Fuel tank safety emerged as a topmost priority in the aviation industry with the tragic loss of Flight TWA 800. The cause of the accident was an explosion of the fuel tank, due to the ignition of the flammable gas in the tank. In the aftermath of the accident, the Federal Aviation Administration (FAA) has issued directives and policies that strive to find methods that eliminate or reduce the presence of flammable gases in the fuel tank. This has led to the development of fuel system inerting technology, and subsequently, air separation units that contain membrane filters made of hollow fiber membrane are gaining prominence in the aviation industry. Fuel tank inerting systems enhance the aircraft safety by replacing the potentially flammable gases existing within the ullage in the fuel tank with non-flammable inert gas. Thus, the stringent regulations pertaining to the fuel tank is the major factor that is bolstering the fuel tank inerting systems market size. Additionally, the increasing aircraft production across the world is further fuelling the growth of the fuel tank inerting systems market size. Catapulting air passenger traffic is propelling the demand for aircraft, which consequently is increasing the demand for their production. Now, the number of air passengers is estimated to touch 8.2 billion by 2037. In order to serve the meteoric rise in aviation activities, the industry is required to procure more planes and aircraft. As per the Commercial Market Outlook (CMO) unveiled by Boeing on June 17, 2019, the airline industry will need more than 44,000 new commercial airplanes by 2038. Wherein, the demand for the aircraft components such as fuel tank inerting systems is directly depended on the production of aircraft. Thus, the proliferating demand for new airplanes is providing promising prospects for the growth of the fuel tank inerting systems market size.
The Fuel Tank Inerting Systems Market size was valued at $7.92 billion in 2018. Furthermore, the demand in the market is anticipated to grow at a CAGR of 6.78% during the forecast period 2019-2025.
Flourishing Aviation Industry in India and China Providing Impetus for the Fuel Tank Inerting Systems Market Growth—
In terms of region, the APAC is projected to capture the major fuel tank inerting systems market share during the forecast period and was responsible for 34.28% of the total revenues generated in 2018. This is mainly attributed to the fact that this region is expected to deliver the highest number of aircraft when compared to the other regions. The Asia Pacific region is anticipated to deliver 16,930 new airplanes during 2018-2037, accounting for 40% of the total new aircraft deliveries. Additionally, the presence of developing economies such as India, China, and Japan are benefiting the growth of the Asia Pacific market. Technological advancements in these countries is paving way for the development of innovative products pertaining to fuel tank inerting systems. Some of them include membrane gas separators, which limits the oxygen concentration of air entering the fuel tank, and high precise pressure (measured by pressure gauge), temperature, and oxygen concentration controllers that optimize the fuel tank performance. Moreover, India and China are continuously increasing their defense spending. From 2016 to 2018, the military expenditure in China and India increased from $216 billion to $250 billion and $56.6 billion to $66.5 billion respectively. The increasing budget is providing sufficient support for the defense aircraft, UAVs, drones, and jet fighters, which uses inerting systems for their fuel tanks. This, in turn, is providing impetus to the growth of APAC’s fuel tank inerting systems market.
Fuel Tank Inerting Systems Market Leveraging Growing Trend of Lightweight Aircrafts—
In the aviation industry, the cost of fuel accounts for a significant percentage of the total operating cost of the plane. The aviation industry’s fuel cost was valued at $180 billion in 2018, accounting for around 23.5% of operating expenses. Therefore, in order to reduce the operational cost, the airliners are demanding for fuel-efficient aircraft. As the reduction in weight of aircraft considerably enhances the fuel efficiency, the manufacturers are shifting towards the utilization of advanced lightweight materials for the construction of components and parts such as fuel systems. Moreover, fuel-efficient aircraft further help in the reduction of carbon footprint. For instance, KLM a Dutch-based airlines revealed its new fuel-efficient “Flying V” aircraft which uses 20 percent less fuel compared with the contemporary airbuses. This new aircraft design will reduce the carbon footprint in aviation and it is expected to enter the KLM fleet until at least 2040. The increasing demand for lightweight aircraft is instigating the fuel tank inerting system manufactures to leverage advanced lightweight materials. Thus, the paradigm shift of manufacturers towards the development of lightweight fuel tank inerting systems is likely to provide positive alterations to the market.
Unmanned Aerial Vehicle Emerges as Key Application segment in the Fuel Tank Inerting Systems Market—
On the basis of application, the Unmanned Aerial Vehicle (UAV) is considered to be the key application segment that is poised to propel at a higher growth rate. This is due to the increasing investment for the development of UAVs across the world. The growing demand for UAVs is due to its multifarious applications such as remote sensing, aerial surveillance, motion picture filmmaking, oil and gas exploration, disaster relief, construction, and carrying aircraft ordnance. Now, the UAV sales are expected to rise from 2.5 million in 2016 to 7 million in 2020. Moreover, with the visual superiority, the capability of performing pre-emptive strikes, and surveillance on specific locations features, UAVs are being increasingly adopted in military forces globally in current warfare scenarios. Thus, the key application is anticipated to propel at a CAGR of 12.71% through to 2025.
Fuel Tank Inerting Systems Market Company’s Strategies—
Major companies that are striving to capture the majority of the fuel tank inerting systems market share are Eaton Corp., Inc., Parker Hannifin Corp., Woodward, Inc., Honeywell International Inc., Meggitt PLC, GKN Aerospace, United Technologies Corporation (UTC), Crane Co., and Triumph Group, Inc.