Global Air Transport MRO Market Report and Forecast 2024-2032

Global Air Transport MRO Market Size

The global air transport MRO market size reached approximately USD 105.73 billion in 2023. The market is estimated to grow at a CAGR of 2.2% in the forecast period of 2024-2032, reaching a value of around USD 128.18 billion by 2032.

Air Transport MRO Market Growth

MRO is an acronym for maintenance, repair, and overhaul in the aviation sector and encompasses a set of operations that ensures the safety and reliability of an aircraft. Some of the common activities under MRO include aircraft maintenance, infrastructure repair, and routine inspections, among others.

Increased integration of remote maintenance tools to conduct remote inspections as well as perform routine maintenance and troubleshoot issues without on-site visits is boosting the growth of the air transport MRO market. Such tools also facilitate the collection of real-time data, collaboration between onsite technicians and remote MRO experts, and the capturing of content for training and audits.

Air Transport MRO Market Trends

Growing investments in MRO aviation software for work scheduling and tracking, paperless maintenance and repair operations, efficient cost analysis, and reduced turnaround time is a crucial trend of air transport MRO market.

The adoption of advanced technologies such as artificial intelligence, big data analytics, blockchain, and IoT to improve the efficiency and accuracy of MRO operations also provides impetus to the crucial air transport MRO market growth. Airline companies are seeking out MRO service providers' assistance to help them meet regulatory compliances regarding environmental regulations and safety standards. In the forecast period, the introduction of stringent regulations by governments worldwide to ensure the optimal health of aircraft is anticipated to fuel the demand of air transport MRO market.

Recent Developments

MRO Japan announced that it has plans to start the conversion of Airbus passenger to freighter (P2F) in the fiscal year 2025 with the certification of the European Union Aviation Safety Agency (EASA), which can increase air transport MRO market opportunities in the country.

Industry Outlook

Major factors influencing the global market growth include the rising fleet of advanced aircraft needing specialized maintenance, and the increasing use of predictive maintenance technologies to enhance reliability and minimize downtime.

As per the air transport MRO industry analysis, Global Survey of Leaders in the Maintenance, Repair, and Operations (MRO) industry states that the Aircraft health monitoring increase reliability by 63%, reduces engine maintenance costs by 35%, and component maintenance costs by 20%. Additional advantages include improved total cost of ownership modeling by 20%, reduced airframe maintenance costs by 14%, decreased spare parts requirements by 14%, shorter check span times by 10%, and lower inventory costs by 10%.

Predictive maintenance provides substantial benefits, including airframe maintenance cost reduction by 37%, engine maintenance cost reduction by 33%, reliability enhancement by 30%, and component maintenance cost reduction by 19%, which can increase the growth of the air transport MRO industry. Furthermore, it contributes to shorter check span times by 19%, reduced inventory costs by 15%, improved total cost of ownership modelling by 11%, and decreased spare parts requirements by 11%. The significant reliability improvements and cost reductions across various maintenance domains drive demand for advanced MRO services.

In 2019, Asia Pacific held a dominant share of 36.9% in air passenger traffic, which increased to 42.9% in 2020 before dropping to 32.6% in 2021 and further declining to 26.6% in 2022. It is projected to recover to 35.9% in 2024, indicating a potential increase in demand for Maintenance, Repair, and Operations (MRO) services that can enhance the air transport MRO industry revenue. Europe’s share decreased from 26.5% in 2019 to 21.2% in 2020, then rose to 29.0% in 2022, with a projected share of 26.3% in 2024. North America saw a consistent rise from 22.1% in 2019 to 29.0% in 2021, before stabilizing at 27.2% in 2022 and 22.4% projected in 2024. Latin America-Caribbean's share increased from 7.5% in 2019 to 9.6% in 2022, while the Middle East saw fluctuations, rising to 5.0% in 2022 from 3.7% in 2020. Africa’s share remained relatively stable, ranging from 2.2% to 2.7% over the years.

The recovery and growth in passenger traffic, especially in Asia Pacific and North America, will drive the demand for MRO services. Additionally, Europe’s fluctuating but significant share underscores the need for robust MRO support to sustain operational efficiency.

What Factors are Strengthening the Growth of the Global Market for Air Transport MRO?

• Expanding Aircraft Fleet and Aging Aircraft: The increasing global aircraft fleet and ageing aircraft require more frequent maintenance, driving air transport MRO demand growth.

• Technological Advancements and Operational Efficiency: Innovations in predictive maintenance, health monitoring systems, and diagnostics tools enhance efficiency and reliability, while airlines' focus on reducing downtime boosts MRO demand.

• Regulatory Compliance and Safety Standards: Strict international aviation safety regulations necessitate regular and thorough maintenance, ensuring compliance and safety, strengthening the MRO market.

• Growth in Air Passenger Traffic and Emerging Markets: Rising global air passenger traffic and expansion in regions like Asia Pacific and the Middle East increase the need for MRO services to support higher aircraft utilization and market development.

Challenges Impacting the Global Market for Air Transport MRO along with High Operational Costs and Technological Complexity:

• Skilled Workforce Shortages: Shortages in skilled technicians and engineers hinder efficient and timely MRO services as well as air transport MRO demand forecast.

• Rapid Technological Advancements: Keeping pace with rapid advancements in aircraft technology requires continuous investment in training and infrastructure.

• Environmental Regulations: Increasing focus on environmental sustainability imposes additional compliance and operational costs on MRO providers.

What are the Key Trends Shaping the Global Market for Air Transport MRO?

• Data-Driven Maintenance Programs: Airlines use data analytics to predict and prevent aircraft maintenance issues, reducing downtime and costs.

