Australia Aviation Market Report and Forecast 2025-2034

The Australia aviation market size is assessed to grow at a CAGR of 3.50% between 2025 and 2034. The market is being aided by the robust growth of the air transport sector and growing attempts to surge the sustainability of the aircraft sector.

Key Trends in the Market

Aviation refers to activities encompassing the aircraft sectors and different aspects of air travel. It also encompasses activities, including military aviation, aircraft manufacturing, airlines, and research companies, among others. While military aviation refers to aircraft use within military settings and facilitates aerial warfare, civil aviation represents non-governmental and non-military applications.

• The air transport sector is one of the largest contributors to the Australian economy, along with one of the largest employers in the country. This, coupled with growing domestic and international travel, is supporting the Australia aviation market growth. In addition, the expansion of airport infrastructure and increasing aviation capacity are positively impacting the market growth.
• Some key Australia aviation market trends include the growing attempts to enhance the sustainability of aircraft and the increasing investments in the development of sustainable aviation fuels (SAFs) by the Australian government and key players. For instance, in June 2022 Airbus and Qantas Airways announced an investment of USD 200 million for the development of sustainable aviation fuel (SAF) to lower carbon emissions of the airline in Australia.
• The Australia aviation market expansion is being fuelled by the development of advanced aviation technologies by key players. Technologies such as artificial intelligence (AI) are expected to optimise aircraft maintenance, improve flight safety, enhance customer experience, stimulate system failures and flight conditions, and improve pilot training.
• The development of autonomous aircraft that can increase safety, lower the risk of human errors, and reduce operating costs is anticipated to favour the market demand in the forecast period.

Market Analysis

The report titled “Australia Aviation Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:

Market Breakup by Aviation Type

• Commercial Aviation
• General Aviation
• Military Aviation

Market Share by Aviation Type

Commercial aviation represents a significant portion of the Australia aviation market share due to the growing popularity of air travel. According to estimates, 2.15 million passengers moved through regional airports in 2023, as compared to 2.05 million passengers in 2022.

Airlines in the country are also expanding their operations amid the growing interest in tourism and rising travel for business and personal purposes. For instance, in December 2023, Airnorth, a regional Australian airline, launched a new service between Perth and Alice Springs amid the surging international visitation in Central Australia.

As per the Australia aviation market analysis, the demand for military aircraft such as fighters and reconnaissance planes in the country is significantly increasing amid growing geopolitical concerns. Moreover, the Australian government is increasingly investing to develop and upgrade military aircraft due to the surging complexity of warfare.

Competitive Landscape

The report gives a detailed analysis of the following key players in the Australia aviation market, covering their competitive landscape and latest developments like mergers, acquisitions, investments and expansion plans.

Dassault Aviation SA

Dassault Aviation SA is an aerospace company that is involved in designing and building business jets, military aircraft, and space systems. Since its establishment in 1929, the company has created over 100 prototypes and delivered 10,000 aircraft to about 90 countries. It is one of the largest partners of the French defence sector and has designed the Rafale multirole fighter, which can handle both naval and air missions.

Pilatus Aircraft Ltd.

Pilatus Aircraft Ltd. is a company that is engaged in producing and developing high-performance aircraft, single-engine turboprops, and associated simulators. Founded in 1939, the company has also designed leading systems for pilot training. It has also developed the world’s first business jet for use in short-prepared runaways. It is headquartered in Stans, Switzerland, and is committed to sustainability and environmental consciousness.

Lockheed Martin Corporation

Lockheed Martin Corporation is a prominent aerospace and security company that is headquartered in Maryland, the United States. The company is engaged in the development, design, manufacture, research, and integration of advanced systems, products, and technologies. The company is one of the largest aircraft suppliers of the US defence sector and a prominent contractor for the National Aeronautics and Space Administration (NASA) and the US Department of Energy (DOE).

Other Australia aviation market players include Airbus SE, Northrop Grumman Corp., Bombardier Inc., General Dynamics Corporation, The Boeing Company, Leonardo S.p.A., Cirrus Design Corporation (Cirrus Aircraft), and Textron Inc., among others.