Aircraft Manufacturing Market Report 2026

The aircraft manufacturing market size has grown strongly in recent years. It will grow from $475.69 billion in 2025 to $505.35 billion in 2026 at a compound annual growth rate (CAGR) of 6.2%. The growth in the historic period can be attributed to growth in global air passenger and cargo traffic driving aircraft production, expansion of military procurement programs for advanced aircraft, advancements in aerostructure design and manufacturing technologies, increased investments in aircraft testing and certification infrastructure, rising demand for specialized aircraft such as cargo planes and business jets.

The aircraft manufacturing market size is expected to see strong growth in the next few years. It will grow to $623.81 billion in 2030 at a compound annual growth rate (CAGR) of 5.4%. The growth in the forecast period can be attributed to rising production of next-generation commercial and military aircraft, growing adoption of lightweight materials and composite aerostructures, increasing demand for fuel-efficient and low-emission aircraft designs, expansion of autonomous and unmanned aircraft manufacturing capabilities, advancements in digital engineering and smart manufacturing improving aircraft development efficiency. Major trends in the forecast period include integration of autonomous and ai-assisted flight systems, use of smart manufacturing and robotics in aircraft assembly, development of eco-friendly and lightweight aircraft materials, increased focus on digital twin technology for aircraft design and testing, advanced predictive maintenance using big data and iot sensors.

The rise in air passenger traffic is expected to drive the growth of the aircraft manufacturing market. Air passenger traffic is measured by the number of passengers transported by airlines or airports over a given period. It serves as a key indicator of demand for air travel and is influenced by economic conditions, consumer preferences, travel restrictions, and airline competition. Increasing demand for air travel and rising passenger numbers have created growth opportunities for the aircraft manufacturing industry, as airlines require additional aircraft to expand their fleets and introduce new routes and services, thereby increasing demand for new aircraft orders. For example, in January 2024, the International Air Transport Association, a Canada-based trade association, reported that traffic in 2023 rose by 41.6% compared to 2022. By December 2023, international traffic had increased 24.2% over December 2022. Therefore, rising air passenger traffic will support the growth of the aircraft manufacturing market.

Leading companies in the aircraft manufacturing market are developing new solutions such as electric aircraft production facilities to strengthen their competitive position. Electric aircraft are aerial vehicles powered by electric propulsion systems that rely on electric motors for thrust. For instance, in October 2023, Beta Technologies, a US-based aerospace company, opened an advanced electric aircraft production facility at Patrick Leahy Burlington International Airport. The 188,500-square-foot facility, designed to be net-zero and equipped with sustainable technologies, will manufacture BETA’s all-electric aircraft, including the ALIA CTOL and ALIA VTOL, for both military and commercial applications. Sustainable features include geothermal wells, rooftop solar panels, and efficiency-focused design elements. BETA's manufacturing strategy combines vertical integration with collaboration among top aerospace suppliers, with plans to produce up to 300 aircraft per year.

In October 2025, Boeing, a U.S.-based aerospace company, acquired Spirit AeroSystems for $4.7 billion. The acquisition is intended to streamline Boeing’s operations and enhance quality control by reintegrating the aerostructures supplier it had separated from nearly twenty years earlier. To address competition concerns, Boeing agreed to divest Spirit’s Airbus-related operations and sell its Malaysian facility to Composites Technology Research Malaysia Sdn Bhd. Spirit AeroSystems is a U.S.-based manufacturer specializing in aerostructures for commercial and defense aircraft.

Major companies operating in the aircraft manufacturing market are The Boeing Company, Lockheed Martin Corporation, Airbus SE, General Dynamics Corporation, Northrop Grumman Corporation, BAE Systems plc, Leonardo S.p.A., Textron Aviation Inc., Kawasaki Heavy Industries Aerospace Company, Commercial Aircraft Corporation of China Ltd. (COMAC), Gulfstream Aerospace Corporation, Dassault Aviation, Bombardier Inc., United Aircraft Corporation, Mitsubishi Aircraft Corporation, Embraer S.A., Saab AB, Irkut Corporation, Korea Aerospace Industries Ltd. (KAI), Sukhoi Company, Piper Aircraft Inc., Diamond Aircraft Industries GmbH, Antonov State Company, Hindustan Aeronautics Limited, Pilatus Aircraft Ltd., ATR - GIE Avions de Transport Régional.

North America was the largest region in the aircraft manufacturing market in 2025. Asia-pacific is expected to be the fastest-growing region in the global aircraft manufacturing market report during the forecast period. The regions covered in the aircraft manufacturing market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs on aerospace materials, components, and imported aircraft have increased manufacturing costs and disrupted global supply chains in the aircraft manufacturing market. Segments most affected include passenger aircraft, UAVs, and military aircraft, particularly in regions such as North America, Europe, and Asia-Pacific where cross-border sourcing is significant. Despite challenges, tariffs have incentivized local production, strengthened domestic aerospace capabilities, and encouraged investments in advanced manufacturing technologies, providing potential long-term benefits for innovation and supply chain resilience.

The aircraft manufacturing market research report is one of a series of new reports that provides aircraft manufacturing market statistics, including aircraft manufacturing industry global market size, regional shares, competitors with a aircraft manufacturing market share, detailed aircraft manufacturing market segments, market trends and opportunities, and any further data you may need to thrive in the aircraft manufacturing industry. This aircraft manufacturing market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Aircraft manufacturing is the comprehensive procedure that encompasses the conception, development, and fabrication of aircraft. This intricate process involves a spectrum of activities, spanning from engineering and design to the final stages of assembly and testing. Aircraft, which are specialized machines engineered for air travel, have the capacity to transport people or cargo. This category includes various types of aerial vehicles, such as airplanes, jets, helicopters, and other aircraft designed for navigating through the airspace.

The principal product categories in aircraft manufacturing include gliders, helicopters, ultra-light aircraft, passenger aircraft, unmanned aerial vehicles (UAVs) and drones, as well as blimps or airships. Gliders are aircraft without engines, designed for unpowered flight. The diverse range of aircraft types also includes freighter aircraft and passenger aircraft, each serving various applications such as military and defense, civil aviation, commercial freight transport, and other specialized uses within the aerospace industry.

The countries covered in the aircraft manufacturing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The aircraft manufacturing market consists of sales of cargo plane, military plane, and jet aircraft. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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