Global Used Aircraft Market 2024–2033

Reports Description

As per the current market research conducted by CMI Team, the global Used Aircraft Market is expected to record a CAGR of 6.57% from 2024 to 2033. In 2024, the market size is projected to reach a valuation of USD 2,312.07 Million. By 2033, the valuation is anticipated to reach USD 4,348.16 Million.

The Global used aircraft market is a buying and selling of pre-owned airplanes most especially commercial aircraft, business jets and even cargo planes. This market has grown, thanks to a number of factors which include the increasing air travel, the modernization of existing fleets by the different airlines and the cheaper option of buying second hand planes than brand new ones.

The market is prone to variations due to the presence of different business cycles and demand since the demand for air transport is on the rise in the developing economies. Moreover, improvements in technology have also contributed to the movement and assessment of old planes due to the improvement of their maintenance practices and the leasing of such planes oriented leasing police more often for dry lease back.

Constraints and issues such as compliance, costs and environmental conservation have also changed this acquisition model since fuel consumption and efficiency of the aircraft in operation became a matter of concern within the aviation industry. The Global Used Aircraft Market in general forms an integral aspect of the aviation industry with opportunities ticking for buyers, sellers and investors as well.

Used Aircraft Market – Significant Growth Factors                                                   

The Used Aircraft Market presents significant growth opportunities due to several factors:

• Increasing Demand for Air Travel: After appreciate vaccine efforts to combat COVID, people have embraced travel more than it ever was before, and consequently the need for newer and even used aircraft has grown significantly. However, many airlines that have a need to manage the ever-increasing load of passengers in their systems tend to find the used aircraft market very appealing due to its economical acquisitions processes and quicker deliver time. The return of international travel, alongside leisure travel growth, and the carrying of cargo, has prompted most of the airlines to look for second hand planes in the market, in order to avail themselves to the changes in the market very fast.

• Cost Advantages of Used Aircraft: The new planes are far more expensive for airlines and operators than pre-owned planes, and new achievements are very expensive especially to the smaller airlines and operators within the developing economies that do not have capacity to purchase new ones. The investments made in used aircraft are also optimized thanks to the fact that depreciation for such aircraft is considerably low which aids operators in maximizing their ROI.

• Fleet Modernization Efforts: There is a growing trend among most airlines today to enhance the performance of existing fleets and consequently there are efforts made to minimize on the fuel used. This increase in awareness has resulted in the growing tend to procure second hand planes which possess the latest technology and improvements such as energy efficient designs. Enhanced Pre-Owned Program (EPOP), these new advancements allowed operators to completely phase out older, less efficient models and instead incorporate advanced pre-owned aircraft. This not only resulted in massive operational cost savings but also in-creased concerns of the environment.

• Technological Advancements in Maintenance and Repair: Improvements in maintenance and refurbishment have made it possible and affordable to modify second-hand aircraft. This allows operators to upgrade the features and safety standards of used aircraft for buyers’ liking. A detailed maintenance history and refurbishment services also give buyers assurance of the quality of second-hand aircraft for sale.

• Increased Leasing Options: The emergence of leasing firms focused on second-hand aircraft has expanded the operational financing of the operators. Operators resort to leases to obtain the planes when they do not want to buy the jets. This is more so for new airlines and in industries where the business is seasonal as it allows airline operators to reduce costs while still managing to get aircraft for the routes they want to serve.

Used Aircraft Market – Key Developments

In recent years, the Used Aircraft Market has experienced a number of crucial changes as the players in the market strive to grow their geographical footprint and improve their product line and profits by using synergies. Some examples of the strategic developments in the Used Aircraft Market are:

• In 2024, AerCap Holdings N.V. revealed a senior note offering through its subsidiaries, AerCap Ireland Capital Designated Activity Company and AerCap Global Aviation Trust. This consists of $1.3 billion in 4.625% Senior Notes maturing in 2029 and $1.1 billion in 4.950% Senior Notes maturing in 2034, which are guaranteed on a senior unsecured basis by AerCap and several subsidiaries.

