Market Trends of Passenger Emergency Oxygen Deployment Systems Industry
The Commercial Aircraft Segment is Expected to Dominate the Market During the Forecast Period
The growth of the commercial segment was primarily due to increased worldwide airline purchases for newer aircraft to replace aging fleets and extend their service offering. The increasing demand for commercial aviation is due to increased global air passenger traffic, which has driven carriers to purchase new-generation aircraft to assure profitability. The Airport Council International published its industry outlook for 2023-2024, projecting that the global passenger volume in 2023 would be approximately 8.6 billion passengers, 94.2% of 2019.
The rise in air traffic prompts airline operators to initiate procurement drives and order new-generation aircraft. For instance, in March 2024, Boeing and American Airlines announced that the airline would modernize its global fleet with its first order for the largest B737 MAX airplane. The airline is committed to purchasing 115 of the B737-10 model, which includes a new order for 85 jets and a conversion of a previous order for 30 of the smaller B737-8 variants. A rise in commercial aircraft demand will also drive the demand for emergency oxygen deployment systems, as safety is a primary mandate for commercial aviation.
Asia-Pacific is Expected to Register the Highest Growth Rate During the Forecast Period
Due to a swift recovery in passenger traffic, the Asia-Pacific market is poised for robust growth with the highest CAGR. Airlines in China, India, Japan, and South Korea are leading the charge, with significant orders for narrowbody and widebody aircraft, signaling a clear intent for fleet expansion and modernization. Boeing's projection underscores this surge in demand: a staggering 8,595 aircraft deliveries are anticipated in Asia-Pacific between 2022 and 2041, with single-aisle aircraft comprising an estimated 76% of this total and China emerging as the destination for nearly half of these deliveries.
Moreover, as domestic passenger traffic rebounds, the procurement of narrowbody aircraft is set to intensify. This trend was vividly illustrated in June 2023 when Indigo, a major Indian carrier, ordered 500 Airbus A320neo family planes at the Paris Air Show. Air India sealed deals for 470 aircraft, 250 from Airbus and 220 from Boeing, amounting to a substantial USD 70 billion. These orders from Air India encompass a diverse range, including 70 widebody planes from both Airbus and Boeing, alongside numerous narrowbody aircraft, with additional purchase options from Boeing. Such strategic moves by key players are poised to be pivotal in driving the market's growth in the years ahead.
