Aircraft Cabin Interior Market Trends

Growth Drivers

• Recovering Airline Industry Post-Pandemic- As the industry recovers from its losses of USD 11 billion, which have already declined by 2 billion to reach USD 9 billion. This represents a significant improvement over setbacks of USD 137 billion in 2020 and USD 41 billion in 2021.

• Strong Domestic Air Traffic – The Department of Transportation's US Bureau of Statistics reports that in May 2022, US planes carried 71.2 million systemwide (domestic and international) scheduled service passengers, an increase of 29.7% from May 2021.
• Increasing Use of Private Aircraft – Increased concern for health and hygiene in high-profile individuals have resulted in an increase in the use of private aircraft. There were near to 22000 private aircraft jets in the world in 2019. Out of those, close to 15,500 private jet aircraft were in North America, which was more than the rest of the world combined. Additionally, in Europe, there were around 2,800 private aircrafts.
• Constant Repair and Modernization of Existing Aircraft– Complete stand-alone aircraft interior refurbishment, typically takes around 8-10 weeks to complete, depending on the complexity and the size of the aircraft. Since the refurbishment aircraft cabin interior is a large project, airlines are regularly looking for vendors who can complete the tasks effectively.
• Growing Need for Passenger Comfort – Close to 49% of American adults who travelled at least once a year before the pandemic, admitted not being comfortable in flying post - COVID. Therefore, airlines are continuously working towards enhancing comfort levels in their aircraft.

Challenges

• Rising Fuel Costs - According to the Department of Transportation's Bureau of Transportation Statistics (BTS), scheduled service airlines in the United States used 1.38 billion gallons of fuel, 20.3% more than in February 2022 (1.14 billion gallons).  The price of gasoline per gallon in March 2022 ($3.04) increased by $1.02 (50.5%) from March 2019. Total fuel expenditure in March 2022 ($4.18 billion) was up 40.4% from February 2022 ($2.98 billion).
• Strong regulation for the Use of Relevant Materials.
• High Competition between Domestic and International Brands.