Aircraft Engine Market Size - By Type, Component, Technology, Application Analysis, Share, Growth Forecast, 2025 - 2034

Report ID: GMI12393
   |
Published Date: November 2024
 | 
Report Format: PDF

Download Free PDF

Aircraft Engine Market Size

The global aircraft engine market was valued at USD 81.2 billion in 2024 and is estimated to grow at a CAGR of 8.7% from 2025 to 2034.
 

Aircraft Engine Market

The modernization of military aircraft is driving the aviation engine industry forward. As countries improve their military air transport, more powerful engines are needed in the different versions of combat aircraft and other similar equipment. The development aims to improve performance and meet new operational requirements and further reduce fuel usage. Most governments tend to manufacture these engines to free themselves from dependence on foreign manufacturers and improve self-reliance. This emphasis on self-confidence is beneficial to market development, particularly in areas that want to improve their defense capability.
 

For instance, in March 2024, the Indian Ministry of Defense announced a contract between Hindustan Aeronautics Limited (HAL) and Russian OEM to produce the RD-33 aircraft engine. The aircraft MiG-29 of Indian Air Force shall now be more operationally efficient at a cost of approximately $600 million.
 

Developers are now focusing on MRO (maintenance, repair and maintenance) service. With the increasing complexity of new engines, the service interval also increases, ensuring an active aftermarket. The requirement for efficient maintenance plans that prolong the engine's operating time of aircraft operators is an additional service for parts and repairs aftermarket. It is clear that customers' relationships have changed and that a more flexible, personalized and sustainable approach has been adopted in the field of aircraft engine engineering and maintenance.
 

Aircraft Engine Market Trends

The concepts of fuel economy, engine life and cost are well balanced in the designing and manufacturing of an aircraft engine. This is mainly because of cutbacks being imposed by commercial airlines to rationalize costs and by the current concern about the carbon footprint. There is also growing attention to the development and modernization of engines towards fuel conservation and easier servicing. This reduces the operating costs of airlines and is welcome given the economic context and enables them to meet the demands for a reduction in emissions.
 

In addition, as commercial and regional jets grow, the demand for smaller aircraft engines also increases. Consequently, the design for turbofans and turboprop engines has undergone some alterations. For example, in May 2023, the Canadian company Pratt & Whitney Canada launched its newest turbine, the PW545D. The Cessna Citation Ascend, which is part of Textron Aviation's growing business jet family, is incorporated into the Cessna Citation Ascend family. The engine was designed and optimized by Textron Aviation, and PW545D achieved several targets. These include improved fuel consumption, higher thrust and longer time limits for maintenance and the optimization of aircraft system maintenance policy.
 

Aircraft Engine Market Analysis

There are many disadvantages in the aviation engine market. It requires a lot of money to build the engine, and more research, materials and tests are required. Emission, noise and safety standards for global aviation are very expensive and impossible to implement. Although these regulations are valid, they significantly hamper the speed and cost of developing new engines. Economic contradictions, such as global problems or recessions, can reduce the need to replace new aircraft engines, especially commercial flights, which are most affected.
 

Nevertheless, these obstacles offer fascinating possibilities. Energy-efficient engines, electric and hybrid engines are increasingly innovating, and government support to reduce carbon emissions promotes this innovation. In addition to new maintenance efforts, existing engines can also be modernized and made more efficient. With the recovery of the aviation industry after the outbreak, the need for new advanced engines and fleet renewal targets and efforts to reduce emissions are increasing.
 

Global Aircraft Engine Market Size, By Type, 2021 - 2034 (USD Billion)

Based on type, the market is segmented into turboprop, turbofan, turboshaft, and piston engine. The turboshaft segment is expected to grow at a CAGR of over 8.5% by 2034.
 

  • The aircraft engine market has been increasing steadily in the turboshaft category as commercial and military helicopters and unmanned aircraft (UAVs) use these engines continue to grow. These engines are widely used in military applications and some commercial applications. Due to their excellent power-to-weight ratio and reliability in various environments, they are quite popular and are suitable for missions requiring flexibility and precision.
     
  • The increasing focus on hybrid electric technologies, improved fuel efficiency, and the global transition towards this segment, which is sustainable, is driving the growth of the segment. The extreme conditions under which these engines are expected to work drive manufacturers to innovate new advanced turboshafts specialized engines that can work under these conditions.
     
Global Aircraft Engine Market Revenue Share, By Technology, (2024)

Based on technology, the aircraft engine market is segmented into conventional and hybrid. The conventional segment held a market share of over 57% in 2024 and is expected to grow at a lucrative pace.
 

  • With the modernization of airlines' fleet, the demand for conventional engines is increasing. New and improved aircraft burn less fuel, resulting in more and more airlines replacing their old aircraft with these new models. These new models burn less fuel and emit less harmful substances into the atmosphere. Therefore, new environmental policies can be followed without spending too much. As commercial aviation is evolving, the demand for new advanced conventional engines has increased, with the latest models with a better specific fuel consumption (SFC) and lower emission rates. Despite advances in aviation, conventional engines continue to represent a large part of the aviation market, and engine design changes have been made to address fuel efficiency and emissions problems.
     
  • As regulations on the environment become more stringent, the progress of these engines will contribute to controlling emissions and reducing fuel costs. Although hybrid technology is expected, conventional engines still prevail because of their reliability and low initial costs. This balance of efficiency, compliance and affordability keeps conventional engines at the forefront of the aviation industry.
     