• In 2024, Airbus and TotalEnergies established a strategic collaboration aimed at promoting sustainable aviation fuels (SAF), with the goal of achieving net carbon neutrality in aviation by 2050. SAF has the potential to lower CO2 emissions by as much as 90% compared to traditional fossil fuels.

These important changes facilitated the companies to widen their portfolios, to bolster their competitiveness and to exploit the possibilities for growth available in the Used Aircraft Market. This phenomenon is likely to persist since most companies are struggling to outperform their rivals in the market.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

Used Aircraft Market – Significant Threats

The Used Aircraft Market faces several significant threats that could impact its growth and profitability in the future. Some of these threats include:

• Economic Uncertainty: The global economic volatility has widespread effects and within the aviation sector, it is even more pronounced as it affects the financial status of airlines and their willingness to procure second-hand planes. Since the majority of the economic recessions brought about the fall in the demand for air travel, there are cautious optimistic policies on the expansion or growth of fleet and or investment. There are times when airlines think twice on spending for used aircraft because of certain threats like inflation, fuel cost and political situations, which in turn hampers the growth of the market.

• Regulatory Challenges: The aviation sector is perhaps one of the most regulated business industries in the world and following various safety and environmental requirements may present some difficulties to the used aircraft market. Buyers may have trouble making sure used planes comply with existing regulations; this often results in additional costs and longer time frames. Furthermore, the increasingly strict rules of the green policy may force owners of old planes to spend additional funds on these jets after their purchase so that the planes can meet updated and more rigid emission limits, making these alternatives less appealing.

• Limited Supply of High-Quality Used Aircraft: Demand for second-hand aircraft is on the rise, but the supply of quality under such demand especially as regards exceptional high demand specific brands may be quite minimal. With the current concentration of many airlines on the procurement of newer generation, fuel-efficient aircraft, there is a tendency to horde those models leading to a rise in prices and a shortage in the market. Such a situation may lead to frustration on the part of potential buyers in the market and as a result, a suppression in growth.

• Perceptions and Issues regarding Reliability: There are many benefits that come with used aircraft but some operators may still hold onto the notion that models that are not brand new cannot be relied upon. Buyers may be apprehensive due to worries about how well the aircraft has been kept, whether there are possible defects that are not visible and the overall quality of the used planes. Trust and transparency in transaction are paramount in the used aircraft market demand if such perceptions are to be neutralized and more trade encouraged.

• Impact of Technological Obsolescence: The speed with which technological improvement is being embraced in the field of aviation despises the used aircraft market. As the manufacturers of the airplanes brought last models with improved technology and relics all the previous types of aircraft into history. This obsolescence drives down the interest towards some of the second-hand models for sale.

Category-Wise Insights

By Aircraft Type

• General Aviation: General aviation is a crucial factor in the Global Used Aircraft Market owing to a host of varied non-commercial such as business, personal and leisure travel purposes aircraft. This comprises of single engine planes, multi engined planes, helicopters, executive jets among others, and this serves clients ranging from the everyday man to corporations. The increasing demand of general aviation can be attributed to the need of traveling solutions that fulfills its purpose to the fullest, especially, in areas with less availability of commercial airlines.

• Military Aircraft: Acquirable and used military aircraft including but not limited to fixed wing and rotary wing, are considered to be another branch within the Global Used Aircraft Market. This group includes fighter jets, airline carriers, spy aircraft, and even training aircrafts that are usually sold after being used. The concept of selling second hand military aircraft has various motivating factors one of which is the need for countries to renew their old aircraft in relation to the availed defence budgets.

• Business Aircraft: Business aircraft, which embrace a range of jet and turboprop aircraft which are mainly built for the purpose of travel for business purposes, is one of the key categories in the Global Used Aircraft Market. Such planes are in high demand by companies wishing to maximize the efficiency of their operations and cut down on the time taken by their executives and groups in travelling. The improvement in business aviation services, especially for small and medium businesses, has contributed to enhanced demand for previously owned aircrafts which are cheaper as opposed to buying new ones.

