Aircraft Electrical System Market Size, Share & Industry Analysis, By Platform (Fixed-Wing and Rotary-Wing), By Component (Generators, Conversion Devices, Distribution Devices, Battery Management Systems, and Others), By Application (Power Generation Management, Flight Control & Operation, Cabin System, Configuration Management, and Air Pressurization & Conditioning), By Technology (Conventional, Electric, and Others), By End User (OEM and Aftermarket) and Regional Forecast, 2025-2032

The global aircraft electrical system market size was valued at USD 22.00 billion in 2024. The market is projected to grow from USD 23.54 billion in 2025 to USD 40.16 billion by 2032, exhibiting a CAGR of 7.93% during the forecast period.

An aircraft electrical system is a self-contained network of electric components used to generate, transmit, distribute, utilize, and store electric power and electrical energy. Generators and alternators are majorly used in aircraft to produce electricity. This equipment is engine-driven and powered by an Auxiliary Power Unit (APU), a hydraulic motor, and a Ram Air Turbine (RAT). The increasing use of lightweight wiring in commercial aircraft and advancements in high-density battery solutions for electric aircraft is propelling the market growth. For instance, in May 2024, Safran Electrical & Power was selected by Bell Textron Inc. to provide an electrical power generation system for U.S. Army's Future Long Range Assault Aircraft (FLRAA) program. This agreement marked a significant collaboration between the two companies, focusing on advanced military aviation technology.

The aircraft electrical systems market is highly competitive and fragmented, with several key players General Electric (GE) Aviation, Honeywell International Inc., Safran Group, Thales Group, and others dominating the industry. These companies are known for their expertise in designing, manufacturing, and innovating next-generation electrical systems for aircraft.

The COVID-19 pandemic had a significant impact on the aircraft electrical system market, primarily due to disruptions in the aviation industry. Reduced Aircraft Deliveries: The pandemic caused a sharp decline in global passenger demand, leading to reduced aircraft deliveries. In 2020, passenger demand dropped significantly below 2019 levels, with international and domestic travel severely affected. This directly impacted the demand for aircraft electrical systems, as fewer new aircraft were produced and delivered.

AIRCRAFT ELECTRICAL SYSTEM MARKET TRENDS

Adoption of Electric and Hybrid-Electric Propulsion Systems is the Latest Trend in the Market

There is a notable shift toward electric aircraft, which utilize advanced electrical architectures to enhance performance and reduce emissions. This shift toward electric and hybrid-electric aircraft is a major trend, requiring advanced electrical systems for effective power management and propulsion. The transition from hydraulic systems to hybrid electric propulsion systems is reshaping the design and efficiency of modern aircraft. These systems help reduce the aircraft’s overall weight and improve their fuel efficiency, thereby aligning with the sustainability goals in aviation.

Electric aircraft are seen as a viable solution to reduce the environmental impact of aviation. They offer the potential for zero emissions during flight, which aligns with global goals for sustainability and reducing the carbon footprint of the aviation sector. Recent advances in battery technology, particularly in energy density and efficiency, have made electric propulsion more feasible. Innovations in lithium-ion batteries and the exploration of alternative chemistries are crucial for enhancing the performance of electric aircraft. Furthermore, the business general aviation sector is increasingly adopting sophisticated aircraft electrical systems to improve flight performance and passenger comfort.

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Market Opportunities

Increasing Integration of Fly-By-Wire Flight Control System to Accentuate Market Growth

There has been an increase in the integration of fly-by-wire control systems in recent aircraft. Fly-by-wire acts as a replacement for traditional, mechanical, and hydro-mechanical systems. The system stabilizes the aircraft and adjusts the flight characteristics without pilot involvement while preventing the pilot from operating outside the aircraft's safe operating range. Since fly-by-wire is electronic, it is much lighter and less bulky than mechanical control, allowing for increased fuel efficiency and flexibility in aircraft design, even on aircraft old fly, and thus is preferred by OEMs and airlines.

