2022: Celebi Aviation, an Indian ground cargo handling company, announced the deploymetn of emerging technologies such as IoT and blockchain in their operations. The company has invested more than 220 million USD in India, investing in infrastructure to handle 7000+ tonnes of cargo, increasing security initiatives, additional handling equipment, and a state-of-the-art transhipment centre., September 2022: LAS Goldair Handling, an Indian services joint venture, launched its services at two of India's airports. The services have been established at Bagdogra International Airport and Udaipur airport. The company is expected to manage the terminal, cargo, and ramp for chartered flight operators for all international and domestic flights departing and arriving at Bagdogra International Airport., August 2022: Telangana, a state in India, planned to revitalize three old airports and create three Greenfield airports. The airports are expected to be made in Adilabad, Nizamabad, and Warangal. Shamshabad International Airport, situated on Hyderabad's outskirts, is Telangana's major civil aviation facility.. Key drivers for this market are: Rising Demand for Satellite Communication Equipment Due to Growing Space Exploration Programs Will Aid Market Growth. Potential restraints include: Restrictions Imposed After the Pandemic as Preventive Measures to Limit the Market Growth . Notable trends are: Drone Surveillance is a Key Trend Gaining Traction in the Maritime Security Market.

According to Cognitive Market Research, The Global Drinking Water Aircraft Service Cart market size is USD XX million in 2023 and will expand at a compound annual growth rate (CAGR) of 6.20% from 2023 to 2030.

The demand for Drinking Water Aircraft Service Carts is rising due to stringent regulatory compliance and rising air passenger traffic.
Demand for Vehicular remains higher in the Drinking Water Aircraft Service Cart market.
The Commercial Aircraft category held the highest Drinking Water Aircraft Service Cart market revenue share in 2023.
North American Drinking Water Aircraft Service Cart will continue to lead, whereas the Asia-Pacific Drinking Water Aircraft Service Cartmarket will experience the most substantial growth until 2030.

Growing Air Travel and Fleet Expansion to Provide Viable Market Output

The increasing demand for air travel, driven by factors such as economic growth, rising middle-class populations, and expanding tourism, serves as a key driver for the Drinking Water Aircraft Service Cart market. As airlines look to expand their fleets to meet the growing passenger demand, there is a parallel need for efficient and reliable service carts to cater to the potable water requirements of passengers and crew. The expansion of aircraft fleets worldwide creates opportunities for manufacturers and suppliers of Drinking Water Aircraft Service Carts to meet the escalating demand for these essential in-flight services.

November 2021, IndiGo, a low-cost carrier based in India, has announced the resumption of its meal services, which were previously suspended due to the COVID-19 pandemic. This decision follows the Indian Civil Aviation Ministry's authorization for airlines to reintroduce in-flight meal services on all domestic flights.

(Source:m.economictimes.com/industry/transportation/airlines-/-aviation/indigo-to-resume-on-board-meal-services/articleshow/87765606.cms)

Emphasis on Hygiene and Passenger Well-being to Propel Market Growth

The aviation industry's heightened focus on hygiene and passenger well-being, particularly in the wake of the COVID-19 pandemic, acts as a significant driver for the Drinking Water Aircraft Service Cart market. Airlines are increasingly prioritizing cleanliness and sanitation protocols, and potable water supply is a critical component of these efforts. Passengers expect airlines to provide safe and clean drinking water during flights. Therefore, the demand for advanced, contamination-resistant, and easily maintainable Drinking Water Aircraft Service Carts has surged, driven by the industry's commitment to ensuring a safe and healthy in-flight experience for travelers.

In July 2021, gategroup signed a partnership renewal agreement with LATAM Airlines to provide inflight catering services for an additional five years. According to the agreement, gategroup will serve LATAM Airlines at 16 locations, which include two new strategic domestic locations: Bogotá, Colombia, and Santiago, Chile.

(Source:www2.gategroup.com/newsroom/gategroup/latam-airlines-partnership-renewal/)

Market Dynamics of Drinking Water Aircraft Service Cart

Stringent Regulatory Compliance and Certification Requirements to Restrict Market Growth

One of the significant challenges in the Drinking Water Aircraft Service Cart market is the stringent regulatory standards and certification requirements imposed by aviation authorities. The design, manufacturing, and maintenance of Drinking Water Aircraft Service Carts must adhere to strict guidelines to ensure the safety and quality of potable water supplied to passengers and crew during flights. Complying with these regulations not only increases the complexity of production but also adds to the overall cost. Manufacturers and operators face the challenge of staying abreast of evolving aviation standards, often leading to longer development cycles and increased operational expenses.

