Aerospace And Defense Propulsion System Market size is estimated to register a CAGR of over 6.5% between 2023 and 2032

Aerospace and Defense Propulsion System Market Size

Aerospace And Defense Propulsion System Market size was USD 260.4 billion in 2022 and is projected to have a CAGR of more than 6.5% from 2023 to 2032. Increasing global defense expenditure heavily fuels the market growth.

Since nations are dedicating bigger budgets to boost military powers and secure security threats, more demand has emerged for more sophisticated propulsion systems to propel missiles, aircraft, and other weapons systems. They help ensure survivability, mobility, and the efficacy of war fighting forces. As a result, the increase in defense expenditures translates into higher orders & contracts for propulsion system manufacturers, encouraging innovations and investments in the industry, driving the industry forward as it addresses the changing requirements of contemporary defense & security environments.

Aerospace and defense propulsion systems are the specialized mechanisms and technologies that produce thrust or propulsion for aircraft, spacecraft, missiles, and other military vehicles. These systems involve a broad scope of engines ranging from jet engines, rocket propulsion, to many hybrid & advanced technologies. The main function of these systems is to effectively push these vehicles into air and space, guaranteeing mission accomplishment and national security. Aerospace and defense propulsion systems have a central position in contemporary military & aerospace technologies, enabling mobility, velocity, and maneuverability in numerous scenarios of operation.

Aerospace and Defense Propulsion System Market Report Attributes
Report Attribute Details
Base Year 2022
Aerospace and Defense Propulsion System Market Size in 2022 USD 260.4 Billion
Forecast Period 2022 to 2032
Forecast Period 2022 to 2032 CAGR 6.5%
2032 Value Projection USD 480 Billion
Historical Data for 2018 to 2022
No. of Pages 250
Tables, Charts & Figures 279
Segments covered Type, Application, End use, region
Growth Drivers
Increased global defense expenditures
Collaborations and partnerships
Growth in commercial aviation
Space exploration programs
Environmental regulations
Pitfalls & Challenges
Disruptions in supply chains
Exorbitant development costs pose a significant
High development expenses are a major drawback for the aerospace and defense propulsion system market. The long research, testing, and certification procedures involved in developing advanced propulsion technologies require huge amounts of money. These expenses can put pressure on budgets, restrict affordability for certain nations, and prevent small firms from entering the market. Moreover, delays or cost overruns can interfere with production schedules and affect profitability. Balancing cost-effectiveness with innovation is key in addressing this challenge and making the industry sustainable.

COVID-19 Impact
The COVID-19 pandemic affected the aerospace and defense propulsion system market in various ways. Restrictions on travel cut back commercial air travel, and governments globally reallocated budgets, which resulted in lower demand for propulsion systems. Disruptions in supply chains and labor shortages also affected production, leading to delays and cost overruns in defense projects. The aerospace industry experienced a reduction in commercial aircraft orders, which impacted manufacturers of propulsion systems. Additionally, the economic impact resulted in defense expenditure cuts in certain areas, impacting investments and contracts. Although the industry remained resilient, it encountered significant challenges and uncertainties throughout the pandemic.

Aerospace and Defense Propulsion System Market Trends
The market is impacted by a number of major trends. There is increasing focus on sustainability and greenness, which is pushing the innovation of cleaner & more fuel-efficient propulsion technologies. The growth of autonomous and unmanned systems is propelling the need for compact & high-performance propulsion systems for UAVs and drones. Moreover, the development in additive manufacturing and materials is resulting in lighter & stronger components. Commercial space ventures and space exploration missions are driving innovation in rocket propulsion, and more digitalization and data-driven maintenance strategies are making propulsion systems more reliable and cost-effective, transforming the industry landscape.

Aerospace and Defense Propulsion System Market Analysis
Discover more about the major segments defining this market

Suppose you are a tour guide taking us through the world of aerospace and defense propulsion systems. Stop number onethe various machines that employ these systems. We have missiles, aircraft, spacecraft, and drones (Unmanned Aerial Vehicles or UAVs). UAVs, the stars of the tour, are leading the pack. In 2022, they represented more than 15% of the market and are poised to fly even higher. Why? Since they’re the choice for surveillance, reconnaissance, and even cargo delivery. And their civilian exploits shouldn’t be overlooked, such as watching over farms and bridges. The key to UAV success? Long-lasting propulsion systems that run at their best. And since there’s no one on board, engineers have freedom to experiment, creating highly specialized and miniaturized systems that make these drones incredibly agile and innovative. The icing on the cake is the increasing demand for improved defense and security, so governments are investing more money in UAVs, which is fueling the growth of this segment in the aerospace and defense sector.

Read more about the major segments defining this market

On the basis of type, the aerospace and defense propulsion system market is categorized into air-breathing & non-air-breathing. The air-breathing segment was the market leader with more than 70% revenue market share in 2022 and is anticipated to achieve a CAGR of more than 6% in the forecast period 2023-2032. Air-breathing propulsion systems, including jet engines, dominate the market due to their flexibility and efficiency. They provide steady high-speed operation and are appropriate for a broad variety of applications, ranging from military fighter jets to commercial airliners. These systems are economical for extended-range missions and offer superior thrust-to-weight ratios.

In addition, technology improvements have resulted in better fuel economy and lower emissions, which support environmental issues. Air-breathing engines are also critical for rapid response and mobility, thus a choice of preference for contemporary defense and aerospace missions, thus retaining their dominance in the market.

Aerospace and Defense Propulsion System Market Share

Major players operating in the aerospace and defense propulsion system market are

• 3W International Gmbh
• Aero Engine Corporation of China
• CFM International
• General Electric Company
• GKN Aerospace
• Honeywell International
• Lockheed Martin Corporation
• MTU Aeroengines
• Northrop Grumman
• Orbital ATK
• Raytheon Technologies
• Rolls-Royce Holdings
• Safran S.A
• United Technologies