Abstract
Hydraulic Component Manufacturers Develop Integrated Systems to Counter Growing Demand for Electrically Powered Solutions
Aerospace applications are finding greater use for electrical components that make the aircraft more efficient and lighter. They also help eliminate bulky hydraulic systems and hoses, which have higher maintenance costs due to leakages. However, hydraulics still retains its market for high-pressure applications. End users are beginning to see the benefits of integrating electronics with hydraulics systems for better performance and reprogrammable digital control and settings. Market participants that can provide integrated systems and take on the responsibilities of assembling and installing these systems are expected to succeed.
This Frost & Sullivan research service looks at the North American hydraulic components market for aerospace applications. It segments the markets into hydraulic cylinders, valves, as well as motors and pumps. The study discusses drivers and restraints as well as industry challenges. It also provides information on the growth trends, competitive structure, and market opportunities, thereby enabling companies to align their positioning strategies to benefit from the changing market and obtain maximum return on investment.
Steady Economic Growth and Robust Defense Spending Drive the Military Aerospace Market and Consequently, the Hydraulic Components Markets
The 9/11 attacks, the outbreak of severe acute respiratory syndrome (SARS), and the 2003 Iraq war have severely affected the commercial aerospace industry. However, improving economies are helping this industry get back on track, as has been proved by the Bureau of Transportation Statistics. This organization estimates that there was a 7.2 percent rise in the domestic passengers from 2003 to 2004 in U.S. airlines. With Airbus and Boeing introducing more airplanes, hydraulic components and systems sales are expected to receive a huge boost.
The U.S. military spending has also increased substantially, as the country has been actively deploying troops to fight insurgency and terrorism in various parts of the world. "The Department of Defense (DoD) is developing various programs to replace its aging fleet of aircraft and helicopters," says the analyst of this research service. "This, in turn is expected to assist growth in hydraulic component and systems markets."
Value Added Services such as Maintenance, Repair, and Overhaul Augment Market Revenue
The economic revival in North America has strongly benefited the air travel industry, and this is evident from the increase in the available seat miles (ASM). ASM refers to the overall capacity at which an airline operates and the Federal Aviation Administration (FAA) expects this to grow annually by 3.8 percent until 2015. The FAA has also initiated programs to replace aging aircraft but due to budget constraints, they are expected to be in operation for a longer while, thereby extending their service life.
This extension of life bodes well for the maintenance, repair, and overhaul (MRO) industry, particularly for the hydraulic components. The more the number of air travel hours, the greater the need for aircraft maintenance. "Aircraft and the helicopters used in the Middle East are battle-worn and need MRO services," notes the analyst. "This is likely to increase the outsourcing of their maintenance to MRO service providers by the DoD, which, in turn, is expected to increase the overall market revenue."
Table of Contents
- 1. Executive Summary
- 1. Market Overview
- 1. Introduction
- 2. Competitive Analysis
- 2. Summary of Major Findings
- 1. Market Opportunities and Forecasts
- 2. Strategic Conclusions
- 1. Market Overview
- 2. Total North American Hydraulic Components Markets for Aerospace Applications
- 1. Overview
- 1. Introduction
- 2. Market Segmentation
- 2. Challenges
- 1. Primary Market Challenges
- 2. Secondary Market Challenges
- 3. Market Forecasts
- 1. Market Engineering Measurement
- 2. Market Drivers
- a. Demand For Integrated Systems Boosts Revenues
- b. Robust Defense Spending Leads To Growth In Military Aerospace Market
- c. Steady Economic Growth Whips Higher Air Traffic
- d. Value Added Services Such As Maintenance, Repair And Overhaul (MRO) Expands Service Revenues
- e. Preference For Domestic Hydraulic Manufacturers Restricts Outsourcing To Other Countries
- 3. Market Restraints
- a. High Price Of Oil Curbs Growth Of Commercial aerospace Market
- b. Shift to Electrical Components Blunts Growth
- c. Inherent Disadvantages Of Hydraulics Encourages Aircraft Manufacturers To Invest In Alternate Technologies
- d. Losses In The Commercial Airline Industry Inhibit Spending On Hydraulic Components And Systems
- e. Cyclical Nature Of The Industry Curtails Growth Of Hydraulic Component Manufacturers
- f. Conducive Manufacturing Environment In Europe Impacts North American Aerospace Market
- 4. Revenue Forecasts
- 4. Market Trends
- 1. Trends by Application
- 2. Trends By Product Type
- 3. Trends By Geographic Region
- 4. Technology Trends
- 5. Competitive Analysis
- 1. Competitive Structure
- 2. Competitive Market Share Analysis
- 6. Frost & Sullivan Awards
- 1. Customer Value Leadership Award
- 2. Business Development Strategy Leadership Award
- 3. Product Differentiation Innovation Award
- 1. Overview
- 3. Distribution Analysis
- 1. Supply Chain Analysis
- 1. Definitions
- 2. Current Distribution Scenario
- 2. Current Distribution Network
- 1. Purchasing Process
- 2. Percent of Revenues by Distribution Channel
- 1. Supply Chain Analysis
- 4. Customer Needs
- 1. Customer Requirements
- 1. Current Issues
- 2. Supplier Selection Criteria
- 1. Customer Requirements
- 5. Key Trends In The Aerospace Industry
- 1. Commercial Aerospace Industry
- 1. Declines in Airline Travel
- 2. Commercial Aerospace Market
- 2. Military Aerospace Industry
- 1. Military Aerospace Market
- 2. Military Aircraft programs
- 1. Commercial Aerospace Industry
- 6. Appendix
- 1. Decision Support Databases
- 1. Commercial Aircraft in Service
- 2. Military Expenditure
- 3. Total Military Aircraft
- 4. Number of Aircraft
- 5. International and Major Domestic Carriers by Type and Fleet Size
- 1. Decision Support Databases