Impact of COVID–19 on the Drinking Water Aircraft Service Cart Market

The COVID-19 pandemic had a significant impact on the Drinking Water Aircraft Service Cart market as the aviation industry faced unprecedented challenges. With widespread travel restrictions, lockdowns, and a substantial reduction in air travel, airlines experienced a sharp decline in passenger demand. This, in turn, led to a temporary downturn in the demand for new aircraft and related services, including the procurement o...

In India, there were over 400 airports and airstrips, while 135 were operational. Passenger traffic amounted to over 376 million at airports across India in financial year 2024, out of which close to 69.6 million were international passengers. This year's passenger traffic surpassed the previous record of 2019, grew 15 percent in comparison with 2023. The huge drop in 2021 was the result of the suspension of passenger air travel due to the coronavirus (COVID-19) pandemic since the second half of March 2020. India’s leading air carriers IndiGo airline was the leading passenger carrier in India with around 55 percent of market share in financial year 2023. It was established back in 2006 as a low-cost airline based at IGI Airport, Delhi. Following IndiGo airline was Vistara, a full-service airline with a much less 10.4 percent market share. Vistara is a joint venture between Tata Sons and Singapore Airlines. And just a few years ago, in February 2016, Jet Airways was the largest airline in India. However, due to tough competition, and financial issues, it ceased operations in April 2019, but is expected to resume its flight operations by the end of 2024 Air freight The total air freight tonnage handled in India was around 3.1 million metric tons in financial year 2023. It was an increase from the previous year recovering from the impact of the coronavirus (COVID-19) pandemic. IGI Airport in Delhi was the busiest in terms of volume of freight handled. In financial year 2021, India saw the highest volume of air freight of 3.56 million metric tons. It was on a steady growth trend until the start of the pandemic.

The global Aircraft Switches market, valued at $2133.44 million in 2025, is projected to experience steady growth with a Compound Annual Growth Rate (CAGR) of 3.4% from 2025 to 2033. This growth is driven primarily by the increasing demand for new aircraft, particularly in the burgeoning commercial aviation sector, coupled with the rising adoption of advanced avionics systems requiring sophisticated and reliable switching mechanisms. Stringent safety regulations within the aerospace industry further fuel the demand for high-quality, certified switches, contributing to market expansion. The market is segmented by end-user into Original Equipment Manufacturers (OEMs) and the aftermarket, with OEMs currently dominating due to large-scale aircraft production. However, the aftermarket segment is expected to witness considerable growth in the forecast period, driven by the increasing age of existing aircraft fleets requiring maintenance and part replacements. Technological advancements, including the integration of smart switches with enhanced functionalities and improved durability, are key trends shaping the market landscape. While potential supply chain disruptions and fluctuating raw material prices could pose challenges, the overall market outlook remains positive due to the sustained growth in air travel and the continuous technological enhancements within the aerospace industry. The regional distribution of the Aircraft Switches market shows a significant presence in North America and Europe, driven by established aerospace manufacturers and a strong regulatory framework. However, the Asia-Pacific region, particularly China and India, is anticipated to exhibit the fastest growth rate due to expanding domestic airlines and increasing aircraft orders. Competitive intensity in the market is high, with leading companies focusing on strategic partnerships, technological innovation, and geographical expansion to gain market share. Industry risks include potential geopolitical instability impacting supply chains and the inherent complexities involved in complying with stringent aerospace safety standards. Nevertheless, the long-term growth prospects for the Aircraft Switches market remain favorable, supported by the sustained expansion of the global aviation industry and the ongoing demand for reliable and technologically advanced switching solutions.

Snapshot img

Airport Handling Services Market Size 2025-2029

The airport handling services market size is forecast to increase by USD 71.1 billion at a CAGR of 7.5% between 2024 and 2029.

The market is experiencing significant growth due to the increasing infrastructure developments In the aviation industry. This collective pooling of airside equipment aims to enhance travel efficiency and reduce costs for airlines. Another key trend is the increasing demand for automation in airport operations, including catering services, jet fuel supply, and air cargo handling. However, challenges persist, such as accidents and aircraft damages at airports due to human error. Airport ground support equipment, buses, and insurance are crucial aspects of airport handling services, ensuring the smooth operation of airports and the safety of passengers and cargo. Construction projects at airports also present opportunities for market expansion. Overall, the market is poised for growth, driven by these trends and the ongoing evolution of the aviation industry.

