Aerospace And Defense MRO Market Size, Share & Trends Analysis Report By Product (Engine, Airframe, Line), By Application (Narrow Body Aircraft, Wide Body Aircraft), By End-use (Commercial Aviation, Military Aviation), By Region, And Segment Forecasts, 2025 - 2030

Aerospace And Defense MRO Market Trends

The global aerospace and defense MRO market size was valued at USD 135.7 billion in 2024 and is expected to grow at a CAGR of 5.6% from 2025 to 2030, owing to increased defense budgets and the modernization of military fleets. As countries invest more in advanced military technologies and upgrade their defense capabilities, the need for regular maintenance, repairs, and overhauls of modernized aircraft, drones, and military systems intensifies. Older fleets require frequent updates to remain operational, while newer, more sophisticated technologies demand specialized MRO services. This growing investment in defense infrastructure directly leads to a larger and more diverse global demand for aerospace and defense MRO solutions.

Moreover, the expansion of aftermarket services and growing demands for cost-effectiveness and efficiency are anticipated to bolster the market size. As operators seek to extend the lifespan of their assets and reduce operational costs, the need for advanced maintenance, repair, and overhaul (MRO) services becomes critical. Innovations in predictive maintenance, parts optimization, and streamlined operations will enhance efficiency, offering substantial savings. Besides, the rising complexity of aircraft and defense systems increases the demand for specialized MRO solutions, propelling market growth in the coming years.

Product Insights

The engine segment captured the largest share of 40.7% in 2024, fueled by the critical importance of aircraft engines in ensuring safety, reliability, and performance. Frequent inspections, repairs, and overhauls are essential to keep engines functioning efficiently and meet regulatory standards. As engines are complex and costly components, their maintenance requires specialized expertise and advanced technology, driving demand for MRO services. Moreover, rising air travel and increasing defense operations further contribute to the sustained growth and dominance of the engine segment within the aerospace and defense MRO market.

The line segment is poised to emerge as the fastest growing segment and is projected to grow at a CAGR of 6.6% over the forecast period, driven by surging demand for cost-effective, efficient, and specialized maintenance solutions. As aerospace and defense operators seek to extend the lifespan of critical components, the need for precision repairs and upgrades of line-replaceable units (LRUs) and other line items will grow. Technological advancements, along with rising budgets for defense infrastructure and aircraft fleet maintenance, further support the growth potential of this segment in the near future.

Application Insights

The narrow body aircraft segment accumulated the largest share of 52.3% in 2024, owing to its widespread use in commercial aviation. These aircraft are more cost-effective and fuel-efficient, making them a popular choice for short to medium-haul flights. As global air traffic continues to grow, the demand for maintenance services for narrow-body aircraft increases, leading to significant investments in MRO infrastructure. Moreover, technological advancements and a high fleet utilization rate further boost the need for ongoing maintenance and repair services in this segment.

The wide body aircraft segment is poised to stand out as the fastest growing segment and capture a CAGR of 6.3% over the forecast period, driven by burgeoning demand for long-haul flights and international travel. As airlines expand their fleets to meet global connectivity needs, the demand for MRO services for wide-body aircraft is expected to rise significantly. Furthermore, these aircraft require more specialized maintenance due to their complex and larger systems. Technological breakthroughs, increasing fleet age, and longer service lifecycles further contribute to the projected growth in MRO services for wide-body aircraft.

End-use Insights

The commercial aviation segment achieved the largest share of 70.7% in 2024, propelled by the steady growth of global air traffic and fleet expansion. With airlines operating large fleets of aircraft, the demand for maintenance, repairs, and overhauls is substantial. Frequent inspections, engine overhauls, and the need to comply with strict safety regulations contribute to the significant volume of MRO services. Besides, the rise of low-cost carriers and surging air travel in emerging markets further boost the segment's position in the market.

