The Turboprop Aircraft market is expected to register a CAGR of more than 2.5% during the forecast period.
- Turboprop aircraft are preferred to cater to regional air passenger traffic and the demand is growing with the introduction of new regional routes. The Turboprop aircraft are highly profitable for short distance and low altitude flying.
- Also, demand is higher in emerging economies that are enhancing their regional network and linking smaller cities.
- Increase and fluctuations in the fuel prices can largely impact the airlines. However, aircraft fleet powered by turboprop engine can prove to be an effective solution, especially on shorter routes, as Turboprop aircraft is more fuel-efficient compared to turbofan engine for shorter distances.
Key Market Trends
Military Segment held the Highest Market Share in 2019
The military segment accounted for a major market share in 2019, primarily due to the deliveries of large turboprop aircraft A400M. Airbus A400M Atlas is a four-engine turboprop transport aircraft and was developed by Airbus to replace older transport aircraft, like the Transall C-160 and the Lockheed C-130 Hercules. The first production aircraft was delivered to the French Air Force in 2013. In 2018, Airbus delivered 17 A400M aircraft, two fewer than the 19 it delivered in 2017. Ten aircraft were delivered to Germany, and two each went to Spain, Turkey and the UK, and a single aircraft to France. In terms of deliveries in 2018, the general aviation segment dominated the market with a total delivery of over 600 turboprop aircraft. However, the unit price of General Aviation turboprop aircraft usually varies between 2-5 million whereas the price of a large military turboprop aircraft is over 150 million. The commercial segment will register the highest CAGR during the forecast period, primarily due to the introduction of new regional routes.
North America Recorded the Highest Market Share in 2019
North America held a major share in the turboprop aircraft market in 2019. The US is the major market in North America followed by Canada. In January 2018, ATR, one of the major OEM of turboprop aircraft, was awarded a contract by NAC for 15 ATR aircraft. Of the 15 aircraft, 12 will be ATR 42-600s and three will be ATR 72-600s. The new aircraft was leased to Silver Airways. By April 2019, Silver Airways started flying its ATR 42-600 and became the first US airline to operate revenue flights with an ATR -600 series. In the US, over 9,900 turboprop aircraft are active in the General Aviation sector. In August 2019, National Oceanic and Atmospheric Administration (NOAA) awarded a contract to Textron Aviation, Inc. worth USD 11.8 million for the purchase of a new twin-engine Beechcraft King Air 350 CER turboprop aircraft. The aircraft will be built at Textron Aviation’s factory in Wichita, Kansas and is expected to be delivered by 2021. However, the demand for turboprop aircraft has shifted towards the Asia-Pacific region over the past few years. Countries in Asia-Pacific such as China, India, Singapore, Australia, and Thailand among others have turboprop aircraft on orders that will be delivered during the forecast period. Also, as these countries are enhancing their regional networks, the demand for turboprop aircraft will be higher from this region in the coming years. Hence, Asia-Pacific is anticipated to register the highest CAGR during the forecast period.
The market of Turboprop aircraft is fragmented and comprises of several prominent players. ATR (a joint partnership between Airbus and Leonardo), Airbus SE, Textron Aviation, Pilatus Aircraft Ltd., Piper, and Air Tractor are some of the prominent players in the market and occupied a significant market share in 2018. The introduction of a new aircraft model will support the growth of an OEM. Xi’an Aircraft Industry Corporation plans to introduce its MA700 (a twin-engine medium-range) turboprop aircraft in the next few years. The entry of new players will increase the competition among the existing OEMs during the forecast period.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- Report customization as per the client’s requirements
- 3 months of analyst support