The Commercial Aircraft Leasing Market is being driven by Strong market position of Irish and Chinese lessors
The Commercial Aircraft Leasing Market is expected to grow at a CAGR of 9.45% during 2023 and 2028. During this period, the market is also expected to show a growth of USD 20932.3 million. Commercial aircraft leasing is subject to various taxes imposed by governments, which significantly influence the market's dynamics. VAT, for instance, is a common tax that can impact lessors' financial burdens. Some countries, such as Norway and Switzerland, offer conditional VAT exemptions to encourage market growth. The European Union, under Directive 148, grants VAT exemptions for the purchase of Jet A-1 fuel for charter non-scheduled commercial and private non-revenue business flights. The Channel Islands of Jersey and Guernsey provide complete VAT exemptions, thereby reducing operational costs for lessors and lessees. These tax policies play a crucial role in shaping the commercial aircraft leasing landscape.
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The market is segmented based on
According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows:
However, the market also witnesses some limitations, which are as follows:
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Market Scope |
|
Report Coverage |
Details |
Page number |
172 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 9.45% |
Market growth 2024-2028 |
USD 20932.3 million |
Market structure |
market_structure.ucfirst |
YoY growth 2023-2024(%) |
8.42 |
Key countries |
China, US, Germany, Japan, and France |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
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The Commercial Aircraft Leasing Market has witnessed significant growth in recent years, with key players such as Aercap leading the way. This market offers various lease types, including dry lease, damp lease, and wet lease, each with distinct features. Dry lease allows the lessee to manage aircraft operations and maintenance costs, while damp lease includes some level of maintenance support from the lessor. Wet lease provides comprehensive services, including crew, maintenance, and insurance. Full-service airlines operate a mix of narrow-body and wide-body aircraft, while regional airlines focus on smaller, narrow-body aircraft. Aircraft type is a crucial factor in lease decisions, as ownership costs, such as maintenance and storage, vary significantly between jet types. Airline failures can impact the aircraft leasing market, as lessors may be left with unused assets. Lessors play a vital role in the market, offering aircraft to airlines in exchange for rent. The color and brand of an aircraft can also influence lease decisions, as airlines may prefer specific livery or branding. Ultimately, the aircraft lease market is a complex ecosystem that requires careful consideration of various factors, including lease type, aircraft type, ownership, and operational needs.
The commercial aircraft leasing market is a significant segment of the global aerospace and defense industry, which falls under the broader category of capital goods markets. This market is characterized by companies that provide commercial aircraft leasing and financing solutions. The aerospace and defense sector, as per Technavio's classification, includes entities involved in the production of commercial and general aviation aircraft, as well as defense platforms for naval, land, and air applications. Additionally, this sector encompasses defense electronics, logistics equipment, space platforms, and launch vehicles. The global capital goods market size is determined by Technavio based on the consolidated revenue generated by key players in industries such as aerospace and defense, building and construction, electrical equipment, industrial conglomerates, machinery, trading companies, and distributors.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.
Technavio Research
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