The Passenger Emergency Oxygen Deployment Systems Market is projected to witness a CAGR of more than 3% during the forecast period.
- The increasing orders and deliveries of new commercial aircraft due to increasing air traffic passenger is anticipated to increase the demand for emergency oxygen systems in aircraft during the forecast period.
- The increasing military expenditure of the emerging economies is propelling the investments into procurement of next-generation aircraft for enhancing their air capabilities. Moreover, combat aircraft are required to perform High-G maneuvers, which requires the pilot to wear an oxygen mask to retain consciousness. These scheduled orders are anticipated to bolster the growth of oxygen systems in military aircraft.
- The need for regular replacement of oxygen systems is also anticipated to drive the market growth in the coming years.
Key Market Trends
Commercial Aircraft Segment Dominates the Market in terms of Share
The commercial aircraft segment currently dominates the market, and it is expected to continue its dominance during the forecast period. The increase in global passenger traffic due to the increase in passenger traffic due to an increase in the economy of the middle-class and increase in tourism has led to increase in the procurement of new aircraft by various airlines around the world. The increase in sales commercial aircraft is expected to subsequently drive the growth of the passenger emergency oxygen systems market. The aircraft deliveries of Airbus and Boeing increase by approximately 57% and 75% during the period of 2010 – 2018. In 2019, Airbus delivered 863 aircraft, and Boeing delivered 380 aircraft. The deliveries of Boeing decreased greatly in 2019 due to the crashes of B737 MAX aircraft. This led to the grounding of B737 MAX aircraft as well as cancellation of orders, due to which the deliveries. Further, due to COVID-19, the decrease in passenger traffic has greatly affected the revenues of airlines, which in turn might affect the expansion plans of the airlines in the coming years. Such factors are anticipated to hamper the growth of the segment in the coming years.
Asia-Pacific is Expected Register the Highest Growth Rate During the Forecast Period
The Asia-Pacific region of the market is anticipated to register the highest CAGR during the forecast period. This is mainly due to the increasing passenger traffic in the region, which is propelling the demand for expansion plans of the airlines. Particularly, the growing passenger traffic of LCCs in the region generating demand for procurement of new narrow-body aircraft. Indigo placed an order for 300 A320neo family aircraft, a mix for A320neo, A321neo and A321XLR aircraft in October 2019. With this, the number of A320neo family aircraft on order of Indigo increased to 730 aircraft. Also, the increasing military spending and current on-going political tensions are generating demand for new military aircraft such as fighter aircraft, transport aircraft, and patrol aircraft among others is anticipated to generate demand for oxygen systems in during the forecast period.
Some of the prominent players in the passenger emergency oxygen deployment systems market are Safran SA, Collins Aerospace, Meggitt PLC, Rostec State Corporation, and Worthington Industries Inc., Cobham PLC, Collins Aerospace, and Safran SA, and they actively support commercial aircraft programs, such as the A320, A330, A350 XWB, B737, and B787 Dreamliner. Safran SA also supplies oxygen systems to general aviation aircraft programs, like Bombardier Global series, Dassault 7X, Embraer Legacy 450/500/650, and Praetor 500/600. The majority of the oxygen systems providers form long-term contracts with the aircraft OEMs to sustain constant revenues. The launch of new aircraft programs is anticipated to help the companies enhance their market presence. For instance, in 2018, Cobham plc was selected by Korean Aerospace Industries to design and produce the oxygen system for its new-generation KF-X aircraft. Such contracts are anticipated to augment the business prospects of the market in focus during the forecast period.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support