Aircraft Electrical Systems Market - By System, By Component, By Platform, By Application & Forecast, 2025 - 2034

Aircraft Electrical Systems Market Size

The global aircraft electrical systems market was valued at USD 26.6 billion in 2024 and is estimated to grow at a CAGR of 7.4% from 2025 to 2034.
 

The aircraft electric system market is growing due to increased demand for advanced electrical solutions in military aviation. Defense agencies are seeking next-generation aircraft with better range, reliability, and versatility. This has led to a focus on electric systems that offer high power generation, efficient energy management, and enhanced performance. As a result, there's a rising demand for durable starter-generation and power management technologies that meet strict military requirements. This trend is creating significant growth opportunities in the market.
 

For instance, in May 2024, Safran Electrical & Power, an aircraft electrical systems provider, agreed to supply starter-generation systems for the U.S. Army's Future Long Range Assault Aircraft (FLRAA) program. The company signed this deal with Bell Textron Inc. This agreement enhances the provider's position in the Aircraft Electric System market. By expanding its role in advanced military aviation programs, the company is poised to see increased demand for its innovative starter-generation technologies.
 

The aircraft electric system industry is moving towards electric and hybrid-electric designs to boost fuel efficiency, cut emissions, and reduce costs. This shift is spurring advances in energy storage, power distribution, and electric propulsion for more electric and fully electric aircraft across commercial, military, and urban air mobility sectors. Key developments include better batteries, lightweight materials, and improved power management. The focus on sustainable aviation is fostering industry partnerships, while the rise of urban air mobility (UAM) and electric vertical takeoff and landing (eVTOL) markets is creating demand for compact, reliable electric systems for safe urban transport.
 

Aircraft Electrical Systems Market Trends

The aircraft electric system market is shifting towards More Electric Aircraft (MEA) and hybrid-electric propulsion systems. This change stems from the aviation industry's focus on sustainability, efficiency, and cost savings. MEA replaces traditional hydraulic, pneumatic, and mechanical systems with electric ones, creating lighter and more efficient aircraft. This trend supports reduced carbon emissions, enhances operational efficiency, and lowers maintenance costs, appealing to both commercial and military aviation sectors.
 

For instance, in January 2023, ZeroAvia made a breakthrough in zero-emission aviation. The company successfully flew the world's largest hydrogen-electric powered aircraft, a 19-seat Dornier 228. This test flight featured a full-size prototype hydrogen-electric engine installed on the aircraft's left wing, marking a significant step forward in sustainable air travel.
 

Aircraft Electrical Systems Market Analysis

The aircraft electrical systems industry faces challenges and opportunities driven by technological demands, regulatory pressures, and the push for sustainable aviation. High development costs, complex infrastructure needs, and battery limitations hinder widespread electric aircraft adoption, especially for long-haul flights. However, opportunities emerge as global demand for efficient, low-emission aviation grows. Advances in lightweight batteries, fuel cells, and the shift toward More Electric Aircraft (MEA) offer ways to reduce emissions and fuel costs. The rise of Urban Air Mobility (UAM) and electric Vertical Take-Off and Landing (eVTOL) vehicles fuels demand for advanced electric systems. Regulatory bodies enforce stricter emissions standards, while government funding accelerates innovation in sustainable aviation technologies.
 

Based on platform, the market is segmented into commercial aviation, military aviation, and business & general aviation. The commercial aviation segment is expected to register a CAGR of over 7.5% over the forecast period.
 

• Commercial aviation is moving towards More Electric Aircraft (MEA), replacing traditional hydraulic and pneumatic systems with electrical ones. This shift aims to cut emissions, boost fuel efficiency, and reduce costs. Airlines are adopting these electric systems for greener operations, while aircraft makers are developing hybrid and fully electric models for shorter flights.
   
• Battery technology advancements are shaping commercial aviation, driven by demand for electric propulsion. Airlines and manufacturers are investing in high-energy-density batteries and fast-charging technologies to enhance electric and hybrid-electric aircraft performance. The focus on reducing emissions and improving fuel efficiency is spurring innovations in energy storage, such as lithium-ion and solid-state batteries. These developments are set to drive sustainable aviation solutions in the near future.

