Several ongoing geopolitical issues across the world is prompting various countries to spend more on their military expenditure and subsequently on airborne platforms, says Mordor Intelligence


Hyderabad, Jan. 18, 2023 (GLOBE NEWSWIRE) — Globally, the COVID-19 pandemic significantly affected various countries in 2020 and 2021 and many countries have paused aircraft orders as a financial restructuring measure for a short period. But despite the pandemic, the defense expenditure globally crossed over USD2 trillion in 2021. As one of the major military powers, the United States has increased its defense spending. And a similar increase in defense expenditure was also reported by China, the United Kingdom, Russia, and India.  

In addition, with the expected full recovery of the global military aviation industry from 2022, various defense forces around the world have placed several orders for new aircraft in 2022 with deliveries expected between 2023-2029. Additionally, in 2022, the war between Russia and Ukraine further fuelled the need to reassess the operational readiness of the global armed forces. NATO nations are undergoing fleet modernization and expansion programs with the procurement of new military aircraft and rotorcraft.  The armed conflicts and internal security are aiding in the growth of defense expenditure globally, with nations strengthening their armed forces with new procurements of aircraft and rotorcraft. 

Lockheed Martin, the major OEM, continued to see an uptick in orders and aircraft production through the first nine months of 2022 and is on track for a better 2023. The OEM has targeted to deliver about 2,587 new aircraft during the forecast period. Most of the delivery increase in 2022 has been attributed to the procurement of multi-role aircraft.  

In addition, apart from the increase in orders and deliveries, the military aviation industry is also targeting to reduce carbon emissions by using sustainable aviation fuel. Various OEMs like Airbus, Rolls Royce, and military operators such as the US military and RAF of the UK have started to test sustainable aviation fuel to achieve net-zero carbon emissions from their operations by 2050. On this note, In November 2022, Airbus’ A330MRTT completed its first 100% SAF test flight on both engines. Innovations such as these will positively impact the military aviation market and various countries might opt for a new younger fleet by retiring old aircraft that are fuel-efficient in the near future.  

As per Mordor Intelligence report on the Global Military Aviation Market which includes fixed-wing aircraft and rotorcraft, in 2021, North America and Asia-Pacific together accounted for 55% of the market. The US, China, France, Russia, India, Japan, UAE, and the UK were the major markets for new aircraft deliveries in 2021. However, the Asia-Pacific region will take higher deliveries of new aircraft during the forecast period (2022-2028), says Samrat Adepu, the Lead Analyst at Mordor Intelligence. 

Samrat also added that, the demand for multi-role aircraft and helicopters is increasing because of the rising levels of geopolitical threats and ongoing wars from various countries such as Russia and the Ukraine war. During 2022-2028, the multi-role aircraft segment is expected to witness higher growth due to the increasing procurement of next-generation combat aircraft by several countries, such as the US, UK, Japan, Canada, Australia, UAE, and the UK. Lockheed Martin’s F-35 is the major aircraft model that has been ordered by these countries in 2022. Likewise, during 2022-2028, the military transport helicopter segment is expected to witness higher growth due to its ability to perform a variety of tasks, ranging from airlifting troops, cargo resupply, and firefighting to medical evacuation. Sikorsky Aircraft’s CH-53K and Kazan Helicopters’ Mi-17 are some of the major models that have been ordered in 2022.  

Fleet modernization efforts such as these will create opportunities for the tier-1 and tier-2 suppliers to expand and invest in the latest technological advancements in the future. Some of the new technologies that can aid the military aircraft industry are Artificial Intelligence (AI), advanced materials, Additive Manufacturing (3D Printing), IoT, augmented reality (AR), and virtual reality (VR).