Fly-by-wire is currently used in most aircraft, and thus is expected to boost the market over the forecast period, owing to surge in demand and integration for the system. For instance, in October 2022, BAE Systems and Supernal, two major flight control system manufacturers, unveiled an agreement to design and develop Supernal's Vertical Take-off and Landing (eVTOL) computer control system. In support of Supernal, BAE Systems will help define the architecture of a light electric flight system for its autonomous aircraft. The electric flight control system is anticipated to safely and efficiently control the aircraft during flight.

Market Drivers

Rising Demand for High-Performance Aircraft to Propel Market Growth

A recent surge in demand for high-performance aircraft with effective and efficient flight control systems is a major driving force in the market. The latest aircraft delivered by major OEMs are well-equipped with cutting-edge technology and support systems for accurate flight control. These aircraft flight control systems improve navigation, ensure optimum fuel saving, and ease operations. Various airlines have initiated demand for aircraft that can be operated at minimum cost, leading to a rise in demand for appropriate aircraft flight systems integrated with the latest digital technology. Moreover, advances in aircraft electrical systems are driving the development of more fuel-efficient technologies that significantly reduce operational costs.

In addition, the prevalence of supersonic and hypersonic aircraft for military & commercial purposes is expected to boost the aircraft flight control surfaces market over the forecast period. December 2022 – According to reports in state media, technology demonstration for Russia's future supersonic passenger plane is expected to enter production in 2023. It will be built at the Chaplygin Siberian Institute of Aeronautical Sciences (SibNIA), using MiG-29 fighters as a base. The institute's director, Vladimir Barsuk, announced the plan at a press conference, as reported by Russian news agency TASS.

Technological Advancements to Act as Catalyst for Market Growth

The aircraft electrical system market is poised for significant growth, driven by technological advancements and increasing demand for more efficient and reliable electrical systems in aviation. Here are the key opportunities and trends shaping this market:

Electric and Hybrid Aircraft Development: The shift toward electric propulsion systems presents substantial growth opportunities. Innovations, such as lightweight materials and advanced power management systems are crucial for developing these aircraft.

Fleet Modernization: As airlines expand their fleets, there is a growing need for retrofitting existing aircraft with modern electrical systems, creating a lucrative market for aftermarket services.

Emerging Technologies: The integration of technologies, such as the Internet of Things (IoT) and Artificial Intelligence (AI) into aircraft electrical systems offers prospects for smarter, more responsive operations, thereby enhancing overall efficiency.

Regulatory Compliance: Stricter environmental regulations are pushing manufacturers toward sustainable solutions, providing opportunities for companies that can deliver eco-friendly electrical technologies.

Market Restraints

Stringent Regulations Surrounding Flight Control Systems to Stifle Market Growth

Despite numerous advantages of the aircraft flight control system, there is a major setback for the market's growth due to strict regulations. The flight control system’s approval process by the regulatory authorities is time-consuming and expensive for several reasons, safety and operability being the major reasons. The regulatory authorities have become extremely cautious after the Maneuvering Characteristics Augmentation System (MCAS) fatal flight crash cases in Boeing 737 Max 8 aircraft. As the plane crashes took place due to the Maneuvering Characteristics and Augmentation System (MCAS), the processes have become more stringent, which is expected to regulate market growth to an extent.

Lengthy Certification Processes: The approval process for flight control systems is often time-consuming and costly. Regulatory bodies, such as the FAA and EASA, enforce rigorous testing and validation protocols to ensure safety and operability. This has become even more stringent following high-profile incidents, such as the Boeing 737 Max crashes, which have led to increased scrutiny of system designs and functionalities.

High Development Costs: Developing advanced flight control systems requires substantial investments in research and development (R&D). Smaller companies or new entrants may find it challenging to meet these financial demands, limiting competition and innovation in the market.

Cybersecurity Concerns: As flight control systems become increasingly reliant on software and electronics, they are exposed to cybersecurity threats. Ensuring robust cybersecurity measures adds another layer of complexity and cost to system development and maintenance, further constraining the market’s growth.

Integration Challenges: Integrating new technologies into existing aircraft platforms can be complex and time-consuming. Retrofitting older models with modern flight control systems presents significant logistical challenges, which can delay market entry for new innovations.

