NEW
YORK, July 15, 2024 /PRNewswire/ -- The
global commercial aircraft leasing market size is
estimated to grow by USD
19.45 billion from 2023-2027, according to Technavio.
The market is estimated to grow at a CAGR of 9.48% during the
forecast period. Strong market position of irish and chinese
lessors is driving market growth, with a trend towards influence of
taxes on aircraft leasing. However, fall in the price of crude oil
poses a challenge. Key market players include AerCap Holdings N.V.,
Air Lease Corp., Aircastle Ltd., ALAFCO Aviation Lease and Finance
Co., Avolon Aerospace Leasing Ltd., Bank of Communications Co.
Ltd., BBAM US LP, BOC Aviation Ltd., China Aircraft Leasing Group
Holdings Ltd., Deucalion Aviation Ltd., Dubai Aerospace Enterprise (DAE) Ltd.,
Macquarie Group Ltd., Orix Corp., Saab AB, and Tokyo Century
Corp..
Get a detailed analysis on regions, market
segments, customer landscape, and companies- View the
snapshot of this report
Commercial Aircraft
Leasing Market Scope
|
Report
Coverage
|
Details
|
Base year
|
2022
|
Historic
period
|
2017 - 2021
|
Forecast
period
|
2023-2027
|
Growth momentum &
CAGR
|
Accelerate at a CAGR of
9.48%
|
Market growth
2023-2027
|
USD 19459.38
million
|
Market
structure
|
Fragmented
|
YoY growth 2022-2023
(%)
|
7.95
|
Regional
analysis
|
APAC, Europe, North
America, South America, and Middle East and Africa
|
Performing market
contribution
|
APAC at 43%
|
Key
countries
|
US, China, Japan,
Germany, and France
|
Key companies
profiled
|
AerCap Holdings N.V.,
Air Lease Corp., Aircastle Ltd., ALAFCO Aviation Lease and Finance
Co., Avolon Aerospace Leasing Ltd., Bank of Communications Co.
Ltd., BBAM US LP, BOC Aviation Ltd., China Aircraft Leasing Group
Holdings Ltd., Deucalion Aviation Ltd., Dubai Aerospace Enterprise
(DAE) Ltd., Macquarie Group Ltd., Orix Corp., Saab AB, and Tokyo
Century Corp.
|
Market Driver
Commercial aircraft leasing market is influenced by various
factors, including taxes. Governments impose taxes like Value-Added
Tax (VAT) based on the operational characteristics of carriers. VAT
exemptions can lessen the burden on lessors, encouraging market
growth. For instance, Norway and
Switzerland offer conditional VAT
exemptions. European Union member states provide VAT exemptions for
Jet A-1 fuel purchases for charter flights. Channel Islands of
Jersey and Guernsey offer complete VAT exemptions. Belgium and France have provisions for operators with more
than 80% international flights to avail VAT exemptions. These
exemptions significantly reduce tax burdens and are expected to
continue promoting market growth over the forecast
period.
The commercial aircraft leasing market is experiencing
significant growth, driven by increasing air passenger traffic and
the need for aerial solutions in various sectors. Air freight and
emergency services are key areas of focus, with lessors providing
cost-effective alternatives for aircraft operators, including dry
leasing. The aviation sector is also investing in new aircraft
deliveries to meet capacity demands, with infrastructure and
maintenance markets playing crucial roles. Air safety standards
remain a top priority, influencing feasibility studies and
financial burdens. Emerging markets and low-cost aircraft carriers
are also contributing to the market's expansion. However, factors
like fuel prices, regulatory compliance, and environmental impact
pose challenges. ICAO and commercial aviation regulations continue
to shape the industry landscape. Fleet management, aircraft flying
hours, and manufacturing are essential aspects of this dynamic
market.
Discover 360° analysis of this market. For
complete information, schedule your consultation - Book
Here!
Market Challenges
- The decline in crude oil prices since 2008 has led to
substantial savings for airlines on fuel expenses. With crude oil
prices dropping from around USD147
per barrel in July 2008 to
USD20 per barrel in July 2020, and expected to reach USD75 per barrel in 2022, aviation fuel prices
have also decreased. This cost reduction has enabled airlines to
boost their profit margins, prompting some to purchase aircraft
instead of leasing them. In 2021, Airbus reported a significant
increase in sales, with 771 new orders, including 64 for the A220
and 661 for the A320neo Family. Airbus' backlog reached 7,082
aircraft at the end of 2021. However, this downward trend in crude
oil prices may negatively impact the growth of the global
commercial aircraft leasing market during the forecast period.
- The commercial aircraft leasing market plays a significant role
in the commercial airline industry, providing a cost-effective
alternative to purchasing aircraft outright. However, challenges
persist. Capacity demands and capital outflow are key concerns for
lessors. Regulatory compliance, including commercial aviation
regulations from ICAO, adds to the financial burden. Dry
leasing, short-term and long-term, caters to various needs.
Emerging markets and freight transportation present growth
opportunities. However, challenges like fuel price volatility, raw
material supply, and technological solutions for environmental
impact remain. Safety, passenger traffic, and fleet feasibility
studies are crucial. Leasing commercial aircrafts also supports
emergency services and mobility services. Low-cost aircraft and
carriers, as well as UAM solutions like urban air mobility and
unmanned aerial mobility, are emerging trends. Cost-effective
alternatives like wet leasing and mobility on demand, along with
vehicle integration, are shaping the future of transportation
efficiency. Fatalities and volume of freight are critical factors
in feasibility studies. The market's feasibility depends on
balancing these challenges and opportunities.