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The market encompasses a range of essential services that facilitate the efficient and safe operation of airports, including ground handling, catering, and ramp handling. These services are crucial for ensuring the smooth flow of passenger traffic and aircraft movements. According to industry reports, The market is expected to grow significantly In the coming years, driven by increasing passenger traffic and the privatization of airports. Ground support systems, such as Nimbus Gateway and Celebi Aviation, play a vital role in this market, providing services like marshaling, servicing, cleaning, and fueling to airlines and their passengers. The market is also witnessing a trend towards automation systems to reduce carbon footprint and improve operational efficiency.
In addition, cargo handling is another significant aspect of the market, with a growing demand for seamless and efficient handling of air freight. Overall, the market is a dynamic and evolving industry that is essential to the aviation sector.

How is this Industry segmented and which is the largest segment?

The industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  International
  Domestic


Service

  GSHS
  CHS


Geography

  APAC

    China
    India
    Japan
    South Korea


  Europe

    Germany
    UK
    France


  North America

    Canada
    US


  Middle East and Africa



  South America

By Type Insights

The international segment is estimated to witness significant growth during the forecast period.

The market caters to managing aircraft and passenger requirements from international destinations. Services encompass ground handling, cargo handling, commercial baggage services, ticketing, gate assistance, and more. According to the UN World Tourism Organization's latest report, international tourist arrivals surpassed 1.4 billion in 2024, marking an 11% increase over 2023, or 140 million additional arrivals. This growth underscores the necessity for efficient airport handling services to facilitate increased passenger traffic and streamline airport operations worldwide. Airport handling services encompass various aspects such as ground power units, ground support equipment, fuel supply, and aircraft movements. Additionally, modernization projects, including automation systems, charging stations for electric vehicles, and zero-emission buses, are becoming increasingly prevalent to reduce carbon footprint and enhance sustainability.

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The international segment was valued at USD 79.30 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 53% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The market in the Asia Pacific (APAC) region is currently the largest and is projected to experience significant growth In the upcoming years. The increase in air travel demand in APAC is driving the need for efficient airport handling services to enhance airport operations. Governments In the region are also investing in airport expansion projects to accommodate increasing passenger traffic and promote civil aviation. These initiatives present lucrative opportunities for both regional and international airport handling service providers. To stay competitive, these companies a

As of March 2024, Akasa Air was the most punctual airline across the metro airports of India, which had 85 percent on-time performance. On the other hand, Alliance Air was the least punctual domestic airline, with 49 percent on-time arrivals.

Domestic aviation market

With an annual decline of over 50 percent in 2021, the domestic air travel market across the south Asian country had declined across the globe. That year, there had been over 428 thousand domestic departures by Indian private airlines. National airlines had a comparatively much lower domestic departure number. According to the Directorate of Civil Aviation, the country had around 62 thousand domestic air travelers in 2021.

Flying overseas

Growth in the international segment was slower compared to the domestic segment. The country’s low-cost operators accounted for about 25 percent of international capacity. Regardless, in 2018, India was linked to about 304 international destinations, as opposed to 230 a decade earlier.

The country's growing population and rising disposable income could pose a constant conundrum of rising passenger traffic. Overcapacity could be an issue faced by domestic players. The industry was nonetheless expected to grow, albeit at a lesser pace. India was expected to become the third largest global air transport market in 2026, up from seventh in 2018.

Market Overview and Growth Drivers: The global jet fuel market is valued at $175.76 million, projected to expand at a robust CAGR of 11.07% during 2025-2033. This growth is predominantly driven by the resurgence of the aviation industry post-COVID-19. Increasing air travel demand, particularly for leisure and business purposes, is fueling the demand for jet fuel. Moreover, ongoing geopolitical tensions and the expanding defense sector are contributing to the market growth. Key Market Trends and Restraints: The jet fuel market is segmented into fuel types (Jet A, Jet A1, Jet B) and applications (commercial, defense, general aviation). Commercial aviation dominates the market, with growing passenger traffic and the introduction of new aircraft. The defense sector is expected to exhibit significant growth due to increased military spending and aircraft modernization programs. However, the market faces certain restraints, including fluctuating crude oil prices and environmental concerns related to carbon emissions from air travel. Recent developments include: April 2023: Indian Oil Corporation intends to form a joint venture with US-based clean energy technology company LanzaJet Inc and numerous domestic airlines to produce sustainable aviation fuel (SAF). At USD 366 million, the proposed business will establish a factory to manufacture SAF using alcohol-to-jet technology at the state-run company's Panipat refinery in Haryana., March 2023: NREL regional analysis can aid in accelerating the production and delivery of sustainable aviation fuel. Sustainable aviation fuel (SAF), made from nonpetroleum sources such as trash and biomass, can reduce aviation greenhouse gas (GHG) emissions by 50% or more than fossil-derived jet fuel.. Key drivers for this market are: 4., The Increasing Number of Air Passengers4.; Increasing use of Aircraft in Defence Sector. Potential restraints include: 4., The Increasing Number of Air Passengers4.; Increasing use of Aircraft in Defence Sector. Notable trends are: The Commercial Segment to Dominate the Market.

