Aircraft Recycling Market Report 2025

The aircraft recycling market size has grown strongly in recent years. It will grow from $5.03 billion in 2024 to $5.43 billion in 2025 at a compound annual growth rate (CAGR) of 7.9%. The growth in the historic period can be attributed to fleet retirement and replacement, environmental regulations and sustainability goals, circular economy initiatives, growing scrap value of aircraft components, airline cost reduction strategies.

The aircraft recycling market size is expected to see strong growth in the next few years. It will grow to $7.33 billion in 2029 at a compound annual growth rate (CAGR) of 7.8%. The growth in the forecast period can be attributed to increasing fleet size and renewal cycles, regulatory support and standards development, rise of sustainable aviation initiatives, market demand for recycled materials, public awareness of environmental impact. Major trends in the forecast period include advancements in recycling technologies, strategic partnerships and collaborations, technological advancements in aircraft design, global focus on green technologies, technological innovations in recycling processes.

The anticipated rise in retired and worn-out aircraft is poised to drive the expansion of the aerospace recycling market in the foreseeable future. Aircraft that have reached the end of their operational lifespan or have become economically unviable to maintain fall under this category. Through recycling processes, valuable components such as engines and parts can be reclaimed and reused, contributing to the profitability of recycling operations. For instance, according to estimates from the International Civil Aviation Organization (ICAO), a specialized agency of the United Nations based in Canada, approximately 600-1000 commercial aircraft are retired globally each year. Projections from ICAO and Airbus suggest a potential count of 15,000 retired aircraft by 2040. This growing number of retired and worn-out aircraft stands as a primary driver propelling the growth of the aircraft recycling market, emphasizing the increasing significance of sustainable practices within the aerospace industry.

The escalating global consciousness regarding environmental issues is anticipated to act as a catalyst for the expansion of the aerospace recycling market in the coming years. This awareness pertains to the knowledge and recognition individuals, communities, organizations, and societies have about various environmental challenges and concerns. As these environmental concerns gain prominence, governments and regulatory bodies worldwide are introducing more stringent environmental regulations and sustainability standards. Aerospace companies are consequently facing increased pressure to comply with these regulations, compelling them to embrace more sustainable practices, including recycling. For instance, the United States Environmental Protection Agency (EPA), an independent agency responsible for environmental protection matters in the U.S., has consistently dedicated itself to safeguarding public health by reducing pollutant emissions and enhancing air quality for over 50 years. The annual report, ''Our Nation's Air,'' furnishes a comprehensive overview of the nation's air quality status and trends up to the year 2021. This heightened global consciousness regarding environmental issues serves as a driving force propelling the growth of the aircraft recycling market, underlining the mounting importance of sustainable practices within the aerospace industry.

One of the notable trends gaining traction within the aircraft recycling market is the burgeoning popularity of sustainable aircraft recycling services. Prominent companies operating in this market are actively spearheading the development of sustainable aircraft recycling services to fortify their positions. An illustrative example occurred in January 2022 when Airbus, a France-based aerospace company, entered into a Memorandum Of Understanding (MOU) with the city of Chengdu and Tarmac Aerosave, another France-based aerospace company. This collaboration was geared towards establishing a sustainable aircraft lifecycle service center in China. The agreement facilitates a wide spectrum of services including aircraft parking, maintenance, storage, conversions, upgrades, as well as recycling and dismantling for diverse types of aircraft. This strategic alliance underscores the industry's concerted efforts to enhance sustainability by incorporating eco-friendly practices within aircraft recycling operations.

Major players in the aircraft recycling market are concentrating on developing technologically advanced solutions, such as the inaugural global aircraft recycling project designed to meet several critical industry needs. This project focuses on recovering valuable materials, minimizing waste, and promoting sustainability in aviation. For instance, in January 2024, Airbus, a Europe-based aerospace company, launched its first global aircraft recycling initiative, the Airbus Lifecycle Services Centre (ALSC), located in Chengdu, Southwest China. With a total investment of 6 billion yuan (approximately $844.55 million), the initiative aims to enhance the recycling rate of aircraft components and achieve over 90% eco-friendly recycling by weight. The ALSC received its first aircraft, an A330-200, for dismantling and recycling on August 29, 2024. This project is a collaboration with the Airbus China R&D and Innovation Centre and Hengri Corporation, focusing on material recycling and reuse. The center will serve as a comprehensive hub for various aircraft services, including maintenance, upgrades, and the controlled distribution of reusable parts. Airbus highlights that this initiative aligns with China's sustainable development goals and circular economy objectives, representing a significant advancement in fostering environmentally responsible aviation practices.

In September 2024, Unical Aviation, a US-based supplier of aircraft parts and components, acquired ecube Solutions for an undisclosed amount. This acquisition aims to significantly enhance Unical's presence and service capabilities in the Europe, Middle East, and Africa (EMEA) regions. Ecube Solutions, based in the UK, plays a pivotal role in aircraft recycling, focusing on disassembly and the reuse of aircraft components.

Major companies operating in the aircraft recycling market include Aircraft Solutions USA, AELS (Aircraft End-of-Life Solutions), Aviation International Recycling LLC, Bartin Aero Recycling, CAVU Aerospace, ELG Carbon Fibre Ltd, GA Telesis LLC, Aircraft Demolition LLC, Air Salvage International Ltd, Universal Asset Management Inc, Airplane Recycling, Ecube Solutions Ltd, Lufthansa Technik AG, Tarmac Aerosave, Vallair Solutions, AerSale Inc, AvAir, Boeing Global Services, A J Walter Aviation Limited, Aircraft End-of-Life Solutions BV, Magnetic MRO AS, AELS BV, ATS Group, Delta Material Services.

North America was the largest region in the aircraft recycling market in 2024. The regions covered in the aircraft recycling market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the aircraft recycling market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Aircraft recycling is the process of dismantling retired or decommissioned aircraft to extract valuable materials such as aluminum, titanium, and parts for reuse or resale. This approach aids in reducing waste, minimizing environmental impact, and repurposing materials for new manufacturing. Ultimately, it promotes sustainability within the aviation industry.

The primary products obtained through aircraft recycling encompass engines, landing gear, and avionics. Engines stand out as particularly valuable components derived from the recycling process, often remaining in good condition after an aircraft is decommissioned. These engines can be subjected to repair, upgrades, or resale for use in other aircraft. The materials recovered through recycling include aluminum and various other metals and alloys. Aircraft recycling encompasses a range of aircraft types, including narrow-body, wide-body, and regional aircraft.

The aircraft recycling market research report is one of a series of new reports that provides aircraft recycling market statistics, including the aircraft recycling industry's global market size, regional shares, competitors with an aircraft recycling market share, detailed aircraft recycling market segments, market trends, and opportunities, and any further data you may need to thrive in the aircraft recycling industry. This aircraft recycling market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The aircraft recycling market includes revenues earned by entities by providing services such as scrapping and disassembling retired aircraft, re-purposing their parts as spare parts, or scrap, non-destructive dismantling. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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