KUALA LUMPUR: The commercial aircraft services market in the Asia-Pacific region will more than double in value to US$129 billion by 2043 from the current US$52 billion, according to Airbus' latest Global Services Forecast (GSF).
"The Asia-Pacific region will see the largest volume of growth and activity in terms of aftermarket services, with many opportunities for additional efficiency, simplification, and responsible operations," said Cristina Aguilar Grieder, Airbus senior vice president customer services.
"Airbus will continue to play an important role in supporting airlines and the aviation industry at large in responding to those opportunities."
According to a local aviation expert, the rapid digitalisation driven by connectivity marks one of the most significant advancements in the global aviation industry.
He noted that the projected surge, as outlined in the GSF forecast, is primarily fuelled by the region's rapid economic growth, increasing confidence in air travel, and the expanding fleet of commercial aircraft.
"Key factors contributing to this market expansion include rising demand for air travel, the growth of low-cost carriers, and the booming e-commerce sector. Moreover, the increasing need for aircraft maintenance, repair, and overhaul (MRO) services, along with the growing reliance on digital solutions for fleet management and operations, will play a crucial role in driving growth over the next two decades.
"The GSF forecast underscores the significance of the Asia-Pacific region as a major market for the aviation industry, both in terms of fleet size and service requirements, as airlines and service providers gear up to meet future demands," he told Business Times.
According to GSF, the commercial aircraft services market growth is expected to be driven by a demand for some 19,500 new aircraft for the region, supported by a compound annual growth rate (CAGR) of 4.81 per cent in passenger air traffic in the region.
GSF anticipates a rise in annual air traffic, fleet growth, and the requirement for more digitally enabled and connected aircraft.
It said that the growth in demand for services will be reflected in solutions implemented across all phases of the aircraft from delivery to end-of-life, including fleet maintenance, aircraft modernisation, and training.
Among the various segments of the services business in Asia and the Pacific, the maintenance market will more than double from US$43 billion to US$109 billion, representing a 5.0 per cent CAGR.
The enhancements and modernisation sector is projected to grow similarly, from US$5.1 billion to US$13 billion (+5.1 per cent CAGR), while training and operations is expected to rise from US$4.1 billion in 2024 to US$7.6 billion in 2043 (+3.3 per cent CAGR).
Airbus anticipates a need for 999,000 new skilled professionals in the region, accounting for nearly 45 per cent of global manpower over the next 20 years, comprising 268,000 new pilots, 298,000 new technicians, and 433,000 new cabin crew members.