Status : Published Published On : Oct, 2021 Report Code : VRSME9069 Industry : Semiconductor & Electronics Available Format : Page : 250

Global TIC Market for Aerospace & Aviation Industry – Analysis and Forecast (2021-2027)

Industry Insight by Sourcing Type (In-House and Outsourced), by Service Type (Testing, Inspection, and Certification), by Industry Vertical (Aviation Management & Flight Operations Services, Aviation Ground Services, Aviation & Jet Fuel Training, Aviation Maintenance, Repair & Overhaul (RMO), Aerospace Manufacturing Services, Airport Infrastructure Management Services, Aerospace Quality Management Services, Aviation Risk Management Services, and Aviation HSE Risk Management Solutions), and Geography (U.S., Canada, Germany, U.K., France, China, Japan, India, and Rest of the World)

Industry Overview

The testing, inspection, and certification market in the aerospace & aviation industry was USD 7.5 billion in 2020, registering a CAGR of 3.5% during the forecast period 2021-2027. Testing in TIC means an industry activity that assures manufactured products, individual components, and multi-component systems are suitable for the predetermined purpose. Inspection and testing are the operating parts of quality control, which is the most critical factor for the survival of any manufacturing company. Quality control directly supports other factors such as cost, productivity, on-time delivery, and market share. The testing, inspection, and certification market report is composed of conformity assessment agencies, which provide services from audit and inspection to testing, verification, quality assurance, and certification.

The primary factors for the rise in demand for the aerospace and aviation industry are the rising mandatory certification, urbanization, and amalgamation of new technologies in manufacturing operations.  Moreover, the concern regarding product safety and quality will boost the TIC market for the aerospace and aviation industry across the globe. Thus, implementation of developed technologies like Artificial Intelligence, machine learning, and 3D printing in aerospace manufacturing operations and innovation of new services and solutions due to COVID-19 pandemic, for instance, virtual visual inspection, remote audit, etc. in the aerospace and aviation industry will propel the growth of TIC market for aerospace and aviation industry.

Market Segmentation

Insight by Sourcing Type

Based on sourcing type, the TIC market for the aerospace & aviation industry is bifurcated into in-house and outsourced. Among the two segments, the in-house segment dominates the market and is anticipated to hold the largest share during the forecast period 2021-2027. Deploying in-house testing and inspection will offer companies to have complete control over the entire process in terms of technology, skilled personnel, and testing and measurement equipment. Thus, enabling organizations to handle TIC activities like on-site availability, ability to employ talent, and establish custom practices as per the needs and desires of the organizations. However, the outsourcing segment is expected to witness the fastest growth during the forecast period owing to the rising number of global mandates and increasing technical standards for the aerospace components as a result TIC service must be updated and should provide accurate results without biases.

Insight by Service Type

Based on service type, the TIC market for the aerospace & aviation industry is segmented into testing, inspection, and certification. Among these segments, the testing segment holds the largest share in the testing, inspection, and certification market in 2020 owing to the rising number of specific standards by governments and international standardization institutions. Testing is important in the aerospace & aviation industry because it helps inspection authorities and producers to find defects before an actual stress test. Moreover, it is a critical industry, so a single error can cause huge disasters and deaths Thus, there are test practices for each part used in aerospace production. Moreover, the certification market is anticipated to have a high CAGR during the forecast period owing to the stringent global standards, companies growing need to improve the product value, and the surge in demand for quality and safe products.

Insight by Industry Vertical

Based on industry vertical, the TIC market for the aerospace & aviation industry is divided into aviation management & flight operations services, aviation ground services, aviation & jet fuel training, aviation maintenance, repair & overhaul (RMO), aerospace manufacturing services, airport infrastructure management services, aerospace quality management services, aviation risk management services, and aviation HSE risk management solutions. Aerospace manufacturing services dominate the market owing to the growing number of aircraft deliveries, adoption of new materials in aircraft, and mandatory aviation regulations and certification standards for aircraft safety such as AS/EN 9110, AS/EN 9120, JISQ 9100, AS 9100, EN 9100, etc.

