Aircraft Manufacturing in Australia Industry Market Research Report Now Updated by IBISWorld

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Aircraft manufacturers hit turbulence over the past five years, but conditions are starting to improve. For this reason, industry research firm IBISWorld has updated its report on the Aircraft Manufacturing industry in Australia.

IBISWorld Market Research

IBISWorld Market Research

Weak prices and slow demand have hurt aircraft manufacturers.

The Aircraft Manufacturing industry hit turbulence over the past five years, largely due to circumstances outside of the industry's control. Disturbances included strikes in overseas manufacturing facilities and extended delays of new aircraft, for which Australian operators provide parts. Exports are primarily sent to the United States (Boeing) and France (Airbus). Australian parts are some of the key features of the Airbus A380 and the Boeing 787 Dreamliner. According to IBISWorld industry analyst Ryan Lin, “industry revenue is anticipated to increase mildly over 2012-13 as recovered domestic demand from the commercial sector coincides with falling demand from the Federal Government”.

Despite the tough economic conditions for much of the world following the economic crisis, the industry benefited somewhat from high order backlogs with the main aircraft manufacturers around the globe. “However, over the past five years the industry faced stagnant output prices, increasing input costs and weak domestic demand”, says Lin. On top of that, the Australian dollar continued to grow in strength, making imports cheaper and increasing the price of exports. Industry revenue is expected to have declined as a result.

The Aircraft Manufacturing industry is expected to strengthen in the next five years as global conditions improve and airlines upgrade their fleets. However, slow government defence spending is expected to contribute to subdued industry revenue growth. The industry became more concentrated over the past five years, but over the next five, lower competition and the mature domestic market are expected to keep rising concentration at bay. As such, the major players – Boeing Australia Holdings Pty Ltd, BAE Systems Australia Holdings Limited and Australian Aerospace Limited – are expected to continue to account for a moderate share of the industry.

For more information, visit IBISWorld’s Aircraft Manufacturing report in Australia industry page.

Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau

IBISWorld industry Report Key Topics

The industry includes businesses that manufacture aircraft and aircraft engines and frames used for civilian and military purposes. Industry services also include guided missile manufacturing, aircraft maintenance, repair and overhaul (MRO).

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalisation
Major Companies
Operating Conditions
Capital Intensity
Technology & Systems
Revenue Volatility
Regulation & Policy
Industry Assistance
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.

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Gavin Smith
IBISWorld
(310) 490-5973
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