Global PMA Parts Market to Reach $762.8 Million by 2017, According to New Report by Global Industry Analysts, Inc.

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GIA announces the release of a comprehensive global report on PMA Parts market. World PMA Parts market is forecast to reach $762.8 million by the year 2017. Demand in the post recession period will be driven by resurgence in fundamental growth drivers, such as, recovery in GDP growth, rise in consumer confidence, increase in the number of flying hours and a parallel increase in the wear and tear of aircraft-parts, and recovery in aircraft deliveries, among others. Additionally, future growth will be also be driven by strong preference of PMA parts in developing countries like China and India.

PMA Parts: A Global Strategic Business Report

Parts Manufacturer Approval (PMA) parts is one of the eleven ways in which FAA controls and approves modification or replacement parts manufactured for, and installed on a TC (type-certificated) product, following its initial airworthiness approval. Given the price-sensitive mindset of aircraft manufacturers, it was only a matter of few years that commercial considerations started to drive growth of the PMA industry. Companies in the PMA sector started off with producing non-critical parts especially for older aircraft. Only recently, they have grown in size and stature to develop critical, sophisticated, highly stressed aftermarket parts in competition with the OEMs. PMAs now can play a vital role in airframe, structural, power plant, to landing gear, and lighting and interiors. In certain cases, PMA parts have performed better than the OEM parts, as typically PMA manufacturers utilize latest technology for manufacturing PMA parts. As a result, airlines are increasingly embracing non-OEM spare parts to control manufacturing and maintenance costs. Although PMA parts represent just 3-4% of today's total aircraft spare part sales, they have a much greater impact on the industry by restraining price increases of OEM spares. The cost savings and other economical benefits, which have come to be synonymous with PMA parts over a period of time, and its contribution to the aircraft manufacturing industry as a whole, which is presently dominated by original equipment manufacturing industries are transforming PMA into a lucrative business option.

The recent economic conditions have additionally put PMA products in limelight, given its inherent cost effectiveness. For instance, a high-pressure turbine blade cost approximately 30% less than its OEM counterpart, while certain other PMA components are retailed at about 50% the price of OEM products with comparable safety and performance features. The recession-induced sensitivity to prices is helping inflate the market for cost-effective substitutes, with the greatest beneficiary of this trend being PMA products. Although resilient to a degree, the PMA parts market is not completely recession proof. The conventional wisdom that industries like PMA hold up well during recession because airlines spend more time repairing and servicing their existing aircrafts rather than order new aircrafts has apparently failed in the present context making this recession different from earlier recorded periods of economic slowdown. This is because the unusually pronounced length, depth and magnitude of the current recession sent ripples of unrest across the entire aircraft manufacturing value chain including the aftermarket.

A major bottleneck that is currently affecting the industry is the concerns over reliability and safety of PMA parts, and anti-PMA campaigns by the OEMs. Along with this, lesser availability of credit, rising levels of unemployment, reduction in disposable incomes and household wealth, and falling consumer confidence have all resulted in postponement of aftermarket purchases of components, parts, and accessories. Reduced frequency of maintenance and repair, especially expensive repairs, is a direct fallout of rise in the number of parked airplanes. Despite the current struggles, PMA market is poised to make a sturdy recovery in the immediate short-term, largely because the industry still retains its underlying strength supported by trends such as rising air traffic, longer aircraft retention, and rising awareness among airlines and MROs over the cost savings of PMA parts. The ultimate success of PMA industry is contingent upon providing independent MROs with critical cost savings to stand up against OEM aftermarket dominance. Several economies across the world are waking up to the important role played by PMA in achieving sustainable development. Escalating MRO spending, increasing number of suppliers, and rising awareness and adoption of PMA at customer level indicate remarkable growth on the horizon.

As stated by the new market research report, Europe and United States accounts for a lion’s share of the global PMA Parts market. Engines and components are the two largest segments of the total aircraft parts expenditure. By segment, Engine PMA parts is the largest contributor to global market revenues for PMA Parts. Competition in aircraft engine parts market is likely to become fiercer as PMA part suppliers have entered new arenas, such as life-limited engine parts. Global market revenues for airframe PMA parts are expected to surge at a fastest CAGR of 9.9% over the analysis period.

Major players in the global marketplace include Able Engineering & Component Services Inc, ADpma LLC, Aircraft Spruce and Specialty Company, Aviation Component Solutions Inc, Belac LLC, C&D Zodiac Inc, GM Nameplate, HEICO Corporation, Jet Parts Engineering Inc, KAPCO, Lanair Inc, McFarlane Aviation Inc, Pratt & Whitney Aircraft Company, Rapco Fleet Support Inc, Rotair Industries Inc, Triumph Group Inc., Wencor Inc., among others.

The research report titled “PMA Parts: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, issues, drivers, company profiles, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections (in US$ Millions) for major geographic markets including the United States, Europe, and Rest of World. Product segments analyzed include Airframe, Engine, Line, and Component.

For more details about this comprehensive market research report, please visit –
http://www.strategyr.com/PMA_Parts_Market_Report.asp

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a reputed publisher of off-the-shelf market research. Founded in 1987, the company is globally recognized as one of the world’s largest market research publishers. The company employs over 800 people worldwide and publishes more than 1200 full-scale research reports each year. Additionally, the company also offers thousands of smaller research products including company reports, market trend reports, and industry reports encompassing all major industries worldwide.

Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
E-mail: press(at)StrategyR(dot)com
Web Site: http://www.StrategyR.com/

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