• Additive Manufacturing (3D Printing): 3D printing allows quick and cost-effective production of aircraft parts, enhancing repair speed and efficiency and boosting air transport MRO market value.

• Advanced Robotics and Automation: Robotics perform precise aircraft inspections and maintenance tasks, improving accuracy and operational efficiency.

• Environmentally Sustainable Practices: MRO providers focus on eco-friendly coatings and explore biofuels to reduce carbon footprint during operations.

Competitive Factors in the Global Market for Air Transport MRO

• In the competitive landscape of the global air transport MRO market, technological innovation plays a pivotal role as firms invest in predictive maintenance and robotics, ensuring efficient operations.

• As per the air transport MRO market dynamics and trends, strategic partnerships with airlines and OEMs provide exclusive contracts and access to cutting-edge aircraft components. Expertise in regulatory compliance enhances credibility, reassuring clients of adherence to stringent aviation standards. 

• Additionally, companies with a global operational footprint offer seamless services across diverse regions, leveraging their network to provide timely and reliable maintenance solutions. These factors collectively define competitive advantage, driving growth and sustainability in the dynamic MRO industry.

Key Players in the Global Market for Air Transport MRO and their Strategic Initiatives

• MTU Aero Engines AG: Focuses on developing next-generation engine technologies and innovative maintenance solutions, including digital twins for predictive maintenance and sustainable engine refurbishment.

• Lufthansa Group: Expands its MRO capabilities globally, emphasizing digital transformation with initiatives like integrating IoT and AI in maintenance operations to enhance efficiency and reduce turnaround times that can boost air transport MRO market revenue.

• Iberia Líneas Aéreas de España, S.A.: Invests in fleet modernization and eco-efficient technologies, such as implementing lightweight materials and sustainable fuel options, to reduce environmental impact while optimizing maintenance costs.

• John Swire & Sons (H.K.) Ltd. (HAECO Group): Enhances its MRO services with a focus on cabin innovation and retrofit solutions, offering personalized cabin configurations and advanced inflight entertainment systems.

• Delta Air Lines, Inc.: Focuses on optimizing its in-house MRO capabilities, including expanding its engine maintenance facilities and integrating advanced analytics for proactive maintenance planning to minimize operational disruptions.

• British Airways Plc: Invests in upgrading its MRO infrastructure and capabilities, including fleet-wide retrofit programs for enhanced fuel efficiency and reliability, and leveraging big data analytics for predictive maintenance and operational efficiency improvements.

Air Transport MRO Industry Segmentations

Based on aircraft, the market is divided into narrow body jet, wide body aircraft, turbo prep, and regional jet. On the basis of application, the market is classified into engine, component, line, and airframe. The air transport MRO market segmentation, on the basis of MRO supplier, includes OEM and non-OEM MRO. The major regional markets of air transport MRO are North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa.

The comprehensive EMR report provides an in-depth assessment of the market based on the Porter's five forces model along with giving a SWOT analysis. The report gives a detailed analysis of the following key players in the air transport MRO market, covering their competitive landscape and latest developments like mergers, acquisitions, investments, and expansion plans.

• MTU Aero Engines AG 

• Lufthansa Group 

• Iberia Líneas Aéreas de Espana, S.A.

• John Swire & Sons (H.K.) Ltd. 

• Delta Air Lines, Inc. 

• British Airways Plc 

• Air France-KLM Group 

• HAECO Group 

• AAR Corp. 

• Others

Air Transport MRO Market Share

Based on Aircraft

Narrow body jet occupies a sizeable portion of the air transport MRO market share due to the increased reliance on single-aisle aircraft as it provides a sustainable flying option. With the growing deployment of narrow-body aircraft, there is a burgeoning demand for regular inspection and maintenance of these aircraft and their components in air transport MRO industry. Narrow aircraft providers are readily relying on MRO experts to ensure engine performance, detect any possibilities of failure, improve fuel efficiency, and retrofit components and materials.

Based on Application

As per the air transport MRO market analysis, engines account for a substantial share of the global market. Engines are the backbone of aircraft, which surges the requirement for their regular service, repair, and inspection. Partnership and collaboration between OEMs and MRO service providers to offer advanced technologies and innovative solutions that elongate the life cycle of engines positively influence the market segment. Additionally, many MRO providers are opening engine maintenance facilities in new countries to expand their presence and gain a competitive advantage.

Air Transport MRO Market Regional Analysis

The Asia Pacific accounts for a major market share owing to the burgeoning presence of aircraft fleets in the region. Moreover, the availability of cheap labour and growing investment opportunities contribute to the air transport MRO demand.

Competitive Landscape

MTU Aero Engines AG is an aircraft engine manufacturer, founded in 1934 and headquartered in Munich, Germany. The company also provides maintenance services and innovative solutions for commercial and military engines.

Lufthansa Group is an aviation company in the air transport MRO industry that was incorporated in 1953 and has its headquarters in Cologne, Germany. The company owns several subsidiary airlines and provides aviation services such as MRO and logistics.

Iberia Líneas Aéreas de Espana, S.A., established in 1927, is an airline group, based in Madrid, Spain. The company also offers aircraft maintenance, in-flight catering, IT systems, and handling operations at airports.

Other market players include John Swire & Sons (H.K.) Ltd., Delta Air Lines, Inc., British Airways Plc, Air France-KLM Group, HAECO Group, and AAR Corp, among others.

Key Highlights of the Report

Air Transport MRO Market Report Snapshots

Air Transport MRO Market Size

Air Transport MRO Market Growth

Air Transport MRO Market Trends

Air Transport MRO Market Share

Air Transport MRO Companies

Air Transport MRO Market Regional Analysis