Increase in production and deliveries of aircraft is expected to drive the growth of the aircraft electrical system market during the forecast period. The production of aircraft has seen significant growth in recent years, particularly from 2019 to 2023. This increase in production is closely linked to advancements in technology, rising air travel demand, and a focus on sustainability, which in turn, drives the growth of aircraft electrical systems.

Major manufacturers, such as Airbus and Boeing are ramping up their production rates to meet this demand, with plans to increase output significantly in the coming years. For example, Boeing aims to produce approximately 50 737 MAX jets per month by 2025/26, showing a commitment to scaling up operations. As aircraft production rises, so does the demand for advanced electrical systems. Modern aircraft rely heavily on electrical power for various functions, including avionics, flight control systems, and passenger comfort features. The shift toward electric architectures is driving the need for sophisticated electrical generation, distribution, and management systems.

The aircraft power system is crucial for ensuring reliable energy distribution across various onboard systems, thereby enhancing the overall operational safety. Moreover, the growing trend of electric and hybrid-electric propulsion systems is particularly significant. These systems require more robust electrical architectures to support high-voltage starter-generators, energy storage solutions (like advanced batteries), and power management systems that can handle increased loads efficiently. Environmental regulations and the push for sustainable aviation are influencing manufacturers to invest in electrification technologies. The rise of electric and hybrid-electric aircraft not only reduces emissions, but also necessitates the adoption of advanced electrical systems that are capable of supporting these new technologies.

The increasing production of aircraft from 2019 to 2023 reflects a robust recovery in the aviation sector driven by rising demand for air travel and technological advancements. This growth directly influences the development of aircraft electrical systems as manufacturers adapt to new challenges posed by electric propulsion technologies, sustainability goals, and the need for more efficient power management solutions.

SEGMENTATION ANALYSIS

By Platform

Fixed-Wing Held Largest Share Due to Innovations in Power Electronics, Electric Motors of Fixed-Wing Aircraft

On the basis of platform, the market is classified into fixed wing and rotary wing. The fixed-wing segment held the largest share of the aircraft electrical system market. The growth is attributed to innovations in power electronics, electric motors, and fault-tolerant systems and burgeoning demand for aircraft electrification amid stringent regulatory requirements by the International Civil Aviation Organization (ICAO) and European Union Aviation Safety Agency (EASA). For instance, in July 2024, Airbus entered a binding term sheet agreement with Spirit AeroSystems for a potential acquisition related to the production of A350 fuselage sections and A220 components. This move aims to enhance supply stability for Airbus' commercial programs.

The rotary wing segment is expected to grow faster during the forecast period owing to the increased military helicopter purchases and military modernization programs for advanced electrical systems. Moreover, the shift toward electrical systems are the factors driving the segment growth during the forecast period. In October 2023, Safran Electrical & Power completed its acquisition of Thales' aeronautical electrical systems business, which specializes in electric conversion and power generation for both civil and military aircraft. This acquisition enhanced Safran's capabilities in the aircraft electrical systems segment, particularly for rotary wing platforms.

By Component

Generators Segment Held Largest Market Share Due to Rise in Demand for Efficient Power Generation

Based on component, the market is classified into generators, conversion devices, distribution devices, battery management systems, and others. The generators segment is projected to remain the dominant segment in the global aircraft electrical system market, primarily due to the increasing demand for efficient power generation in both fixed-wing and rotary-wing aircraft. For instance, in September 2024, Honeywell International Inc. was actively involved in supplying integrated drive generators to major aircraft manufacturers, thereby enhancing their fleet capabilities. Honeywell announced a contract with Boeing to supply advanced generator systems for their new aircraft models.

The conversion devices segment is estimated to record the highest CAGR during the forecast period.  Rise of electric propulsion technologies, regulatory compliance & safety standards, and emphasis on fuel efficiency are the factors that will drive the segment’s growth during the forecast period. For instance, in October 2024, Thales Group announced a significant contract with Airbus to supply advanced TRUs designed for next-generation commercial aircraft, marking a strategic partnership aimed at enhancing electrical system efficiency.

