Business Jet Market Size, Share & COVID-19 Impact Analysis, By Business Jet Type (Light Business Jet, Mid-Size Business Jet, Large Business Jet), By Platform (On-Demand Service, Aircraft Management Service), By System (Propulsion System, Aerostructure, Avionics, Others), By End-Use (Operator, Private), By Point of Sale (OEM, Aftermarket), and Regional Forecast, 2022-2029

The global business jet market size was USD 25.87 billion in 2021 and is projected to grow from USD 29.03 billion in 2022 to USD 38.34 billion in 2029, exhibiting a CAGR of 4.06% during the forecast period. The global COVID-19 pandemic has been unprecedented and staggering, with experiencing a lower-than-anticipated demand across all regions compared to pre-pandemic levels. Based on our analysis, the global market exhibited a decline of -12.1% in 2020 as compared to 2019.

A business jet, often known as a private jet, is a plane designed to transport small groups of people. Over the last few years, there has been exceptional growth in high-net-worth travelers generating a high demand for private aviation and procurement of enhanced private Jets worldwide. Moreover, fleet modernization programs by developed and emerging economies to improve fleet capabilities generate demand for new charter services with enhanced cabin interiors and advanced avionics.

COVID-19 IMPACT

Impact of COVID-19 on the Market to Witness a Speedy Recovery by Mid 2021

The pandemic has changed the market dynamics due to travel restrictions and strict aviation rules; hence, air travel demand has dropped since the coronavirus outbreak.

In 2021, the International Air Transport Association (IATA) released the IATA World Air Transport Statistic (WATS) publication with performance figures for 2020, 1.8 billion passengers flew in 2020, a decrease of 60.2% compared to the 4.5 billion who flew in 2019, domestic air passenger demand dropped by 48.8% compared to 2019, international passenger demand decreased by 75.6% compared to the year prior.

Governments and their region groupings worldwide have articulatedsupply chain managementsolutions by considering their problems during COVID-19. For instance, Quadrilateral Security Dialogue (QUAD/QSD) has considered establishing an alternative supply chain due to trade disruptions worldwide.

• In October 2021, Honeywell International predicted the rise of business jets by 12% and estimated 7400 new deliveries worth USD 238 billion from 2022 to 2031.


• According to a report of IATA, in November 2021, Asia Pacific airlines reported a 5.2 percent increase in international air cargo volumes compared to the same month in 2019.


• In December 2020, the Directorate General of Civil Aviation permitted the Air Taxi India to launch Tecnam P2006T VT-ATC aircraft. It can ferry three passengers on short-haul routes and is India's first air taxi service operator.

LATEST TRENDS

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混合动力飞机的出现Propulsion Technology to be a Key Opportunity for the Market Growth

In the future, technological advancements in the business type of jet will provide more opportunities for the global market to flourish. various electrical and electronic systems that will be upgraded and modernized with new software and hardware to increase the performance and dependability of business jets have a lot of room for improvement. OEMs will have more opportunities to capture the market by adopting hybrid-electric propulsion technology.

Hybrid-electric propulsion is a technology that combines an electric generator with agas turbineto create a turbogenerator. This turbogenerator is connected to batteries and powers various electric motors that move the aircraft using rotors and propellers.

In July 2021, Pratt & Whitney Canada, a division of Raytheon Technologies Corp, plans to advance its hybrid-electric propulsion technology and flight demonstrator program. This program is a part of USD 129.5 million investment supported by the government of Canada and Quebec.

DRIVING FACTORS

Introduction of New Programs in Private Jets Drives the Market Growth

Business aircraft are the aircraft used by companies and corporations for the movement of people or goods as per the requirement of the business. Individuals mostly use these jets for business travel or celebrities for personal use. The jet provides efficient long flight hours, flexible, safe, secure, and cost-effective access to destinations across the country and worldwide.

The introduction of new models in the existing fleet drives the growth of the global market. According to the data from the General Aviation Manufacturers Association (GAMA), the deliveries of jets increased by 12.5% in the first half of 2019. The demand for new models such as Gulfstream G500, Cirrus SF50 Vision, and Pilatus PC-24 is maximum due to their advantages. In October 2019, Gulfstream launched a new G700 jet, which has to carry a capacity of 19 passengers.

Increasing High Net Worth Individuals and Recommencement of Global Economic Growth to Propel Market Growth

Rising disposable income, growing urbanization, increasing high net worth individuals, increase in air travelers, and other factors drive the growth of the global market. Business type of jets are mostly used for business travel and personal use by multimillionaire celebrities. They give a more pleasurable and comfortable journey, are convenient, safe, and require less time.

