The global commercial aircraft disassembly, dismantling, and recycling market is set to gain momentum from the increasing availability of recycled material at cheaper rates. Hence, automotive manufacturers are aiming to use them for several systems and components. This information is given by Fortune Business Insights™ in a new report, titled, “Commercial Aircraft Disassembly, Dismantling, and Recycling Market Size, Share & Industry Analysis, By Type (Recycling, Component Management, Disassembly, and Dismantling Aircraft, Storage Engine, and Teardown), By Application (Narrow Body Aircraft, Wide Body Aircraft, and Regional Aircraft), and Regional Forecast, 2020-2027.” The report further states that the commercial aircraft disassembly, dismantling, and recycling market size was USD 4.57 billion in 2019 and is projected to reach USD 5.40 billion by 2027, exhibiting a CAGR of 7.36% during the forecast period (2020-2027).
Fortune Business Insights™ presents a list of all the commercial aircraft disassembly, dismantling, and recycling service providers operating in the market. They are:
Aircraft End-of-Life Solutions (AELS)
BV (Delft, the Netherlands)
GA Telesis LLC (Florida, the U.S.)
AerSale Inc (Florida, the U.S.)
Tarmac Aerosave (Tarbes, France)
Bombardier Inc. (Montreal, Canada)
AJW Group (Horsham, the U.K.)
The Carlyle Group (Washington D.C., the U.S.)
China Aircraft Leasing Group Holdings Limited (Hong Kong, China)
AAR (Illinois, the U.S.)
Magellan Aircraft Services Corp. (Charlotte, NC, the U.S.)
Ascent Aviation Services (Arizona, the U.S.)
Air Salvage International Ltd (Cirencester, the U.K)
Other Players
Drastic Aviation Budget Cuts Owing to COVID-19 will Hamper Growth
There will be drastic aviation budget cuts during the post COVID-19 phase from the aircraft owners and airlines in prominent countries, such as Australia, China, Russia, Germany, France, the U.K., and the U.S. Also, the demand for spare parts would reduce between 2020 to 2021. Overall, the market will be severely affected. We are providing elaborate reports consisting of significant factors that may affect growth. Our analysts are conducting extensive research to help you find the best strategy for intensifying sales.
This Report Answers the Following Questions:
Which segment is likely to dominate in terms of share?
Which region is set to lead by generating the largest revenue?
What are the significant strategies adopted by key players to compete?
How would the outbreak of the COVID-19 pandemic affect the market?
Drivers & Restraints-
Rising Demand for USMs from Maintenance, Repair, & Overhaul Providers to Aid Growth
Nowadays, used serviceable materials (USMs) are experiencing high demand worldwide owing to their ability to lower the maintenance cost of the aircraft. USMs are taken out of retired aircraft and are installed in active commercial aircraft. Several maintenance, repair, and overhaul (MRO) providers are extensively using USMs owing to the rising number of aging aircraft. This is a vital factor that is set to propel the commercial aircraft disassembly, dismantling, and recycling market growth. However, recycling companies often tend to record every step present in the supply chain to collect data. This process may lead to inconvenience and, in turn, would obstruct the demand for commercial aircraft disassembly, dismantling, and recycling services.
Segment-
Narrow Body Aircraft Segment to Grow Rapidly Backed by Cost-effective Operations
Based on type, the market is segregated into region aircraft, wide body aircraft, and narrow body aircraft. Out of these, the narrow body aircraft is generated 64.0% in terms of commercial aircraft disassembly, dismantling, and recycling market share in 2019 and would grow rapidly throughout the forthcoming years. This would occur because of the rising demand for such aircraft from various airlines owing to their ability to provide cost-effective operations and high passenger carrying capacity. Also, the increasing air traffic would contribute to growth.
Regional Analysis-
North America to Remain at the Forefront Stoked by High Demand for MRO
In 2019, North America held USD 1.97 billion in terms of revenue. The region is anticipated to dominate in the near future on account of the increasing demand for MRO for commercial aircraft and the presence of renowned companies, especially in the U.S. Europe is likely to exhibit a significant CAGR fueled by the increasing awareness about unique technology-based private leasing facilities and recycling services. Asia Pacific, on the other hand, is set to showcase a healthy growth because of the major contribution of China.
Competitive Landscape-
Key Players Aim to Gain Competitive Edge by Engaging in Acquisitions
The market for commercial aircraft disassembly, dismantling, and recycling service houses a large number of companies. Most of them are striving to develop and design cost-effective and state-of-the-art disassembly, dismantling, and recycling processes by conducting extensive research activities. Some of the others are purchasing engines for teardown processes. Below are two latest industry developments:
August 2020: Baird Capital successfully acquired an interest in eCube. It will help in supporting the growth of the U.K. business, as well as its new facility situated in Spain. It will also surge the company’s additional disassembly capacity and parking availability.
March 2020: AJW Group recently bought CFM56-5B4 engine for teardown to broaden its engine management programs. The premium-quality engine parts will be stored at the company’s headquarter in the U.K. They will be shipped worldwide for sale and exchange purpose to support its customers’ portfolio of A320 aircraft.
Information Source -
https://www.fortunebusinessinsights.com/commercial-aircraft-disassembly-dismantling-and-recycling-market-103584