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By Application

Flight Control & Operation Segment is Dominant due to Rising Demand for High-Performance Aircraft

Based on application, the market is classified into power generation management, flight control & operation, cabin system, air pressurization & conditioning, and configuration management. The flight control & operation segment dominated the global aircraft electrical system market share in 2024. The segment’s dominance is attributed to the rising demand for high-performance aircraft equipped with sophisticated flight control systems, integration of advanced avionics & control systems, and new models from leading aircraft manufacturers, such as Boeing 787 and Airbus A380 with enhanced electrical architectures.

• For instance, in July 2023, BAE Systems announced a new research facility, FalconWorks, aimed at advancing airborne combat capabilities, which includes developing next-generation flight control systems for military applications.

The power generation management segment is estimated to be the fastest-growing segment, recording the highest CAGR of 8.83% during the forecast period. Demand for enhanced power management systems for next-generation and modernized aircraft, and advancements in battery management systems and energy storage technologies are some of the factors that will drive the segment’s growth during the forecast period

• For instance, in February 2022, NASA announced a collaboration with GE Aviation as part of its Electric Powertrain Flight Demonstration project, which aims to advance electric power generation technologies in aviation. This project involves significant investment from multiple stakeholders, including Boeing.

By Technology

Conventional Segment Held Largest Market Share Due to Its Cost-Effectiveness While Retrofitting Existing Aircraft

Based on technology, the market is classified into conventional, electric, and others. The conventional segment dominated the global aircraft electrical system market in 2024. Established infrastructure of conventional systems, moderate adoption rate of complete aircraft electrification for aircraft modernization, and cost-effectiveness while retrofitting existing aircraft are some of the factors that will propel the segment’s growth during the forecast period.

For instance, in October 2023, Boeing delivered 256 commercial aircraft to the U.S. airlines, leveraging the existing conventional electrical systems which remain integral to these aircraft designs.

The electric segment is estimated to be the fastest-growing segment during the forecast period. Innovations in electric propulsion, battery technologies, adoption of in-flight entertainment systems, advanced avionics & control systems, digital cabin pressurization systems, next-generation power generation management, and adoption of more electric electrical architectures amid stringent regulatory compliances are some of the factors that will drive the segment’s growth during the forecast period.

By End User

OEM Segment Held Largest Market Share Due to Increase in Demand for New Aircrafts

Based on end use, the market is classified into OEM and aftermarket. The OEM segment dominated the global aircraft electrical system market in 2024. Increasing military aircraft & helicopter deliveries and high demand for improved power efficiency and reliability in military and commercial aircraft are the factors that will influence the segment’s growth during the forecast period.

• For instance, in May 2021, Pyroalliance and Safran Electrical & Power entered a partnership to develop emergency pyrotechnic electrical shutdown solutions for high-power electric networks in next-generation aircraft. This reflects ongoing collaborations that are aimed at innovations within the OEM segment.

The aftermarket segment is estimated to be the fastest-growing segment during the forecast period. Fleet modernization initiatives across commercial and military aviation with modern electrical systems, rising demand for MRO services with system upgrades & replacements for aging electrical systems, and resurgence of air travel post-pandemic are the factors that will drive the segment’s growth during the forecast period.

• For instance, in August 2023, Collins Aerospace announced an expansion of its aftermarket services portfolio to enhance support for existing fleets, focusing on integrating advanced electrical solutions into older models.

AIRCRAFT ELECTRICAL SYSTEM MARKET REGIONAL OUTLOOK

The global market is segmented on the basis of region into North America, Europe, Asia Pacific, the Middle East, and the rest of the world.

North America

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North America accounted for largest market share in 2024, and is likely to remain dominant throughout the forecast period. The region’s aerospace industry is characterized by significant investments in research & development, particularly in advanced electrical systems that enhance aircraft performance and fuel efficiency. The shift toward "more electric" aircraft designs is a major trend as these systems reduce weight and improve operational efficiency.

