Press release
Aerospace Logistics Service Industry to See Robust Expansion, Valued at $19.92 Billion by 2029
Aerospace Logistics Service
What Is the Projected CAGR for the Aerospace Logistics Service Market from 2024 to 2025?
The market size for aerospace logistics services has seen robust growth in the recent past. The value is expected to escalate from $14.71 billion in 2024 to $15.53 billion in 2025, predicting a compound annual growth rate (CAGR) of 5.6%. Factors contributing to this growth during the historic period include increased demand for air traffic and air travel, the emergence of e-commerce, surging demand for air freight services for transportation purposes, and adherence to regulatory compliance and safety standards.
What are the Expected Market Size and CAGR for Aerospace Logistics Service by 2029?
Expectations are high for the aerospace logistics service market size to experience significant growth in the upcoming years. It is predicted to reach a valuation of $19.92 billion by 2029, with a compound annual growth rate (CAGR) of 6.4%. The anticipated growth in the forecast period can be associated with the increasing global military needs, expanding investments in aircraft MRO (maintenance, repair, and overhaul) software development, growing requirement for air freight, rising demand for quick shipping solutions and a surge in the usage of drones and autonomous vehicles. Prominent trends for the forecast period comprise improvements in supply chain, progress in logistics, automation and digitization, advancements in AI-powered inventory management, and technological enhancements in the aviation industry.
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What Are the Strategic Drivers Boosting Aerospace Logistics Service Market Performance?
The rising need for swift delivery systems is anticipated to boost the advancement of the aerospace logistics service market. Swift delivery systems refer to services guaranteeing the quick and efficacious delivery of goods to consumers. They strive to decrease the delivery duration while maintaining reliability and cost-efficiency of shipments. The need for swift delivery is escalating as consumers anticipate faster deliveries, prompting companies to quicken their delivery process to remain competitive and appease buyers. Aerospace logistics caters to the demand for swift delivery systems by utilizing sophisticated supply chain management, specific transportation networks, and real-time tracking mechanisms to expediently deliver crucial constituents. For example, ShippyPro, an Italian logistics technology firm, issued a report in January 2025 stating that the volumes of the same-day delivery services parcels are anticipated to increase from 70 million in 2022 to a projected 260 million to 521 million by 2027. Therefore, the escalating demand for swift shipment solutions is propelling the development of the aerospace logistics service market.
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Which Segment Currently Holds the Largest Share of the Aerospace Logistics Service Market?
The aerospace logistics service market covered in this report is segmented -
1) By Service Type: Transportation, Warehousing, Freight Forwarding, Inventory Management
2) By Product Type: Aerospace Components, Aviation Security Products, Ground Support Equipment, Aircraft Parts
3) By Transportation Mode: Air Transportation, Ground Transportation, Sea Transportation
4) By End-User: Aerospace Manufacturers, Airlines, Defense Organizations
Subsegments:
1) By Transportation: Air Transportation, Sea Transportation, Land Transportation, Multimodal Transportation
2) By Warehousing: Inbound Warehousing, Outbound Warehousing, Temperature-Controlled Warehousing, General Storage Warehousing
3) By Freight Forwarding: Air Freight Forwarding, Sea Freight Forwarding, Land Freight Forwarding, Express Services
4) By Inventory Management: Demand Forecasting, Spare Parts Management, Inventory Optimization, Stock Level Monitoring
Which Major Trends Are Shaping the Future of the Aerospace Logistics Service Industry?
Leading enterprises in the field of aerospace logistics service market are majorly investing in the ideation of inventive products, including digital air cargo handling solutions. These solutions aim to improve efficiency, tracking, and safe delivery through innovative technologies, artificial intelligence, the Internet of Things, and automation. They apply cutting-edge technology to monitor, manage, and securely transport commodities. For instance, Qatar Airways Cargo launched a reliable logistics solution named AEROSPACE in February 2025. This solution is tailored to satisfy the evolving demands of the aviation industry, focusing on the quick transportation of crucial elements like aircraft engines, avionics, airframe interiors, and landing gears. Qatar Airways Cargo also deploys advanced equipment like shock-absorbent transport dollies and floating loading techniques to confirm the safe and prompt delivery of aerospace components.
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Which Key Players Dominate the Aerospace Logistics Service Industry Globally?
Major companies operating in the aerospace logistics service market are FedEx Express, Airbus SE, Boeing Global Services, Kuehne + Nagel International AG, Collins Aerospace, DB Schenker, DSV A/S, Safran SA, CEVA Logistics AG, Expeditors International of Washington Inc., GEODIS, Ryder System Inc., Kintetsu World Express Inc., XPO Logistics Inc., Hellmann Worldwide Logistics SE & Co. KG, AAR Corp., Menzies Aviation, GA Telesis LLC, UPS Supply Chain Solutions, Lufthansa Technik Logistik Services GmbH, DHL Supply Chain
What Are the Fastest-Growing Regions in the Aerospace Logistics Service Market?
North America was the largest region in the aerospace logistics service market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the aerospace logistics service market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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