Market Trends of North America Aviation Infrastructure Industry
Terminal Segment to Showcase Remarkable Growth During the Forecast Period
The terminal segment is anticipated to show significant growth in the North America aviation infrastructure market. Growth in several airport terminal construction projects within the region coupled with the growing need to resolve airport bottlenecks will drive the market in the future.
The aviation industry in the North American region, has witnessed noteworthy growth in recent years owing to the sector registering notable recovery since the end of the COVID-19 pandemic. Moreover, a growing number of commercial aviation acquisitions within the region to cater to growing aviation demand will lead to a significant increase in the need for advanced airport terminals which in turn lead to smoother aviation operations in the future. According to the data presented by Airport Council International – North America, from 2023 to 207, airport terminal building projects will represent 43% of the total infrastructure development and this will be followed by airfield and ground access projects. Moreover, terminal building projects are also the most critical to stimulate competition, lower airfare and improve connectivity within the region.
There has been significant growth concerning airport terminal construction in the North American region. For instance, in May 2023, officials for Dallas Fort Worth International Airport announced that they are in plans to construct a new terminal. Moreover, the new terminal F will be constructed at a cost of USD 1.6 billion and will include 15 gates and is scheduled to be completed in 2026. Thus, the growing number of terminal constructions projects within the region to cater to the growing aviation industry will lead to generating significant market growth during the forecast period.
The United States to Dominate Market Share During the Forecast Period
The US is expected to continue its market share domination during the forecast period. The growth in the market can be attributed to the increasing number of airport expansion and construction projects which are necessary to modernize as well as meet the future requirements of the growing aviation industry in the United States. In addition, increasing commercial aviation operations coupled with growing aircraft acquisitions also directly bolster the market growth.
According to Airport Council International – North America, aviation infrastructure in the US needs extreme modernization to be at par with the global airports. Moreover, as the aviation industry in the US shows signs of positive recovery after the global COVID-19 pandemic, sustained investment over a long term in infrastructure is crucial for the development of airports within the country in the coming years. In this regard, aviation authorities in the US, in recent years, have started increasing their investments to modernize airport infrastructure by investing in new facilities, reducing regulatory burdens, and helping airports prepare for new future growth opportunities.
For instance, in February 2023, the Federal Aviation Administration announced that they have allocated USD 1 billion in funding for 99 airports across the US. The award also includes the allocation of USD 10.8 million to Des Mones international airport in Iowa to replace the terminal which is operating above capacity as well as USD 29 million to Salt Lake international airport in Utah for a terminal and concourse redevelopment program. Thus, the growing need to modernize the airports within the country will lead to significant growth in airport infrastructure development projects which is expected to lead to significant market growth during the forecast period.