Asia Pacific

Asia Pacific is anticipated to record the fastest CAGR during forecast period. Rapid economic growth in countries, such as China and India has led to a significant increase in air travel, driving the demand for new aircraft equipped with advanced electrical systems. The region's diverse economies contribute to a mix of rapid growth and stable development across various sub-regions. The Asia Pacific aircraft electrical systems market is driven by rising air travel demand and investments in new technologies. The market’s size in the region is projected to expand significantly, reflecting the increasing integration of advanced electrical solutions in aviation.

Europe

The aircraft electrical system market is expected to grow in Europe as the region’s major European OEMs, such as Airbus and Rolls-Royce are investing in next-generation technologies, including electric propulsion systems. Such huge investments are expected to drive the demand for advanced electrical components. For instance, in January 2024, Collins Aerospace secured a contract to supply its latest power distribution systems to Airbus for its A320 family of aircraft, highlighting ongoing collaborations within Europe’s aerospace ecosystem. Leading manufacturers are competing for a larger aircraft electrical system market share by innovating and enhancing their product offerings to meet evolving industry standards.

COMPETITIVE LANDSCAPE

KEY INDUSTRY PLAYERS

Key Players Focus On Development of Technologically Advanced Products and Acquisition Strategies to Drive Market Growth

The prominent market players are prioritizing the advancement of their product offerings. The development of a diverse range of solutions and heightened investment in research and development are key factors contributing to the market dominance of these players. The market is led by several players. They are focused on developing cutting-edge technologies that upgrade the level of autonomy in these aircrafts. Comprehensive aircraft electrical system market analysis reveals trends indicating a strong demand for next-generation electrical systems that support sustainable aviation initiatives.

LIST OF KEY PLAYERS PROFILED IN THE REPORT

• Ametek (U.S.)


• Amphenol Corporation (U.S.)


• Astronics Corporation (U.S.)


• Avionic Instruments, LLC (U.S.)


• Bae Systems (U.K.)


• Carlisle Interconnect Technologies (U.S.)


• Crane Aerospace & Electronics (U.S.)


• Eaglepicher Technologies, LLC (U.S.)


• Esterline Technologies (TRANSDIGM GROUP) (U.S.)


• GE Aviation (U.S.)


• Hartzell Engine Technologies (U.S.)


• Honeywell International Inc. (U.S.)


• Meggitt (U.K.)


• Nabtesco Corporation (Japan)


• PBS Aerospace (U.S.)


• Pioneer Magnetics (U.S.)


• Radiant Power Corporation (U.S.)


• Safran (France)


• Thales Group (France)


• United Technologies Corporation (U.S.)

KEY INDUSTRY DEVELOPMENTS

• November 2024- JetZero finalized its partnership agreements with tier-one suppliers for the key components of the flight control systems on its full-scale Blended Wing Body (BWB) demonstrator. The execution of contracts marked a critical step in the path toward construction and demonstration, with test flights scheduled to begin in 2027.


• October 2024- GE Aerospace announced a 10-year, multi-million-dollar services agreement with Emirates to support the electrical load management system on its Boeing 777 fleet. The agreement was supported by GE Aerospace in Cheltenham, U.K. Emirates is the world’s largest B777 operator with a fleet of 143 aircraft.


• August 2024- GKN Aerospace announced the extension of its agreement with Airbus for the continued production of all Electrical Wiring Interconnection Systems (EWIS) for the entire A220 aircraft. This multi-year contract extension reaffirmed GKN Aerospace’s role as a key EWIS supplier to Airbus.


• September 2023- Safran Electrical & Power, the world leader in electric aircraft systems, signed a collaboration agreement with Cuberg, a subsidiary of battery manufacturer Northvolt. The agreement was signed to facilitate industrial, technical, and commercial cooperation between the companies to develop an aviation energy storage system for future full-electric and hybrid aircraft.

REPORT COVERAGE

The report provides a detailed analysis of the market and focuses on important aspects, such as key players, components, platforms, end-users, and applications depending on various regions. Moreover, it offers deep insights into the market trends, competitive landscape, market competition, product pricing, and market status, and highlights key industry developments. Also, it encompasses several direct and indirect factors that have contributed to the growth of the global market in recent years.

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Report Scope & Segmentation