The global helicopter market is projected to expand from US$ 37,355.5 million in 2021 to US$ 56,597.5 million by 2028, reflecting a compound annual growth rate (CAGR) of 6.1% during the period from 2021 to 2028.
This growth can be largely attributed to the increasing military budgets dedicated to the acquisition of advanced and lightweight helicopters. The evolving nature of modern warfare has prompted governments to enhance their military capabilities, leading to increased financial allocations for military forces. These budgets enable military organizations to focus on developing robust indigenous technologies and procuring sophisticated weapons, armaments, vehicles, and other essential equipment from global suppliers. A significant trend among military forces is the modernization of personnel and vehicles to ensure they remain mission-ready. Consequently, defense ministries worldwide are investing heavily in cutting-edge technologies, including advanced helicopter systems, which is a key driver of the global helicopter market's expansion.
According to the Stockholm International Peace Research Institute (SIPRI), global military spending reached US$ 1,917 billion in 2019, marking a 3.6% increase from the previous year. The leading nations contributing to this expenditure, which accounted for 62% of the total, include the United States, China, India, Russia, and Saudi Arabia.
Governments in these nations are actively seeking to acquire new and advanced helicopter models as part of their modernization and renewal strategies. For example, in 2019, the UK National Police Air Service (NPAS) initiated the procurement of a new fleet of helicopters. In a notable deal in 2020, the Indian and US governments finalized a helicopter agreement valued at US$ 3 billion, which included the purchase of six AH-64E Apache helicopters for the Indian Army and 24 Lockheed Martin-Sikorsky MH-60R Romeo multi-mission naval helicopters for the Indian Navy. Additionally, Brazil, a significant player in the defense sector, acquired three Airbus Helicopters H135s for its Navy, intended for operations in the Antarctic region.
The COVID-19 pandemic has had a profound impact on helicopter production worldwide. Beginning in March 2020, helicopter manufacturers encountered significant obstacles in completing their production processes due to widespread lockdowns. As a result, the global helicopter industry experienced a decline in new aircraft sales, as reported by Airbus Helicopter. However, with the easing of lockdown measures in January 2021, there is optimism that overall sales figures for helicopter manufacturing will recover in the upcoming financial year.
The global helicopter market is categorized based on several criteria, including type, weight, application, and geography. In terms of type, the market is divided into single rotor, multi rotor, and tilt rotor helicopters. Weight classifications include lightweight, medium weight, and heavy weight helicopters. The application segment is further divided into commercial, civil, and military uses. Geographically, the market is segmented into regions such as North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM).
Key players in the global helicopter market, as identified in the market analysis, include Airbus S.A.S., Leonardo S.p.A., Bell Textron Inc., Russian Helicopters, Lockheed Martin Corporation, Boeing, Enstrom Helicopter Corp., Kaman Corporation, MD Helicopters, Inc., and Robinson Helicopter Company.
The overall size of the global helicopter market has been determined through a combination of primary and secondary research methodologies. The research process commenced with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data relevant to the market. This approach also aimed to provide a comprehensive overview and forecast of the helicopter market across all segments. Furthermore, numerous primary interviews were conducted with industry stakeholders and experts to validate the data and gain deeper analytical insights. Participants in this research included industry professionals such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the helicopter sector.