Lightweight Coating Materials Gain Momentum in Europe’s Advanced Aerospace Coatings Market
VALLEY COTTAGE, NY — Market research firm Future Market Insights (FMI) has released a study that reports the advanced aerospace coatings market in Europe was valued at just over $390 million in 2018. The study expects the market to register a compound annual growth rate (CAGR) of 4.9% through 2028. Increasing demand for efficient and lightweight advanced aerospace coatings is expected to be a major factor driving the demand for advanced aerospace coatings in the European market during the forecast period.
Europe’s increasing air passenger traffic has increased demand for commercial aircraft. This, in turn, is leading to an increase in the production of commercial aircraft. The growth of the advanced aerospace coatings market is directly dependent on total aircraft production and fleet size.
Rising production and sales of aircraft, particularly in developing countries within the region, are anticipated to create noteworthy opportunities in Europe’s advanced aerospace coatings market. Increasing aircraft deliveries by leading manufacturers such as Airbus and Boeing are underpinning substantial additions to the existing aircraft fleet size of Europe.
As the number of aircraft that are in service is increasing, there is a subsequent rise in demand for maintenance, repair, and overhaul (MRO) of various aircraft parts, components and vital systems. This, according to FMI, will trigger revenue growth of MRO sales within Europe’s advanced aerospace coatings market during the forecast period.
The MRO sales channel of the commercial segment of the European advanced aerospace coatings market is projected to grow at a 5.9% CAGR during the forecast period. Increasing fleet size of commercial and business aircraft and high demand for customized exteriors are some of the other factors driving the growth of advanced aerospace coatings MRO sales.
Because an aircraft is a very expensive commodity, a number of small airline carriers prefer to lease from major players. While leasing helps these airlines avoid high capital investments, they generally tend to renovate the entire aircraft before putting it into operation. The entire aircraft cabin is renovated according to specific requirements of airline carriers. Often, a leased aircraft is coated with multiple paints and colors, highlighting the symbol and logo of particular airlines. According to the report, the increasing rate of aircraft leasing will continue to push growth of the advanced aerospace coatings market in Europe.
The study reports that sales of advanced aerospace coatings continue to suffer from relatively gradual growth of European economies. Since the financial crisis, economic growth has slowed down, as compared to the growth registered prior to the financial crisis. Wage growth has been weak, and most of the industrial work has been outsourced to emerging economies, which has made industrial investment in developed economies weak. This, in turn, has restrained growth in the advanced aerospace coatings market.
Democratic uprisings, such as the Arab Spring, economic sanctions against Russia and the involvement of Ukraine in a proxy war, have pushed many countries into economic turmoil. The market in these nations has been deteriorating exponentially and, recently, these markets have exhibited a moderate growth scenario. Due to the economic crisis, purchasing in these countries has dropped, and the demand for advanced aerospace coatings has suffered because of that drop.
Regarding the competitive landscape, the study reports that the advanced aerospace coatings market in Europe is consolidated with the top two market players (Akzo Nobel and PPG Industries Inc.) accounting for double-digit market shares as of 2017. The top 10 players in the European advanced aerospace coatings market are projected to collectively account for between 50% and 60% of market share.
In the recent past, the advanced aerospace coatings market has witnessed significant improvements in terms of competition. Acquisitions, collaborations and expansion of production capacity are some of the key strategies being adopted by market players to expand and sustain the market.
For additional information about the report, Advanced Aerospace Coatings Market: Soaring Demand for Leased Aircraft to Uplift Aftermarket Sales Potential: Europe Industry Analysis 2013-2017 and Opportunity Assessment 2018-2028, visit https://www.futuremarketinsights.com/reports/sample/rep-eu-82.