The aerospace fasteners market is anticipated to register a CAGR of 2.67% during the forecast period.
The increasing number of orders for new aircraft and the need to increase the aircraft production rate are likely to increase the demand for aircraft fasteners. Also, increasing investments by the airlines in cabin interior products, in order to enhance passengers’ experience, shall drive the growth of the aerospace fasteners market in the coming years. The emergence of 3D printing in aerospace manufacturing is expected to generate new growth opportunities for the market in the years to come.
Key Market Trends
Superalloys Have Gained More Popularity
Aluminum fasteners are widely used in aircraft, as they are cheap and weigh about one-third of steel. Some grades of aluminum even exceed the tensile strength of mild steel. But superalloys or high-performance alloys used in aerospace fasteners have gained more popularity in recent years, due to their ability to maintain integrity in high-temperature environments, their versatility, and their resistance to creep factors. Thus, their growth is expected to be more during the forecast period.
Increasing Number of Aircraft Orders in Asia-Pacific
As of 2018, North America accounted for the highest market share out of all the regions, due to high demand from the United States. But during the forecast period, the Asia-Pacific market is expected to grow, registering the highest growth rate. The increasing number of aircraft orders and deliveries in the region, due to the rising demand for newer generation aircraft, is currently driving the growth of the market. China and India are expected to be the key markets in the region.
Arconic Inc. and Precision Castparts Corp. are the key players in the market, with over 50% of the revenue share, in 2018. Contracts with aircraft manufacturers are generally long-term contracts, thereby, making it difficult for other players to establish themselves in the market, as there are only a few aircraft manufacturers. Majority of the local players in the market are private firms, and thus, it is difficult for the competitors in the aftermarket to price their products competitively, making it impossible for them to have counter offers.