The commercial aircraft gas turbine engine market has been forecast to increase at a compound annual growth rate (CAGR) of 6.1% through 2016, driven by the increase in air traffic, and the use of biofuels in aircraft engines.
The commercial aircraft gas turbine engine market is largely reflective of prevailing global macro economic conditions and also trends within the overall aviation industry.
Given that demand for air travel is set to see a surge, particularly from emerging regional markets, suppliers and manufacturers of aircraft engines should see considerable opportunities for growth over the next ten years.
The jet engine is an integral part of the commercial aircraft and is a determining factor behind aircraft selection by all airlines.
More time and money is spent on the jet engine than on any other component and it is not surprising that considerable developments in technology have made the modern day engine vastly different to those engines which were designed in the 1930s.
Whilst deregulation has altered the make up of the wider aviation industry, this is not the case within the commercial aircraft gas turbine engine market. The industry is still heavily concentrated on three main companies - GE Aviation, Pratt & Whitney and Rolls Royce, coupled with a few joint venture partnerships that deal with specific engine programmes.
High barriers to entry, the importance placed on establishing a reputation for quality, and considerable sums earned from after sales services mean that this market structure for new jet engines is unlikely to change.
One of the main challenges facing the market is the increase in stringent regulations and certification processes.
Engine manufacturers face strict regulations introduced by aviation regulatory agencies such as the Federal Aviation Administration and European Aviation Safety Agency. In addition, the presence of stringent certification processes discourages new players to enter the market.
For more information on the commercial aircraft gas turbine engine market, see the latest research: Commercial Aircraft Gas Turbine Engine Market
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