Growing urbanization in Asia Pacific and increasing demand from China and India propel the market's growth. The rapidly growing aviation sector and rising demand for advanced business jets from millionaires propel the market's growth.

主要r players in the market, such as General Dynamics, Embraer, Airbus S.A.S., Boeing, Bombardier, and others, increase their expenditures in research & development and manufacture advanced jets.

RESTRAINING FACTORS

Lengthy Period of Product Certifications from Aviation Authorities to Hamper Market Growth

Delays in acquiring certification and discrepancies in how national regulations are interpreted across countries. The process becomes difficult and time-consuming as a result of the certification delays. The global business jet market growth is hampered by the lengthy certification process required by aviation authorities. If these variables allow competitors to get their aircraft on the market sooner, manufacturers are at a disadvantage.

Furthermore, extensive regulatory approval experience can be a huge competitive advantage for companies that cooperate with regulators. Bilateral Aviation Safety Agreements (BASAs) have been signed between the Federal Aviation Administration (FAA) and national airworthiness authorities in several nations to speed up reciprocal approvals and encourage consistent worldwide regulation.

SEGMENTATION

By Business Jet Type Analysis

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Large Business Jet Segment to Dominate the Market Owing to Duration and Nature of Business Trips

根据类型,市场划分为光,mid-size, and large business jets. The large segment held the highest market share and is anticipated to dominate during 2022-2029. Moreover, the COVID-19 pandemic has impacted the aviation industry and led to stringent airport rules, leading to a global change in nature and preference of business trips. This factor also accelerated the growth of large private jets.

轻型和中型商用飞机领域a dominant business jet market share in 2021. This factor is due to comparatively low prices and high demand from on-demand service providers. Furthermore, an increase in number of private operators across Asia Pacific and other regions propel the segment's growth during the forecast period.

By Platform Analysis

On-Demand Service Segment Held Highest Share Owing to the Presence of Various Service Providers Worldwide

Based on platform, the market is divided into on-demand service and aircraft management service.

The on-demand service segment is anticipated to dominate this market during the forecast period. This factor is due to the growing demand for new business aircraft in the U.S., the UAE, and China. Moreover, the growth is also due to the presence of many private jet service providers in developed and emerging economies.

The aircraft management service is anticipated to show significant growth during the forecast period. This growth is due to the demand for the MRO services and aircraft modernization programs, which is expected to boost the growth of the market segment during the forecast period.

By System Analysis

Propulsion System Segment is Anticipated to Hold Highest Market Due to Increasing Investments in Technological Advancement

Based on system, the market is segmented into propulsion system,aerostructure, avionics, and others.

The propulsion system segment is anticipated to show remarkable growth during the global market forecast period. Growing demand for new business aircraft and a rise in the delivery of technologically advanced systems in private jets across the globe are prominently expected to drive the market's growth.

The avionics segment is projected to show significant growth during 2022-2029 due to the rise in advanced avionics systems and modernization of old aircraft with advanced avionics systems, thereby contributing to the segment's growth.

By End-User Analysis

Increasing Fleet Modernization Program Accelerate Operator Segment

By end-user, the market is classified into operator and private.

The operator segment held a dominant place in the market during 2021. The increase in fleet modernization and increased demand for business jet operators across North America and Europe drive the segment's growth.

The private segment is expected to grow significantly during the forecast period. This factor is due to the increasing demand for private jets from high-net-worth individuals and corporate companies.

By Point of Sale Analysis

Introduction to New Aircraft Programs to Drive the OEM Segment

The market is bifurcated into OEM and aftermarket based on point of sale.

The OEM segment is expected to grow rapidly during the forecast period. The growth is due to a growing demand for new aircraft for on-demand service and the commercialization of electric business aircraft.

The aftermarket segment is expected to show significant growth during the forecast period. The growth due to increasing demand for the upgrade of existing business aircraft is expected to drive the growth of the segment. For instance, AMAC Aerospace received several MRO contracts from key players such as Airbus SE, Boeing Company, and others.

REGIONAL INSIGHTS

North America Business Jet Market Size, 2021 (USD Billion)

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The market is segmented into North America, Europe, Asia Pacific, the Middle East, and the Rest of the World.

North America dominated the market in 2021 and was valued at USD 9.23 billion. The growth is due to the presence of major key players, the highest fleet size, rising demand for electric aircraft, and availability of required infrastructure, propelling the market growth across the region. At present, the adoption of business jets in North America is preliminarily driven by the growing demand for the product in the U.S. and Canada.