According to Cognitive Market Research, The Global Aerospace Parts Manufacturing market will be USD 925.5 billion in 2023 and will enhance at a compound annual growth rate (CAGR) of 4.50% from 2023 to 2030.

The demand for Aerospace Parts Manufacturing is rising due to passenger air traffic.
Demand for aircraft manufacturing remains higher in the Aerospace Parts Manufacturing market.
The commercial category held the highest Aerospace Parts Manufacturing market revenue share in 2023.
North America will continue to lead, whereas the European Aerospace Parts Manufacturing market will experience the most substantial growth until 2030.

Increasing Demand for Commercial Aircraft to Provide Viable Market Output

The aerospace parts manufacturing market is experiencing growth due to increasing demand for commercial aircraft. It is fueled by rising air travel demand, driven by economic growth, globalization, and expanding middle-class populations. Airlines continually expand and modernize their fleets to meet this demand, creating a heightened need for aerospace parts manufacturing. Additionally, advancements in technology and a focus on fuel efficiency are prompting the replacement of older aircraft with newer, more technologically advanced models, further stimulating the demand for aerospace components and driving growth in the market.

For instance, in February 2023, Air India ordered 470 civilian aircraft. This purchase is expected to revolutionize the airline's fleet, onboard products, and expand its global network.

(Source: travel.economictimes.indiatimes.com/news/aviation/domestic/air-india-announces-mega-470-aircraft-order-with-airbus-boeing-to-mordernise-its-fleet/97934145#:~:text=After%20weeks%20of%20anticipation%2C%20TATA,widebody%20and%20single%20aisle%20aircraft.)

Increasing Adoption of 3D Printing in Aircraft Manufacturing to Propel Market Growth

The increasing adoption of 3D printing in aircraft manufacturing propelled the market's growth. It allows for producing complex and lightweight components, enhancing overall aircraft performance and fuel efficiency. 3D printing facilitates rapid prototyping and customization, reducing production time and costs. Moreover, it enables manufacturing intricate designs that are otherwise challenging using traditional methods. As the aerospace industry increasingly embraces 3D printing for its numerous advantages, this technological shift is influencing the growth of the aerospace parts manufacturing market.

For instance, GE Aviation has a 3D-printed fuel nozzle for its LEAP aircraft engine, which reduces weight and improves fuel efficiency. The company has also produced 3D-printed titanium components for its GEnx engine, reducing weight and improving durability.

(Source: www.ge.com/additive/additive-manufacturing/industries/aviation-aerospace)

Market Dynamics of the Aerospace Parts Manufacturing

High Development Costs to Restrict Market Growth

The Aerospace Parts Manufacturing market faces a challenge due to high development costs. The intricate nature of aerospace components demands adherence to stringent quality and safety standards, driving up research, development, and testing expenses. Advanced materials, cutting-edge technologies, and compliance with ever-evolving regulations increase production costs. Moreover, the need for continuous innovation to stay competitive further amplifies financial burdens on manufacturers. These high development costs challenge market players, limiting their ability to maintain competitive pricing while ensuring top-notch quality, affecting profit margins in the aerospace parts manufacturing sector.

Impact of COVID-19 on the Aerospace Parts Manufacturing Market

The aerospace parts manufacturing market experienced the impact of COVID-19 disruptions, and reduced air travel demand led to a downturn in the aviation industry. Many aerospace manufacturers experienced production delays, financial strain, and workforce reductions. The decline in new aircraft orders and postponed maintenance projects further impacted the market. Despite the challenges, the industry adapted by focusing on cost-cutting measures, technological innovation, and diversification. As the world gradually recovers from the pandemic, the aerospace parts manufacturing market is expected to rebound. Still, ongoing uncertainties in air travel and global economic conditions may ...