Industry Dynamics

Industry Trends

The TIC market for aerospace & aviation is characterized by various industry trends such as growing investment in AR and VR, mounting adoption of connected devices and cloud-based technology, increasing mergers and acquisitions by the industry players, and sustained consolidation of suppliers leading to globalization. 

Growth Drivers

The growing government-enforced regulations, considerable industry standards, certification requirements, and huge penalties against non-compliance parties are projected to drive the demand for TIC in the aerospace & aviation industry. Moreover, the increasing concern for product safety and quality globally, continuous innovations and investments by TIC service providers, emerging digital technologies and telecommunications, huge support from the government to promote the development of the aviation industry, rising number of aviation passengers, rising initiatives to support R&D and expand professional networks, rising number of SME in aerospace industries, will boost the growth of the TIC market in the aerospace & aviation industry.

Challenges

The testing, inspection, and certification market face certain challenges like trade wars and growth fluctuations, huge investment for automation and installation of industrial safety systems, high cost of TIC owing to diverse standards and regulations globally. Moreover, a lack of testing facilities and skilled personnel may hamper the growth of the TIC market

Opportunities

Testing, inspection, and certification is a massive market that provides lucrative opportunities in technologies such as AI, robotics, drones, big data analytics, next-generation automation, and cloud and cybersecurity. Moreover, the rising number of contracts between government and companies in the aerospace & aviation industry will provide significant opportunities for growth in the TIC market for the aerospace & aviation industry.

Geographic Overview

North America is anticipated to witness the largest market share during the forecast period in the TIC market for the aerospace & aviation industry owing to the numerous manufacturing facilities in the region. It is home to many big manufacturing companies such as Boeing, Airbus, Lockheed Martin, etc. Moreover, an increase in expenditure in manufacturing R&D in the aerospace and aviation industry, rising production of spacecraft, presence of structured regulatory frameworks is anticipated to propel the growth of the aerospace & aviation industry.

Competitive Insight

Key players are adopting technological changes to improve their product portfolio and generate new revenues, optimize the operational cost, and enhance service efficiencies via process upgrades. The industry players are taking the COVID-19 crisis as an opportunity to restructure and revisit their existing strategies, focus on new services and delivery models to access the growing demand for automation, remote service execution, and improved digitization.

The business enterprises have started opening development centers in new locations to enhance market penetration which helps in building business relations with customers and clients. Moreover, the industry players in the TIC market have started building strategies like mergers and acquisitions to generate new revenue channels.

Intertek partnered with VAKT, a UK-based blockchain platform, which will help Intertek to provide assurance solutions and inspection services seamlessly to its clients.

Some of the key players operating in the TIC market in the aerospace & aviation industry: Intertek Group plc, Bureau Veritas, MISTRAS Group, SGS SA, Eurofins Scientific, TUV Rheinland, TUV SUD, DEKRA SE, Applus+, and DNV GL.

Frequently Asked Questions

The value of TIC market for aerospace & aviation industry in 2020 is 7.5 billion.
The growth rate of TIC market for aerospace & aviation industry during the forecast period 2021-2027 is 3.5%.
The increasing concern for product safety and quality globally, emerging digital technologies and telecommunications, huge support from the government to promote the development of the aviation industry, rising number of aviation passengers, and rising number of SME in aerospace industries will boost the growth of the TIC market in the aerospace & aviation industry.
North America has witness the largest TIC market for Aerospace & Aviation industry .
Some of the key players operating in the TIC market in the aerospace & aviation industry: Intertek Group plc, Bureau Veritas, MISTRAS Group, SGS SA, Eurofins Scientific, TUV Rheinland, TUV SUD, DEKRA SE, Applus+, and DNV GL.

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Research Methodology

  •  Desk Research / Pilot Interviews
  •  Build Market Size Model
  •  Research and Analysis
  •  Final Deliverabvle
TIC Market for Aerospace & Aviation Industry