The military aviation segment is anticipated to expand at a CAGR of 5.0% from 2025 to 2030 due to a surge in defense budgets and the growing need for advanced aircraft maintenance. With increased global security concerns, nations are modernizing their fleets, including fighter jets, helicopters, and unmanned aerial vehicles, all requiring regular maintenance and upgrades. In addition, the complexity of military aircraft demands specialized MRO services, driving demand for high-quality, efficient solutions. The strategic importance of military aviation ensures sustained growth, making it a key area of expansion within the aerospace and defense MRO market.

Regional Insights

Asia Pacific aerospace and defense MRO market secured the largest market share of 30.8% in 2024, fueled by rapid economic growth, escalating defense budgets, and a rising number of commercial and military aircraft in service. Countries including China, India, and Japan are investing heavily in advanced MRO capabilities to support their expanding fleets. The region’s strategic location and expanding aviation infrastructure further boost its dominance, while the growing demand for high-quality, cost-effective maintenance services drives regional and global players to invest in the Asia Pacific aerospace and defense MRO market.

Asia Pacific is projected to grow at a noteworthy CAGR during the forecast period, spurred by its fast-paced economic growth, expanding aviation sector, and increasing defense budgets. Countries such as China, India, and Japan are investing heavily in military modernization and commercial aircraft fleets, fueling the demand for MRO services. The region's growing air travel market further accelerates the need for frequent aircraft maintenance. In addition, the presence of key aerospace manufacturers and an expanding network of MRO service providers solidify Asia Pacific’s foothold in the global market.

China is expected to emerge as a booming region in the aerospace and defense MRO (CNTs) market due to its rapidly growing aviation sector and expanding commercial and military aircraft fleet. As the world’s second-largest aviation market, China’s demand for MRO services is set to rise with the increasing number of domestic and international flights. Government initiatives to enhance the defense sector and invest in aerospace infrastructure further drive market growth. Moreover, China’s focus on technological innovation and self-reliance in aircraft manufacturing is poised to boost the demand for localized MRO services.

India is poised to emerge as the fastest growing region due to its rapidly expanding aviation sector and defense budget. The country's increasing fleet of commercial and military aircraft requires extensive maintenance, repair, and overhaul services, fueling demand for MRO solutions. India’s strategic location in Asia, cost-effective workforce, and government initiatives to promote self-reliance in defense manufacturing create a strong foundation for growth. As the country enhances its technological capabilities and infrastructure, India is set to play a key role in the global aerospace and defense MRO market.

North America Aerospace And Defense MRO Market Trends

North America aerospace and defense MRO market is set to emerge as the fastest growing region and expand at a CAGR of 3.8% from 2025 to 2030, driven by its large fleet size, advanced technological infrastructure, and strong presence of major aerospace manufacturers and airlines. The region’s robust defense sector drives consistent demand for military aircraft maintenance services. Besides, North America’s strategic location facilitates global connectivity, enhancing the demand for commercial aviation MRO. With sizable investments in innovation, sustainability, and efficiency, North America is well-positioned to maintain its leadership in the aerospace and defense MRO market.

U.S. Aerospace And Defense MRO Market Trends

The U.S. aerospace and defense MRO market held a significant position in the aerospace and defense MRO industry in 2024, spurred by its vast and aging commercial and military aircraft fleet. As one of the world’s largest aviation markets, the U.S. offers significant demand for maintenance, repair, and overhaul services. The presence of leading aerospace manufacturers advanced MRO infrastructure, and government defense contracts further bolster this growth. Moreover, ongoing technological advancements and the need for fleet modernization will continue to fuel the expansion of the market.

Canada aerospace and defense MRO market is projected to achieve a significant CAGR over the forecast period, owing to its strong aerospace industry, skilled workforce, and growing demand for advanced maintenance services. The country's strategic location and robust defense sector make it an attractive hub for military and commercial aircraft MRO operations. Moreover, Canada's focus on expanding its aerospace capabilities and upgrading aging fleets fuels the demand for high-quality repair and overhaul services. Increased government investments in defense and aviation infrastructure are further driving the growth of the MRO market in the region.

Europe Aerospace And Defense MRO Market Trends

Europe prominence in the aerospace and defense MRO industry is attributed to the region’s well-established aerospace industry, a large fleet of both commercial and military aircraft, and advanced technological capabilities. The region is home to major aircraft manufacturers and operators, which drives continuous demand for MRO services. In addition, Europe’s strong emphasis on regulatory compliance and safety standards ensures the need for frequent and specialized maintenance. Strategic collaborations between airlines, defense contractors, and MRO providers, coupled with a highly skilled workforce, further solidify Europe’s dominance in the market.

Germany aerospace and defense MRO market is anticipated to accumulate sizable gains by 2030, propelled by its robust aerospace industry, technological advancements, and strategic positioning within Europe. As home to leading aircraft manufacturers, aerospace suppliers, and defense contractors, Germany is witnessing escalating demand for MRO services to support its commercial and military fleets. The country’s focus on innovation, coupled with strong investments in aviation infrastructure, positions it as a key contributor to the MRO sector. Moreover, Germany’s highly skilled workforce and emphasis on efficiency further enhance its market growth prospects.

The UK aerospace and defense MRO market is expected to establish a considerable foothold by 2030, fueled by its strong aerospace heritage and advanced technological capabilities. With significant investments in defense and commercial aviation infrastructure, the country is positioning itself as a key hub for MRO services. The UK's strategic location, highly skilled workforce, and established supply chains make it an attractive destination for global players. Furthermore, the government's focus on enhancing defense readiness and upgrading aircraft fleets is poised to drive demand for specialized MRO solutions in the coming years.

Key Aerospace And Defense MRO Market Company Insights

Some of the key companies in the aerospace and defense MRO market include AAR Corporation, SIA Engineering Company Ltd., Embraer S.A., Air France KLM Group, Raytheon Technologies Corporation, Delta Air Lines, Inc., General Dynamics Corporation, MTU Aero Engines AG, Lufthansa Technik, Honeywell International Inc., Spirit AeroSystems, Inc., Turkish Technic Inc., Bombardier, Rolls-Royce plc, Hong Kong Aircraft Engineering Company Limited, GE Aviation, Boeing, Airbus, ST Engineering, Magnetic MRO, and others.

• Raytheon Technologies Corporation specializes in cutting-edge aerospace and defense solutions, including advanced missile systems, avionics, and cybersecurity technologies.

• Delta Air Lines, Inc. provides air transportation services, offering domestic and international flights and amenities such as in-flight entertainment, loyalty programs, and cargo services.

Recent Developments

• In December 2024, Adani Defense & Aerospace signed an agreement to acquire an 85.8% stake in Air Works India (Engineering) Private Limited for INR 400 Crore. Air Works is India's largest private sector MRO company with the widest pan-India presence.

• In September 2024,Dassault Aviation launched a new subsidiary, Dassault Aviation MRO India (DAMROI), focused exclusively on providing Maintenance, Repair, and Overhaul (MRO) services for its military operations in India.

Aerospace And Defense MRO Market Report Scope

Global Aerospace And Defense MRO Market Report Segmentation

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global aerospace and defense MRO market report on the basis of product, application, end-use, and region:

• Product Outlook (Revenue,USD Million, 2018 - 2030)

  • Engine

  • Airframe

  • Line

  • Components

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Narrow Body Aircraft

  • Wide Body Aircraft

  • Regional Aircraft

  • Others

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • Commercial Aviation

  • Business & General Aviation

  • Military Aviation

  • Others

• Regional Outlook (Revenue,USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

    • Australia

    • Indonesia

    • Malaysia

    • Singapore

  • Latin America

    • Brazil

    • Argentina

  • Middle East

    • Saudi Arabia

  • Africa