Enjoy complimentary customisation on priority with our Enterprise License!
The military aircraft modernization and upgrade and retrofit market size is forecast to increase by USD 4.48 billion, at a CAGR of 4.04% between 2023 and 2028. The growth rate of the market depends on several factors such as the incorporation of CNS systems in aircraft, the emergence of SVAB, and the service life extension of military aircraft fleets.
The market report includes a comprehensive outlook on the Military Aircraft Modernization and Upgrade and Retrofit Market, offering forecasts for the industry segmented by Application, which comprises combat aircraft, transport aircraft, and others. Additionally, it categorizes Type into fixed wing aircraft and rotary wing aircraft, and covers Regions, including North America, APAC, Europe, Middle East and Africa, and South America. The market research and growth report provides market size, historical data spanning from 2018 to 2022, and future projections, all presented in terms of value in USD billion for each of the mentioned segments.
Military Aircraft Modernization and Upgrade and Retrofit Market Forecast 2024-2028
To learn more about this report, Request Free Sample
Our researchers studied the data for years, with 2023 as the base year and 2024 as the estimated year, and presented the key drivers, trends, and challenges for the market.
Over the last few years have witnessed vast changes in warfare strategies and tactics, and countries are now constantly leveraging on R&D and innovations to ensure that their armed forces remain well-equipped with the most modern and state-of-the-art military platforms and technologies. However, some countries are retiring their older fleet of aircraft and procuring new ones, others are opting for modernizing and upgrading the older fleets and retrofitting them with advanced components and subsystems, considering the higher costs of acquiring a completely new aircraft.
Moreover, the US operates one of the largest fleets of military aircraft, which have been in service for over 25 years, and the USAF intends to keep operating them beyond their originally designed service life. Besides, several other nations, such as the UK, Russia, India, Australia, and South Africa, are also following the methodology to address the issues of aging aircraft. Consequently, a near-obsolete fleet of military aircraft has led to the surging demand for aircraft parts, weapon systems, and a range of aircraft electronics and equipment. This, in turn, will drive market growth during the forecast period.
The increasing investments in achieving integrated air defense capabilities among countries such as the US, Russia, and China have been playing a key role in the modernization of existing fighter aircraft fleets. Likewise, conducting military operations against countries that are capable of deploying advanced anti-access offensive weapon systems like cruise and ballistic missiles raises the need to develop and operate long-range airborne surveillance and strike platforms.
Furthermore, China operates the aerial refueling version of H-6K strategic bombers, namely H-6U. The country is investing in the enhancement of the existing performance capability of its H-6U tankers by replacing the payload bay (fitted in the fuselage) with additional fuel tanks that can reflect augmented fuel-carrying capacity to support aerial surveillance and attack platforms. Thus, the investment in both fighter and tanker aircraft will boost the growth of the market during the forecast period.
With the increasing instances of threats to the national security of a large number of countries across the world, the sophistication and capabilities of aircraft communication systems are being augmented. As the number of intelligence, surveillance, and reconnaissance (ISR) platforms/systems installed in aircraft is increasing, there is simultaneously a greater need for data analysis, information storage, security, and dissemination. The defense ministries of countries around the globe need to implement tools that are capable of analyzing massive amounts of data in real time.
Moreover, massive amounts of data can be achieved seamlessly by being addressed through technological advances. In line with this, Big Data is gaining momentum, through which any dataset of 20 terabytes or higher can be accessed. Full motion video and the constellation of platforms, each of which carries several state-of-the-art sensors, help in collecting a massive amount of high-resolution data, which overcomes the challenge to some extent. Thus, such factors may impede the growth of the market during the forecast period.
The combat aircraft segment will account for a major share of the market's growth during the forecast period.? The combat aircraft modernization, upgrade, and retrofit market is expected to have the largest share in the global market. These aircraft play an important role in battlegrounds and are immensely overused by armed forces, resulting in their significant deterioration. Since these aircraft are used for countering enemy attacks as well as launching attacks on enemy grounds, defense ministries focus on fitting the jets with the most advanced offensive and defensive mechanisms and equipment.
