Aerospace Market Size in Mexico is set to grow by USD 15.61 billion from 2024-2028, Favorable regulatory environment boost the market, Technavio
NEW YORK, July 5, 2024 /PRNewswire/ — The aerospace market size in Mexico is estimated to grow by USD 15.61 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of 25.2% during the forecast period. Favorable regulatory environment is driving market growth, with a trend towards growing aerospace export. However, downgrading of mexican aviation regulatory poses a challenge. Key market players include Airbus SE, BASF SE, Bombardier Inc., DAHER, Dassault Aviation SA, Ducommun Inc., General Dynamics Corp., General Electric Co., GKN Aerospace Services Ltd., Honeywell International Inc., Mitsubishi Heavy Industries Ltd., Parker Hannifin Corp., RTX Corp., Safran SA, Textron Inc., Thales Group, and The Boeing Co..
The Mexican aerospace industry has seen consistent growth in exports, averaging 14% annual increase from 2004 to 2019. This success can be attributed to favorable export programs like the Maquiladora Export Program, enabling duty-free imports for assembling aerospace products for export. However, the industry faced a significant setback with over 20% export decline in 2020 due to the COVID-19 pandemic. Despite this, the Mexican government’s support is expected to boost the export sector’s recovery. Additionally, the emergence of small vendors and major OEMs, coupled with a cost-effective manufacturing ecosystem, will contribute to the industry’s growth and market expansion during the forecast period.
The Aerospace market in Mexico is experiencing significant growth, particularly in the aircraft sector. There’s a rising demand for more efficient and sustainable aviation, leading to increased focus on electric propulsion and eVTOL aircraft. Autonomous technology is also trending, with autonomous systems being integrated into both manual and autonomous aircraft. Defense spending remains a key driver, making Mexico a significant defense exporter and a hub for defense contractors and space agencies. Military spending on weapon systems, fire control systems, and satellite communication continues to fuel innovation. The space exploration field is gaining momentum, with initiatives in materials, propulsion systems, and satellite communication. Passenger travel, commercial airlines, and space tourism are also growing sectors. IoT technology, 3D printing, and UAM are other emerging trends. Geopolitical instability underscores the importance of aerospace support.