Based on the system, the market is divided into power generation, power distribution, power conversion, and energy storage. The power generation segment dominated the global market with a revenue of USD 10.4 billion in 2024.
 

• The aircraft electrical systems market is seeing a shift towards hybrid and all-electric power generation. Manufacturers are combining electric generators with traditional turbine engines to cut fuel use and emissions. This aligns with the More Electric Aircraft (MEA) trend, which favors electric systems over mechanical and hydraulic ones. These changes bring more efficient and greener power options to both commercial and military aircraft.
   
• Aircraft makers are improving power systems to save fuel and reduce emissions. They're creating better generators and turbomachines to make electrical systems lighter, smaller, and more reliable. These changes support electric and hybrid-electric flight by balancing energy across all aircraft systems. This matters most for commercial planes and the growing hybrid-electric aircraft market.

North America dominated the aircraft electrical systems market in 2024 with a 39.7% share. The U.S. market is shifting towards More Electric Aircraft (MEA) to cut emissions and boost fuel efficiency. This change drives demand for hybrid-electric and all-electric propulsion systems, pushing the development of advanced power technologies. Manufacturers are now focusing on lightweight, high-capacity batteries and energy storage systems to support these new aircraft types.
 

Germany's aircraft electrical systems industry is advancing rapidly, driven by sustainability goals and EU emissions rules. The focus is shifting to hybrid-electric and fully electric aircraft, with German companies and researchers investing in efficient power technologies. Germany also leads in battery innovation, aiming to boost energy density and cut weight for better aircraft performance. These efforts align with the country's push for greener aviation solutions.
 

China's market is growing fast, driven by the country's push for greener aviation. The government is backing investments in hybrid and all-electric aircraft to cut emissions and modernize its aviation sector. This focus is spurring progress in efficient power systems for both commercial and military planes, aligning with China's broader goals for sustainable technology.
 

Japan's market is growing as the country focuses on sustainable aviation. Japanese firms are developing hybrid and electric aircraft to cut emissions and boost efficiency. They're investing in advanced power systems, emphasizing lightweight batteries and efficient components.
 

Aircraft Electrical Systems Market Share

The aircraft electrical systems industry is fiercely competitive, driven by innovation, regulations, and demand for sustainable aviation. Key players like Safran, BAE Systems, GE Aviation, and RTX compete by advancing power generation, distribution, and storage technologies for both commercial and military aircraft. These companies leverage their R&D strengths, industry experience, and partnerships to gain market share, focusing on hybrid-electric and all-electric systems. The market is shaped by collaborations, acquisitions, and investments to enhance product lines and global reach. This competition pushes companies to develop eco-friendly, efficient, and cost-effective electrical systems for aircraft.
 

Aircraft Electrical Systems Market Companies

Major players operating in the aircraft electrical systems industry are:

• Ametek
• Amphenol
• Astronics
• Avionic Instruments
• BAE Systems
• Crane Aerospace & Electronics
• GE Aviation
• Honeywell
• Meggitt
• Nabtesco
• PBS Aerospace
• Radiant Power
• RTX
• Safran
   

Aircraft Electrical Systems Industry News

• In April 2024, Safran Electrical & Power launched GENeUSCONNECT, a new series of high-power electrical harnesses. These harnesses complement the company's existing electrical systems for next-generation all-electric and hybrid aircraft.
   
• In August 2023, Astronics Corporation (Nasdaq: ATRO), a provider of advanced technologies for aerospace, defense, and other critical sectors, secured a contract with Bell. This partnership aims to support the development of the V-280 Valor, a key component of the U.S. Army's Future Long Range Assault Aircraft (FLRAA) program. The collaboration between Astronics and Bell marks a significant step in advancing military aviation technology.
   

This aircraft electrical systems market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD million) from 2021 to 2034, for the following segments:

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Market, By System

• Power generation
• Power distribution
• Power conversion
• Energy storage

Market, By Component

• Generators
• Conversion devices
• Distribution devices
• Battery management systems

Market, By Platform

• Commercial aviation
• Military aviation
• Business & general aviation

Market, By Application

• Power generation management
• Flight control & operation
• Cabin system
• Configuration management
• Air pressurization & conditioning

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa