Zero Emission Aircraft Market will grow at highest pace owing to government support for green aviation

The zero emission aircraft market refers to aircraft that do not emit any exhaust gas or greenhouse gases from the onboard source of power during flight. These aircraft rely on electric propulsion systems powered by chemical batteries or fuel cells. With growing concerns around aviation emissions, adoption of zero emission aircraft is seen as a promising solution to decarbonize air transportation. These aircraft have several advantages over traditional jet fuel aircraft, such as near-silent operation during take-off and landing, zero operational emission, and lower fuel and maintenance costs. The use of sustainable aviation fuels and hydrogen-based electric propulsion systems allow these aircraft to become an integral part of sustainable mobility initiatives.

The Global Zero Emission Aircraft Market Is Estimated To Be Valued At US$7.68 Billion In 2024 And Is Expected To Exhibit A CAGR Of 16.3% Over The Forecast Period From 2024 To 2031.

Key Takeaways

Key players operating in the zero emission aircraft market are AeroDelft, Airbus SAS, Ampaire Inc., Avinor AS, BETA Technologies, Inc., Bye Aerospace, Equator Aircraft AS, Evektor, spol. s ro, Eviation Aircraft, Heart Aerospace, HES Energy Systems, Joby Aero, Inc., Lilium GmbH, NASA, Pipistrel doo, Rolls-Royce plc, Wright Electric, and ZeroAvia, Inc. Top players like Airbus and Eviation are leading the development of electric aircraft with ambitions to deliver electric planes for cargo and passenger transport by 2030.

The Zero Emission Market Demand sustainable aviation and efforts to reduce carbon footprint of air transport is a key driver for adoption of zero emission aircraft. According to estimates, aviation accounts for over 2% of global greenhouse emissions, making it a high priority sector for decarbonization. Stringent emission norms in Europe and North America along with tax incentives are encouraging investments in green aviation startups.

Technological advancements in energy storage solutions are bringing revolutionary changes to aviation. Lithium-ion batteries with higher energy densities as well as alternative cell chemistries like solid-state batteries are extending electrical flight ranges. Meanwhile, hydrogen fuel cells and hybrid-electric powertrains offer viable pathways to true zero-emission flights across long distances. Urban air mobility is also seen as an apt application for small electric aircraft with VTOL capabilities.

Market Trends

Batteries occupy a large portion of an electric aircraft's volume and weight budget, limiting flight ranges. Hence, companies are actively researching in solid-state and lithium-metal battery technologies with 2-3X higher energy density compared to lithium-ion. Pipistrel for example is developing solid-state batteries for its new Velis Electro aircraft.

Hydrogen fuel cell powertrains provide an alternative to battery-electric configurations for long-haul flying. ZeroAvia recently proved the feasibility of a 600 kW hydrogen-electric powertrain capable of returning 90 passengers 600 miles. Several OEMs are now evaluating hydrogen fuel cells and cryogenic fuel storage for large commercial aircraft.

Market Opportunities

Cargo transport is emerging as an early adopter of electric aircraft due to operational benefits of Zero Emission Aircraft Market Size And Trends . Eviation's Alice is targeting the regional cargo and freight market. Electric planes could gain a foothold in cargo before passenger planes owing to simpler aircraft designs and lower certification barriers.

Urban air mobility and regional mobility are natural fits for electric VTOL aircraft which are well-suited for short haul flights. eVTOL startups like Joby, Lilium, Heart Aerospace are developing electric aircraft targeting air taxi and air ambulance roles. Cities are actively collaborating to develop supporting infrastructure for UAM networks.

Impact of COVID-19 on Zero Emission Aircraft Market Growth

The COVID-19 pandemic has severely impacted the growth of the zero emission aircraft market. The outbreak led to several supply chain and manufacturing disruptions around the world. This caused delays in aircraft development programs and pushed back testing and certification timelines. Research and development activities also slowed down significantly due to restrictions on travel and workforce unavailability.

Demand for air travel declined sharply during the pandemic as countries imposed lockdowns and travel bans. This negatively impacted demand for new aircraft, including zero emission aircraft. Airlines centered on cash preservation due to declining revenues and putting many aircraft orders on hold. This resulted in postponed deliveries and cancellations of aircraft orders, hampering market growth prospects. However, the pandemic also highlighted the importance of sustainable aviation and motivated players to accelerate technology development to facilitate green recovery of the aviation industry in the post COVID era.

Going forward, vaccination drives and resumption of economic activities are expected to aid market recovery. However, challenges of high development costs and technology maturity continue to persist. Governments around the world are promoting initiatives to boost zero emission aviation. For instance, the European Union is aiming to achieve at least 2 million zero-emission flights by 2030 under its 'Fit for 55' package. Such initiatives are anticipated to support the market in gaining lost momentum in the coming years.

Geographical Regions with High Concentration in Zero Emission Aircraft Market

In terms of value, the zero emission aircraft market was highly concentrated in North America before the pandemic. This was attributed to presence of prominent players and generous funding by agencies such as NASA for research in this domain. The US has emerged as a forerunner with over 80% of global prototype development and testing activity centered in the country. This includes programs by Joby Aviation, Eviation, Heart Aerospace and others. Availability of required infrastructure, talent pool and encouraging norms were catalyzing factors for the dominant position of North America.

Fastest Growing Region for Zero Emission Aircraft Market

Prior to the pandemic, Asia Pacific exhibited highest growth momentum and is expected to regain lost traction faster in the post COVID period. Governments across China, Japan and South Korea are undertaking initiatives to become global leaders in zero emission aviation. For instance, China aims to achieve 10% share of 'green aviation' by 2050 under its green transportation strategy. Such policy push coupled with rising investments from domestic manufacturers like Xiangchen Aviation Technology is propelling the region to become the fastest growing market for zero emission aircraft over the forecast period.

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Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. ( https://www.linkedin.com/in/money-singh-590844163 )