Europe Aerospace and Defense Market Share, Trends, Growth Drivers, Revenue, Technologies, Challenges, Opportunities and Future Competition Till 2033


Europe Aerospace and Defense Market Share, Trends, Growth Drivers, Revenue, Technologies, Challenges, Opportunities and Future Competition Till 2033: SPER Market Research

 Published: Sep-2023
 Author: SPER Analyst

Europe Aerospace and Defense Market is projected to be worth USD XX billion by 2033 and is anticipated to surge at a CAGR of 2.6%.

Aerospace involves the creation and production of aircraft, rockets, missiles, and spacecraft, including those designed for space operations. Defense equipment encompasses military-oriented weaponry, arms, and gear for military use. The aerospace sector comprises companies engaged in prototyping and manufacturing aircraft and their components for commercial applications, including autonomous and manual operation. Key components include weapon systems, fire control systems, command and control systems, among others.

Europe Aerospace and Defense Market Driving Factors and Challenges
The growth of the European aerospace and defense sector can be attributed to increasing demand for both commercial and military aircraft and a substantial rise in defense spending. Prominent industry leaders like BAE Systems, Rolls Royce, Safran, Thales, and Leonardo have strengthened local research and development efforts and extensive manufacturing capabilities. Continued investments in both aerospace and defense in Europe are expected to propel market growth. These investments, combined with rising demand, present positive prospects for the European aerospace and defense industry, fostering opportunities for advancement. The sector is closely tied to the region's GDP, and industry players collaborate closely with local suppliers and end-users. The European Union's Europe 2020 Strategy focuses on intelligent, sustainable, and inclusive growth, while the European space program contributes significantly to regional scientific progress, particularly in telecommunications, navigation, and Earth observation.

The aerospace and defense industry (A&D) encounters its most significant challenges from disruptions in the supply chain and a shortage of skilled personnel. Passenger travel demand is closely tied to ticket prices, influenced by jet fuel costs. A sudden and prolonged surge in jet fuel prices can disrupt air travel and create market instability. To address this issue, aircraft manufacturers are investing in enhancing fuel efficiency and reducing operational expenses through aircraft and engine design improvements. They are also exploring the development of commercial aircraft with lower or zero emissions for the future. Furthermore, due to the COVID-19 pandemic, many countries imposed restrictions on international trade. However, the pandemic had a detrimental impact on the European aerospace industry's economic conditions, while its effect on the defense sector was relatively moderate.

Impact of COVID-19 on Europe Aerospace and Defense Market 
The COVID-19 pandemic led to the imposition of import and export restrictions in many countries, exacerbated by the ongoing Ukraine-Russia conflict, which intensified scrutiny of international trade. Europe's aerospace industry faced significant economic setbacks during the pandemic, while the defense sector experienced a more moderate impact. Manufacturers encountered challenges in securing vital raw materials for defense production. However, with improving pandemic conditions, both the aerospace and defense sectors in Europe saw growth. The pandemic also drew increased attention to air travel emissions from corporations, consumers, and regulators, resulting in the curtailment of long-term expansion plans at several European airports. Terminal congestion remains a concern, despite pre-pandemic preparations for capacity expansion through debt issuance and cash accumulation.

Europe Aerospace and Defense Market Key Players:
The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as; Airbus SE, BAE Systems PLC, Dassault Aviation SA, Fincantieri SpA., GKN Aerospace, Leonardo SpA., Lockheed Martin Corporation, Naval Group, QinetiQ Group PLC, Rheinmetall AG, Rolls-Royce PLC, Rostec, Safran SA, Thales Group, Others.

Europe Aerospace and Defense Market Segmentation:

By Commercial and General Aviation: Based on the Commercial and General Aviation, Europe Aerospace and Defense Market is segmented as; Structures (Airframe, Avionics and Control Systems, Cabin Interiors, Electrical Systems, Engine and Engine Systems, Environmental Control Systems, Fuel and Fuel Systems, Landing Gear).

By Military Aircraft and Systems: Based on the Military Aircraft and Systems, Europe Aerospace and Defense Market is segmented as; Combat Aircraft, Non-Combat Aircraft.

By Unmanned Aerial Systems: Based on the Unmanned Aerial Systems, Europe Aerospace and Defense Market is segmented as; Commercial, Military.

By Space Systems and Equipment: Based on the Space Systems and Equipment, Europe Aerospace and Defense Market is segmented as; Ground Systems, Space Launch Vehicle, Spacecraft.

By Region: This research also includes data for France, Germany, Italy, Spain, United Kingdom, and rest of Europe.

This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.

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