by The global Electric Aircraft Market is estimated to be valued at US$ 9661.6 Mn in 2023 and is expected to exhibit a CAGR of 14.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The Electric Aircraft Market includes battery-powered aircrafts that do not emit any kind of emissions. These aircrafts use electric motors powered by on-board battery packs for propulsion. This eliminates the use of jet fuel completely, making electric aircrafts more environment-friendly compared to traditional fuel-burning aircrafts. Electric aircrafts have lower operating and maintenance costs. Moreover, they are significantly quieter than jet aircrafts, which is beneficial for passenger comfort.
Market key trends:
One of the major trends in the Global Electric Aircraft Market Size includes the development of more powerful and energy-dense lithium-ion battery technologies. Companies are investing heavily in R&D to develop next-generation lithium-ion batteries with higher energy density. For example, Skydweller Aero is developing lithium-sulfur batteries that can provide 3-4 times more energy density compared to lithium-ion batteries. Higher energy density batteries will increase the flight range of electric aircrafts, addressing a major limiting factor. This, in turn, is expected to boost adoption of electric aircrafts over the forecast period.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is low in the electric aircraft market due to high capital requirement for R&D and manufacturing. Existing players have established brands and distribution networks.
Bargaining power of buyers: The bargaining power of buyers is high due to availability of alternatives from different manufacturers. Buyers can negotiate on price and demand additional services.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as there are multiple component suppliers and establishing long term contracts reduces dependency on single supplier.
Threat of new substitutes: Threat of new substitutes is low as electric aircraft is environment friendly with no operational emissions. Needs significant investment to develop alternative propulsion systems.
Competitive rivalry: Intense competition among existing players to continuously improve technology and gain higher market share.
Key Takeaways
The global Electric Aircraft Market is expected to witness high growth, exhibiting CAGR of 14.% over the forecast period, due to increasing investment to develop new electric aircraft programs and supportive government policies for electric air mobility.
Regional analysis: North America dominated the market in 2023 and is expected to continue its dominance during the forecast period. Presence of prominent manufacturers like Boeing, Airbus, Raytheon Technologies Corporation in the US and Canada driving market growth. Asia Pacific expected to witness fastest growth due to increasing focus on developing urban air mobility solutions in China and Japan.
Key players: Key players operating in the electric aircraft market are Boeing, Airbus, Raytheon Technologies Corporation, Honeywell International Inc., Thales Group, Lockheed Martin Corporation, Zunum Aero, YUNEEC, Elektra Solar GmbH, PIPISTREL, BYE AEROSPACE, DELOREAN AEROSPACE, LLC, Joby Aviation, Siemens, Safran, Bombardier, TTTech Computertechnik AG, and AgustaWestland.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.