For more insights on driver and
challenges - Request a sample report!
Segment Overview
This commercial aircraft leasing market report extensively
covers market segmentation by
- Product
- 1.1 Narrow-body aircrafts
- 1.2 Wide-body aircrafts
- 1.3 Regional aircrafts
- Type
- 2.1 Wet lease
- 2.2 Dry lease
- Geography
- 3.1 APAC
- 3.2 Europe
- 3.3 North America
- 3.4 South America
- 3.5 Middle East and
Africa
1.1 Narrow-body aircrafts- Narrowbody aircraft,
featuring a single aisle cabin with passengers seated in two rows,
are popular among efficiency-focused airline carriers in both
emerging and developed economies. These aircraft, equipped with
twin-engine setups integrated into their wings, provide essential
thrust. The demand for these aircraft is significant due to their
ability to enhance profitability for airlines, influenced by
average load factors and seasonality. Low-cost carriers (LCCs) are
continually modernizing their fleets to capitalize on new market
opportunities and maintain competitiveness. The growth of the
global commercial aircraft leasing market for narrowbody aircraft
is anticipated to increase due to the rising tourism sector and the
expanding personal jet leasing industry.
For more information on market segmentation with geographical
analysis including forecast (2023-2027) and historic data
(2017-2021) - Download a Sample Report
Learn and explore more about Technavio's in-depth research
reports
Global Commercial Aircraft PMA Market: The market for Parts
Manufacturer Approval (PMA) in commercial aircraft involves
alternative parts that meet FAA standards, offering cost savings
and supply chain flexibility to airlines and MRO providers.
Global Aircraft Fuel Systems Market: Fuel systems in aircraft
ensure efficient fuel storage, transfer, and management, crucial
for safety and performance. Market growth is driven by advancements
in fuel efficiency technologies and rising air traffic.
Global Commercial and Military Aircraft MRO Market: Maintenance,
Repair, and Overhaul (MRO) services for both commercial and
military aircraft ensure operational readiness, safety compliance,
and fleet longevity. Market expansion is fueled by fleet
modernization and regulatory requirements.
Research Analysis
The aircraft leasing market plays a crucial role in the
commercial airline industry by providing a cost-effective
alternative for airlines to acquire and operate aircraft. Aircraft
deliveries continue to increase, driven by growing air travel
demand and infrastructure development. Aircraft maintenance is a
significant market, ensuring air safety standards are met and
aircraft flying hours are maximized. Emerging markets and low-cost
carriers are driving growth in the sector. ICAO regulations and
commercial aviation regulations set the framework for aircraft
operations. Aircraft infrastructure development and manufacturing
are key areas of investment. Dry leasing, where the lessor retains
ownership and responsibility for maintenance, is a popular option.
Emergency services and mobility on demand are new areas of focus,
while environmental impact and fatalities remain critical concerns.
Feasibility studies are essential to assess market potential and
profitability. The aircraft leasing market is dynamic, influenced
by factors such as airline financial performance, fuel prices, and
technological advancements.
Market Research Overview
The commercial aircraft leasing market plays a crucial role in
the aviation sector, providing a cost-effective alternative for
airlines to acquire and operate aircraft without the significant
capital outflow of purchasing them outright. The market caters to
various sectors, including air passenger traffic and air freight,
offering dry and wet leasing options. Capacity expansion in
emerging markets and the need for aircraft infrastructure upgrades
are driving demand for new deliveries and maintenance services. Air
safety standards and commercial aviation regulations are key
considerations for lessors and operators. The market's growth is
influenced by factors such as air travel volume, fuel prices, and
technological solutions. Aircraft leasing is also essential for
emergency services, mobility on demand, and urban air mobility
(UAM) solutions. The market's feasibility is influenced by factors
like raw material supply, manufacturing capacity, and the
environmental impact of aviation. The aircraft leasing market
interacts with various stakeholders, including airlines, aircraft
operators, airplane manufacturers, and aviation authorities like
ICAO. The market's growth is expected to continue as air travel
demand increases, and new technologies like UAM solutions and
unmanned aerial mobility (UAM) gain traction. The market's volume
of freight and passenger traffic, as well as the efficiency of
transportation, are essential factors influencing its growth. The
aircraft leasing market's investment pockets include capacity
expansion, fleet modernization, and the integration of vehicles for
mobility services.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Product
-
- Narrow-body Aircrafts
- Wide-body Aircrafts
- Regional Aircrafts
- Type
-
- Geography
-
- APAC
- Europe
- North America
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory
company. Their research and analysis focuses on emerging market
trends and provides actionable insights to help businesses identify
market opportunities and develop effective strategies to optimize
their market positions.
With over 500 specialized analysts, Technavio's report library
consists of more than 17,000 reports and counting, covering 800
technologies, spanning across 50 countries. Their client base
consists of enterprises of all sizes, including more than 100
Fortune 500 companies. This growing client base relies on
Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
View original content to download
multimedia:https://www.prnewswire.com/news-releases/commercial-aircraft-leasing-market-size-is-set-to-grow-by-usd-19-45-billion-from-2023-2027--strong-market-position-of-irish-and-chinese-lessors-boost-the-market-technavio-302195873.html
SOURCE Technavio