U.S. Aircraft Engine Market Size, 2021 - 2034 (USD Billion )

North America dominated the aircraft engine market and is expected to reach a value of over USD 80.2 billion by 2034. Due to military modernization efforts such as the modernization of advanced fighters and unmanned systems, the need for high-performance turbine engines is being increased. The U.S. Department of Defense has promoted market growth through contracts for the next-generation propulsion system. These developments have led to transformations in the military aviation engines sector, which increase the level of competition between manufacturers to meet the demands of modern combat today.
 

The German market manufacturers and research institutions have joined together with other colleagues in the European aviation programme to develop more advanced engines. Efforts such as Clean Sky and Flight Path 2050 have become leaders in measures to increase fuel efficiency and reduce engine noise. The aim of these joint efforts is to develop environmentally friendly and future noise-free aircraft.
 

China aircraft engine market invests significantly in new technologies and the development of domestically produced fuel-efficient turbofan engines, as disposable incomes increase and domestic flight demand rises. At the same time, the country has made significant progress in reducing its dependence on foreign suppliers.
 

In Japan aircraft engine industry, the Japanese government and companies are working together with domestic and international commercial partners on the development of lightweight and fuel-efficient turbofan engines. Research that exceeds the traditional barriers of materials used in aircraft engines and hybrid propulsion systems can bring enormous economic growth by achieving international aviation standards. Improved economic efficiency and competition at the international level will lead to the lowering the market barriers for larger aircraft which would stimulate the interest in smaller craft including both turboshafts and turbomotors.
 

With the increase of both international and internal air traffic, South Korea aircraft engine market is committing resources towards the development of fuel efficient and environmentally benign engines. Airlines renew their fleet in order to keep up the increasing passenger demand by enhancing competitiveness in air transport with greater efficiency of turbofan engines. These changes are significant in increasing the country's economic and ecological competitiveness in aviation.
 

Aircraft Engine Market Share

Even big players such as Rolls-Royce, Pratt and Whitney, MTU Aero Engines and IHI are at each other’s throats in the highly aggressive aircraft engine industry today. These companies invest enormous amounts in modern technologies, which require many new and innovative forms of alliances. With regard to engine competition, the tendency has exacerbated the vc and ec engines markets further, as manufacturers have complying with strict regulations and increasing competition in the green aviation engines market.
 

These companies need to improve in other fields and compete to gain a greater share of the market share in advanced materials, engine performance and service after the engine is delivered. These companies have also diversified in strategic partnerships and invested in advanced technologies such as hybrid power generation systems, which will change the aviation world.
 

Aircraft Engine Market Companies

Major players operating in the aircraft engine industry are:

  • CFM International
  • Engine Alliance
  • Enjet Aero
  • General Electric
  • IHI
  • ITP Aero
  • Mitsubishi Heavy Industries Aero Engines
  • MTU Aero Engines
  • Pratt & Whitney (RTX)
  • Rolls-Royce
  • Safran
  • Textron
     

Aircraft Engine Industry News

  • In May 2024, Hanwha Aviation announced its new lease and trading platform, Hanwha Aviation. The platform is an airline leasing and trading process and offers robust solutions for commercial and military aircraft and engine hardware assets.
     
  • In October 2024, Safran Aircraft Engines in Paris, France, launched an investment plan worth over $1 billion to expand and modernize its global maintenance, repair and repair network (MRO). The goal is to combine with the growing LEAP engine fleet with composite materials around the world.
     

This aircraft engine market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD million) & volume (units) from 2021 to 2034, for the following segments:

Market, By Type

  • Turboprop
  • Turbofan
  • Turboshaft
  • Piston Engine

Market, By Component

  • Turbine
  • Compressor
  • Gearbox
  • Exhaust System
  • Fuel System
  • Others

Market, By Technology

  • Conventional
  • Hybrid

Market, By Application

  • Commercial Aircrafts
    • Narrow-body
    • Wide-body
    • Regional jets
    • Turboprop/Helicopters
  • Military Aircrafts
    • Fighter aircraft
    • Transport aircraft
    • Special mission aircraft
    • Military helicopters
    • Unmanned aireal vehicle

The above information is provided for the following regions and countries:

  • North America
    • U.S.
    • Canada
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Russia
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
    • Australia 
  • Latin America
    • Brazil
    • Mexico
  • MEA
    • UAE
    • Saudi Arabia
    • South Africa
Authors: Suraj Gujar, Partha Paul
Frequently Asked Question(FAQ) :
Who are some of the prominent players in the aircraft engine industry?
Key players in the industry include CFM International, Engine Alliance, Enjet Aero, General Electric, IHI, ITP Aero, Mitsubishi Heavy Industries Aero Engines, MTU Aero Engines, Pratt & Whitney (RTX), and Rolls-Royce.
Why is the turboshaft segment growing rapidly?
How much is the North America aircraft engine industry worth?
How big is the global aircraft engine market?
Aircraft Engine Market Scope
  • Aircraft Engine Market Size
  • Aircraft Engine Market Trends
  • Aircraft Engine Market Analysis
  • Aircraft Engine Market Share
Related Reports
    Authors: Suraj Gujar, Partha Paul
    Buy Now
    $4,123 $4,850
    15% off
    $4,840 $6,050
    20% off
    $5,845 $8,350
    30% off
        Buy now
    Premium Report Details

    Base Year: 2024

    Companies covered: 12

    Tables & Figures: 294

    Countries covered: 18

    Pages: 210

    Download Free PDF

    Top