The global regional jet market size is set to bulge owing to the rising focus of manufacturers on the enhancement of cabin comfort for delivering a hassle-free passenger experience. In June 2019, Mitsubishi Aircraft Corporation, for instance, unveiled SpaceJet, its latest aircraft to cater to the high demand from the regional jet industry. It would provide more profits to airliners and offer more comfort to passengers. This information is given by Fortune Business Insights™ in a report, titled, “Regional Jet Market, 2023-2028.” As per the report, the market size is projected to grow from USD 10.47 billion in 2023 to USD 16.58 billion in 2028 at a CAGR of 6.8% in the forecast period. In 2020, it stood at USD 9.40 billion.
COVID-19 Pandemic: Halt of Production and Order Cancellations Hampers Growth
The outbreak of the COVID-19 pandemic has resulted in the cancellations of aircraft orders, halt of production, and termination of partnerships among companies worldwide. Airbus SE, for instance, declared that it received around 16 cancellations of A220 series in April 2020 because of the reduced workforce and fleet of airliners. At the same time, Embraer cancelled its partnership with Boeing in September 2020 amid the pandemic. Our research reports will help you to select the best strategy for surging the sales of regional type of jets.
Segmentation-
Commercial Segment Held 79.27% Share in 2020
By platform, the market is divided into commercial and military. Amongst these, the commercial segment earned 79.27% in terms of the regional jet market share in 2020. This segment is anticipated to remain at the forefront because of the increasing adoption of next-generation aircraft. These can provide more passenger comfort and are lightweight.
Report Coverage-
The research report comprises a methodical study of various regions and countries. It was developed by our team of skilled analysts after studying and perceiving several factors that regulate regional growth, such as political, technological, social, economic, and environmental status of the region. The competitive landscape segment was established to assist you with augmented understanding of the partnerships that key players are emphasizing on to contest across the world.
Drivers & Restraints-
Increasing Air Passenger Traffic to Propel Growth
Nowadays, people are choosing air travel as it is the fastest and safest mode of transportation. Hence, airline operators are trying to diversify more destinations and routes. The rising air traffic and passenger load has further driven the demand for new generation regional jets. Flightradar24, for instance, mentioned that the regional aviation world fleet in 2019 comprised 10,000 units of regional aircraft. It is expected to grow in the near future. However, delays in promised aircraft deliveries are likely to hinder the regional jet market growth.
Regional Insights-
Presence of de Havilland to Favor Growth in North America
Geographically, North America gained USD 3.63 billion in 2020 in terms of share. The presence of reputed companies, such as de Havilland would aid regional growth. Also, the region houses a vast assembly line for aircraft belonging to varied sizes. On the other hand, Europe would show moderate growth because of the need to invest in the development of unique technologies. In Asia Pacific, India is anticipated to emerge on account of the expansion of the commercial aviation sector.
Competitive Landscape-
Key Players Aim to Gain a Competitive Edge through New Agreements & Partnerships
The global market encompasses a huge number of companies that are working untiringly to attain a competitive edge. Most of them are partaking in collaborations or novel agreement signing to co-develop novel aircraft or bag them for their fleets. Below are the two significant industry developments:
- March 2021: The Bombardier CRJ aircraft came out of the assembly line at the manufacturing plant in Canada. It will be operated by SkyWest Airlines and provided to Delta Air Lines.
- November 2020: PSB Leasing Company and Irkut signed three agreements following which Russian airlines, such as Red Wings Airlines (WZ), Azimuth Airlines (A4), and Aeroflot (SU) would get delivery of eight Sukhoi Superjet 100 aircraft.
Source : https://www.fortunebusinessinsights.com/regional-jet-market-106235
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