• Commercial Aircraft: Commercial aircraft mainly consist of the planes designed for carrying passengers and cargo without any commercial activities inside the plane and cover a large section of the Global Used Aircraft Market. This also includes narrow-body jets, wide-body jets, regional jets, and so forth, all of which are crucial for any airline preferring to take to the skies in order to satisfy the ever-increasing market for air travel. Due to the pandemic, most go airlines postulated to fleet expansion or enhancement, thus the demand for second-hand airliners increased as one of the solutions of avoiding the purchase of new commercial aircraft.

By End User

• Government & Military: The Government and Military sector is one of the significant end-user sections in the Global Used Aircraft Market as it has multiple purposes like providing air support, surveillance, search and rescue operations, transportation, and any other activities. As usual, government and military agencies are not keen on new aircraft purchases and instead on the other hand buy used airplanes which serve their specific purposes within the set budget limits.

• Private Owners: Private owners are at the moment another important and fast expanding end-user segment of the Global Used Aircraft Market, because more and more people and households are turning to buy planes in order to go places or conduct business activities. Private aircraft for sale has its appeal, particularly in that such a mode of travel allows one to avoid the hustle and bulge associated with commercial air travel as there are no queues in airports and travel timings are not restrictive.

• Charter Services: Charter services represent an interesting segment of end-users in the Global Used Aircraft Market, providing affordable air transportation for persons as well as organizations. This sector works by providing already owned turbine powered jets, helicopters or turbo prop planes for hire either on hourly basis or a specified number of hours. The appetite for charter services is more attributed to the rise in on-demand travel which allows for the consumers the luxury of avoiding commercial flying and its accompanying challenges such as long queues at the security checks and strict timelines.

• Airlines: Airlines form an important end-user segment in the Global Used Aircraft Market because they are always in demand for used aircrafts as a way of fleet expansion and upgrading. Over the past few years, the market for used passenger airplanes has experienced a boom as commercial carriers are striving to cope with the increased demand for air travel both of people and goods in particular after the outbreak of COVID-19. Since second hand jets are available at a more favorable rate than brand new ones, extending the airlines’ purchasing power, used aircraft are usually purchased by the operating airlines.

By Age of Aircraft

• 21+ Years: The Global Used Aircraft Market includes a significant portion of Aircraft above the age of 21 years that still hold attraction to operators whose main aim is the expansion of their fleets in the most economical way possible than to wait for the newest aircraft. It is worth noting the fact that members of this category of aircraft age often remain in the fleet due to effective maintenance policies and improvements in maintenance, repair and overhaul (MRO) operations which prolong the active service of these age-old aircraft.

• 11-20 Years: Well oriented within the Global Used Aircraft Market are Aircraft Age 11 to 20 years old which give cost advantages while still offering fairly up-to-date technology. Such medium age aircraft are mostly targeted by resurface operators in the market who want to expand their fleets to integrally operate modern with updated avionic systems and economy rated green compliant aircraft. Most aircraft that fall into this age group have received periodic maintenance checks with some level of refurbishment; therefore, they are ideal for commercial airlines, low-cost carriers, and regional players who also want to grow fast without the cost of new airplanes.

• 0-10 Years: In the Global Used Aircraft Market, Aircraft Ages 0-10 Years are the most coveted parametric segment, since they provide buyers with modern technological features, improved fuel efficiency, and the latest environmental and safety regulations. These younger second-hand jet planes are often sought after by airlines and businesses engaged in chartering aircraft as well as private clients who require professional high-performance aircraft that are more or less at par with brand new models.

Report Scope

Used Aircraft Market – Regional Analysis

The Used Aircraft Market is segmented into various regions, including North America, Europe, Asia-Pacific, and LAMEA. Here is a brief overview of each region:

• North America: The North American Used Aircraft Market is one of the major and old markets present in the world, all thanks to the huge demand experienced for general, commercial, and business aviation. In this region, there is a well-developed aviation sector, a large population of private owners and also a great number of engaged aircraft brokers and leasing firms. In a North America context, as the economy recovered and the travel demand grew post pandemic, the services and the operators started to look for cheaper alternatives to aircraft acquisition which led to a purchase of pre-owned aircraft for the purpose of providing the required services and expanding the fleet in a more cost-efficient timely manner.