Customised Report as per your requirements!
The combat aircraft segment was valued at USD 9.96 billion in 2018. The US and its allied forces had deployed combat aircraft in large numbers in the war-stricken zones of the Middle East over the last couple of years. Furthermore, nations across the world are focusing on enhancing the readiness and performance of their combat aircraft. In addition, governments are also emphasizing the life cycle extension programs of combat aircraft that are of strategic importance in times of crisis. Hence, such factors will drive the segment and market in focus during the forecast period.
Based on type, the market has been segmented into fixed wing aircraft and rotary wing aircraft. The fixed wing aircraft ?segment will account for the largest share of this segment. When it comes to long-distance travel, fixed-wing aircraft such as airplanes have a significant advantage over rotary-wing aircraft since their fuel capacity is significantly more constrained. As fixed-wing aircraft can travel thousands of miles at very high altitudes, these are the main kinds of aircraft used by the military for airborne transportation. The global military aircraft modernization and upgrade and retrofit market is expected to experience significant growth due to the large-scale development and procurement of aircraft, such as F-16, F-35, F-22, the AV-8 Harrier, and Rafale fighter jets, which incorporate the deployment of military aircraft modernization and upgrade and retrofit. Therefore, such factors will drive the segment and market in focus during the forecast period.
For more insights on the market share of various regions Download Sample PDF now!
North America is estimated to contribute 49% to the growth by 2028. Technavio’s analysts have elaborately explained the regional trends, drivers, and challenges that are expected to shape the military aircraft modernization and upgrade and retrofit market growth analysis during the forecast period. North America leads the global military aircraft modernization and upgrade and retrofit market in terms of expenditure and technological advancements and thus generates a very high demand for military upgrades. Although Canada and Mexico also invest in the development of these aircraft, the market is primarily dominated by the US.
Moreover, the growth of the market in North America is primarily supported by the high investment in procurement, sustainment, modernization, and R&D programs for advanced aircraft by the US Department of Defense (DoD). Additionally, the ongoing US-China trade war and geopolitical events are expected to boost the procurement of military equipment, leading to a rise in the demand for military aircraft modernization. Hence, such factors are expected to drive market growth in this region during the forecast period.
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
We also have detailed analyses of the market’s competitive landscape and offer information on 15 market companies, including:
BAE Systems Plc, Dassault Aviation SA, Elbit Systems Ltd., Honeywell International Inc., Israel Aerospace Industries Ltd., Lockheed Martin Corp., Northrop Grumman Corp., Raytheon Technologies Corp., Saab AB, and The Boeing Co.
Technavio military aircraft modernization and upgrade and retrofit market research report provides an in-depth analysis of the market and its players through combined qualitative and quantitative data. The analysis classifies companies into categories based on their business approaches, including pure-play, category-focused, industry-focused, and diversified. Companies are specially categorized into dominant, leading, strong, tentative, and weak, based on their quantitative data analysis.
The military aircraft modernization and upgrade and retrofit market analysis and report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2018 to 2028.
Military Aircraft Modernization And Upgrade And Retrofit Market Scope |
|
Report Coverage |
Details |
Page number |
169 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 4.04% |
Market Growth 2024-2028 |
USD 4.48 billion |
Market structure |
Concentrated |
YoY growth 2023-2024(%) |
3.43 |
Regional analysis |
North America, APAC, Europe, Middle East and Africa, and South America |
Performing market contribution |
North America at 49% |
Key countries |
US, China, India, Germany, and France |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Airbus SE, BAE Systems Plc, Dassault Aviation SA, Elbit Systems Ltd., Honeywell International Inc., Israel Aerospace Industries Ltd., Lockheed Martin Corp., Northrop Grumman Corp., Raytheon Technologies Corp., Saab AB, and The Boeing Co. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get the report (PDF) sent to your email within minutes.
Get lifetime access to our
Technavio Insights
Quick Report Overview:
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.