DUBLIN--(BUSINESS WIRE)--The "Middle-East Aviation Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" report has been added to ResearchAndMarkets.com's offering.
The Middle-East Aviation Market was valued at USD 13.19 billion in 2020 and is projected to reach USD 23.07 billion in 2026 with a CAGR of 7.86% during the forecast period (2021-2026).
Companies Mentioned
- ATR Aircraft
- Bombardier Inc.
- Embraer SA
- The Boeing Company
- Airbus SE
- Leonardo SpA
- Textron Inc.
- Dassault Aviation SA
- General Dynamics Corporation
- Cirrus Aircraft Corp.
- Honda Aircraft Company
- Lockheed Martin Corporation
Key Market Trends
Growing demand for Business Jets will Drive the General Aviation Segment During the Forecast Period
Middle-East has been a lucrative market for both the business and private aviation verticals, due to the presence of large high net worth and ultra-high net worth individual (HNWI/UHNWI) population in the region. There is a high demand for large-cabin and long-range business jets in the Middle-East due to their high luxury and comfort. Though there is a single business jet delivery in the region in 2020, the business jet demand is expected to grow in the coming years in the region, after a downfall for several years. Due to the growing concerns regarding the spread of the COVID-19, first-class and corporate travelers are expected to prefer general aviation options for safer and quicker transport, which is expected to drive the segment in the years to come.
Business jet manufacturers have also shifted their focus onto the region and are considering the Middle-East as a high potential region for future business jet sales, as several companies in the United States and Europe are cutting back on frills like the corporate plane charter in an attempt to save money and appease investors. Also, the growth in demand for charter operations is driving the segment. For instance, in 2019, Qatar Airways this week confirmed an order valued at USD 1 billion for 18 Gulfstream aircraft to be operated by Qatar Executive, the business jet subsidiary of Qatar Airways. The deliveries are expected to be completed by 2022. Such orders are expected to drive the growth of the segment during the forecast period.
Saudi Arabia is Expected to Dominate the Market During the Forecast Period
In the Middle-Eastern aviation market, Saudi Arabia currently accounts for a major market share. The country is undergoing a progressive change to become a key aviation-related industry in the region and is witnessing an increase in the number of developments related to the market. Saudi Arabia has long recognized the aviation sector as a means to drive economic growth. Privatization of the airports has played a major role in increasing the growth of the aviation industry in Saudi Arabia. Moreover, since the last two decades, the aviation market in Saudi Arabia has witnessed significant growth in terms of airport infrastructure. Prior to the advent of the pandemic, the increasing number of air passengers in Saudi Arabia has led to an increase in the number of aircraft orders. In 2019, Saudi Arabian Airlines, the kingdom's national airline, announced that it had ordered 65 A320neo-type aircraft from Airbus, worth more than USD 7.4 billion at list prices. In addition, as of March 2021, Saudia is reportedly considering a massive aircraft order from both Airbus and Boeing.
The airline plans to buy 70 aircraft in total, including the A321, 777, and 787 aircraft. With the air passenger traffic showing signs of recovery and the government offering financial aid, it is unlikely that there will be further aircraft order cancellations or deferrals in the coming future. On the other hand, the Military aviation in Saudi Arabia is witnessing significant growth and changes. Saudi Arabia is expanding its military aviation fleet, for which they have already placed orders for several military aircraft. The ongoing rivalry between Saudi Arabia and Iran may be the main driver, which is likely to lead to a growth, in terms of military aircraft acquisitions in Saudi Arabia. In March 2021, Lockheed Martin subsidiary Sikorsky announced that it has obtained a USD 53.87 million contract modification to produce four UH-60M Black Hawk helicopters for Saudi Arabia. The deliveries will be completed by June 2022. Saudi Arabia is also a lucrative market for general aviation in the Middle-East region. The only business jet delivered in the Middle-East region in 2020 was delivered to a customer in Saudi Arabia. Furthermore, the high wealth in the country is also projected to drive the market for general aviation in the country during the forecast period.
Key Topics Covered:
1 INTRODUCTION
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Porter's Five Forces Analysis
5 MARKET SEGMENTATION (Market Size by Value - USD billion)
5.1 Aircraft Type
5.2 Application
5.3 Geography
6 COMPETITIVE LANDSCAPE
6.1 Company Profiles
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
For more information about this report visit https://www.researchandmarkets.com/r/905b5d