• Europe: Europe Used Aircraft Market is one of the most vibrant and fastest growing markets due to a strong demand from the commercial, business and general aviation markets. As many of the countries in Europe are leaning towards greener initiatives and fuel efficiencies, that is the reason why there is huge demand for the more recent let us say second hand jets which are cost effective plus ensures that the operators do not incur huge expenditure on buying new instead of replacing older jets in the fleets. Moreover, there is the growth of business aviation in Europe as companies are more embracing time-conscious travel amenities within the continent and this is so mostly for intra-regional travel.

• Asia-Pacific: The demand for used aircraft in the Asia Pacific region is on the rise and is expected to grow further owing to the rising air travel in the emerging economies and growth of both commercial and business aviation. Countries including, China, India, and Southeast Asia have also witnessed airlines and other operators look for used aircraft, which are more economical, to grow passenger volumes within that market. The growing trend of LCCs (Low Cost Carriers) in Asia Pacific has also fuelled the demand since such operators mostly acquire pre-owned airplanes for cost and quick availability reasons.

• LAMEA: The LAMEA Used Aircraft Market is also progressing due to the cost-effective solutions being opted by regional airlines, private owners and charter companies among others. In Latin America, used aircraft demand is also fuelled by the growth of tourism and the need for better regional integration with many smaller airlines and charter operators opting for the 2nd hand aircraft to provide low cost services in outlying and under developed regions. In the Middle East, an increase in demand for private business and charter services has been observed where individuals and companies willing to spend a fortune would buy already owned business jets for travel at their convenience. On the other hand, Africa, which has an immense land mass and very few means of transportation, depends a lot on air transport for aircraft connecting scattered populations hence used aircraft are appealing to both passengers and freight.

Competitive Landscape – Used Aircraft Market

The Used Aircraft Market is highly competitive, with a large number of service providers globally. Some of the key players in the market include:

• AerCap Holdings N.V.
• Airbus S.A.S.
• Aircastle Limited
• Aviation Capital Group LLC
• AVITAS Inc.
• Avolon Aerospace Leasing Limited
• Boeing Capital Corporation
• Bombardier Inc.
• Embraer S.A.
• Falcon Aviation Services
• General Electric Capital Aviation Services (GECAS)
• International AirFinance Corporation
• Jetcraft Corporation
• Textron Aviation Inc.
• Willis Lease Finance Corporation
• Others

These companies implement a series of techniques in order to penetrate into the market, such innovations, mergers and acquisitions and collaboration.

The new players in the Global Used Aircraft Market are leveraging different strategies to facilitate transactions, enhance clarity of operations and widen the market scope to a greater audience. Most of these entrants are utilizing the Internet and data analytics to ease the buying and selling activities, where potential buyers can easily find information on the purchase histories, maintenance schedules and performance histories of the second-hand jets.

Moreover, as few firms have developed over the years, many are online markets where members (sellers and buyers) trade without intermediaries, hence increasing speed and reducing costs of doing business. In addition, some recent entrants have adopted strategies in which they focus on specific segments of the market, such as reconditioned business aircraft with an emphasis on fuel efficiency and ecological compliance owing to the present market trends. Another strategy is to develop alliances with maintenance and financial services allowing these new businesses to provide complete package solutions embracing finance, service and even refurbishment.

The Used Aircraft Market is segmented as follows:

By Aircraft Type

• General Aviation
• Military Aircraft
• Business Aircraft
• Commercial Aircraft

By End-User

• Government & Military
• Private Owners
• Charter Services
• Airlines

By Age of Aircraft

• 21+ Years
• 11-20 Years
• 0-10 Years

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Russia
• Italy
• Spain
• Netherlands
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Taiwan
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America