Asia Pacific is projected to show remarkable growth during 2022-2029. The growth is due to increasing development and investment of infrastructures by China, India, and Japan. Furthermore, the adoption of business jets in China, India, and Japan is likely to drive the market in Asia Pacific due to increasing usage of business jets by operators and service providers in these countries. Asia Pacific customers prefer private jets for the demanding long-range routes and due to other travel restrictions. Even in the global market, the highest demand for large jets is from the Asia Pacific market.

Europe will showcase significant growth from 2022 to 2029. This factor is due to an increase in advanced technology-based aircraft and leasing facilities. This growth is also attributed to business jet operators and charter service providers. Air Partner, Jetfly, NetJets Europe, and VistaJet are some of the prominent charter providers in Europe.

Furthermore, due to changing flying behavior of passengers, the growth of private jets in the market has surged during 2021.

The Middle East is projected to witness constructive growth owing to high demand in large economies such as the UAE, Saudi Arabia, and Israel during the forecast period. Increasing aviation emission rules have fueled the demand for private aviation and newer aircraft. Furthermore, the presence of a large high net worth individuals (HNWI) in the Middle East had a positive impact on the market's demand-side dynamics while the associated ownership benefits, such as evolving fractional ownership or private jet card programs, have been a key factor in promoting the market growth.

The rest of the world will showcase moderate growth from 2022 to 2029. This growth is due to increased spending on the procurement of next-generation private jets from Latin America and Africa. The rising budget and growing programs for modernization of business class fleet propel the market growth.

KEY INDUSTRY PLAYERS

主要r Players Focus on Developing Technologically Advanced Aircraft to Compete with Other Players and Improve their Position

主要r key players, such as Airbus SAS Textron, Inc, are adopting strategies such as developing next-generation electric business aircraft designing and developing executive charter service jets with advancedavionics系统。此外,飞机制造商正在寻找forward to producing technologically advanced hybrid engines and establishing strong partnerships with emerging economies.

LIST OF KEY COMPANIES PROFILED:

• Airbus SAS (Netherlands)


• The Boeing Company(美国)


• Bombardier (Canada)


• Dassault Aviation(France)


• Embraer SA (Brazil)


• Gulfstream Aerospace Corporation(美国)


• HondaJet (U.S.)


• Textron, Inc. (U.S.)


• Eviation Aircraft (Israel)


• XTI. Aircraft (U.S.)


• Zunum Aero (U.S.)


• Joby Aviation (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• May 2021 –Dassault Aviation launched the Falcon jet, Falcon 10X. The Falcon series will enter the market in 2025, and the aircraft will have a range of 7,500 nautical miles of the speed of Mach 0.925.


• October 2020– Airbus jets launched the ACJ Two Twenty business jet, which meets the heavy and long-range business jet requirement. It has two times better connectivity Wi-Fi system, electro-chromatic windows, and LED lighting.

REPORT COVERAGE

An Infographic Representation of Business Jet Market

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The research report provides a detailed analysis of this market and focuses on key aspects such as top companies and leading applications. Moreover, the report includes business jet industry trends, market segmentation, global market size, business strategy, growth opportunities, and regional development status. In addition to the factors mentioned above, the report encompasses several direct and indirect factors that have contributed to the market's growth in recent years.

Report Scope & Segmentation

ATTRIBUTE	DETAILS
Study Period	2018-2029
Base Year	2021
Estimated Year	2022
Forecast Period	2022 - 2029
Historical Period	2018-2020
Unit	Value (USD billion)
Segmentation	Business Jet Type, Platform, System, End-User, Point of Sale, and Geography
	By Business Jet Type Light Business Jet Mid-Size Business Jet Large Business Jet
	By Platform On-Demand Service Aircraft Management Service
	By System Propulsion System Aerostructure Avionics Others
	By End-User Operator Private
	By Point of Sale OEM Aftermarket
	By Geography North America (Business Jet Type, Platform, System, End-User, Point of Sale, and Country) U.S. (By Type) Canada (By Type) Europe (Business Jet Type, Platform, System, End-User, Point of Sale, and Country) U.K. (By Type) Germany (By Type) France (By Type) Russia (By Type) Rest of Europe (By Type) Asia Pacific (Business Jet Type, Platform, System, End-User, Point of Sale, and Country) Japan (By Type) China (By Type) India (By Type) Australia (By Type) Rest of Asia Pacific (By Type) Middle East (Business Jet Type, Platform, System, End-User, Point of Sale, and Country) UAE (By Type) Saudi Arabia (By Type) Israel (By Type) Turkey (By Type) Rest of Middle East (By Type) Rest of the World (Business Jet Type, Platform, System, End-User, Point of Sale, and Country) Latin America (By Type) Africa (By Type)