Alton Aviation Consultants

The outlook for mergers and acquisitions in the aerospace and defense aftermarket is improving following a relatively muted 2023, analysts say at MRO Americas.

The aircraft leasing industry rescued airlines during the pandemic. Now lessors are rewarded through high lease rates and fast-improving profits.

The environment for mergers and acquisitions in the aerospace and defense sector is improving amid a decrease in the cost of capital, experts say.

Airlines are also warming up to the idea of buying beyond the duopoly—looking toward Embraer and even China’s Comac.

While MRO joint ventures in China are still forming, the environment for such ventures is becoming less favorable.

Airlines, lessors, MROs, OEMs and parts traders are facing a sliding scale of challenges in the engine aftermarket.

High parts demand and low USM supply are causing parts shortages that are increasing shop visit and component repair turnaround times.

Global MRO spending will rise from $112 billion in 2023 to $139 billion by 2033, growing 2.2% annually, according to a new report by Alton Aviation Consultancy.

Next-gen cabin connectivity systems are focused on improved interaction with personal electronic devices and passenger engagement.