Air Cargo Market in Aerospace & Defense Set for Robust Growth Through 2031

The global air cargo market serving the aerospace and defense sector is witnessing robust expansion, driven by rising demand for rapid transportation of critical components, increasing cross-border defense collaborations, and the growing reliance on time-sensitive logistics solutions.

The Air cargo market size is expected to reach US$ 210.92 billion by 2031 from US$ 141.03 billion in 2024. The market is anticipated to register a CAGR of 5.8% during 2025-2031.

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According to the insight partners, the air cargo market in aerospace and defense is projected to experience steady growth from 2025 through 2031, with a compound annual growth rate CAGR of 5.8% exceeding industry averages.

This trend is fueled by key factors such as:

• Rising Defense Expenditure: Governments worldwide are boosting defense budgets, leading to faster procurement timelines and heightened use of cargo aircraft for secure shipments.
• Supply Chain Resilience: With global tensions and supply-chain disruptions persisting, aerospace OEMs and defense organizations are turning to air cargo for reliability and speed.
• Technological Advancements: Integration of digital cargo tracking, AI-driven logistics, and unmanned aerial freight systems is enhancing efficiency and visibility in shipments.
• Strategic Fleet Modernization: Defense forces are investing in new-generation cargo aircraft to expand payload capacity and global reach.

Regional Insights:

• North America continues to dominate the air cargo defense market with significant infrastructure investments and high demand for aerospace spare parts.
• Asia-Pacific is emerging as the fastest-growing region, driven by surging defense spending in China, India, and Southeast Asia.
• Europe shows strong growth potential with NATO-led initiatives and cross-border defense logistics requirements.

Market Outlook:

The aerospace and defense sector's increasing need for secure, reliable, and flexible cargo transport solutions is expected to reshape industry strategies. Partnerships between cargo carriers, OEMs, and defense contractors are likely to play a critical role in unlocking growth opportunities.

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The Insight Partners is a one-stop industry research provider of actionable intelligence. We help our clients get solutions to their research requirements through our syndicated and consulting research services. We specialize in semiconductor and electronics, aerospace and defense, automotive and transportation, biotechnology, healthcare IT, manufacturing and construction, medical devices, technology, media and telecommunications, and chemicals and materials.

This release was published on openPR.