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US Aerospace Industry - Moved But Still Going Strong - US aerospace industry continues to enjoy its dominant market position but due to certain challenges it is confronting, it has slipped from its position in recent times
US Aerospace Industry - Moved But Still Going Strong

 

PRZOOM - /newswire/ - Delhi, New Delhi, India, 2007/05/19 - US aerospace industry continues to enjoy its dominant market position but due to certain challenges it is confronting, it has slipped from its position in recent times.

   
 
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According to “US Aerospace Industry Analysis”, a recent report by RNCOS, it has been found that US continues to lead the global aerospace industry. The US aerospace industry grew by around 8.15% in 2006 to exceed US$ 183.5 Billion as against around US$ 169.8 Billion in 2005.

The aerospace industry of US, a leader at both national and global level, is an integral part of the US economy. More importantly, aerospace industry is the primary exporter of the country and produces the largest trade glut of any industry in US. The industry, with over 25% share in the total R&D expenditures of the country, is a technology pioneer in the nation.

The aerospace industry of US has been one of the most flourishing industries. But now, some challenges have cropped up for the industry. The three main issues that the aerospace industry is facing are – rising competition at international level, continuing reductions in defense budget, and a poor worldwide economy. Historically, around half of the revenues of the aerospace industry were generated from the military sector. Reductions in defense budgets for aerospace industry, both in US and other nations of the developed world, have decreased the needs for missiles, military aircrafts, and other related machinery from US suppliers.

Although US has been successful in retaining its both technology and market leadership in the worldwide aerospace industry, its dominant position has shaken. Several foreign governments have emulations for developing competitive aerospace sectors and have given their full support with subsidies for product innovation and production. Also, they have needed technology transfers and setoffs, in which buying of aerospace products from US is reliant on their own companies supplying some of the parts.

According to the RNCOS report “US Aerospace Industry Analysis”, since the onset of twentieth century, US has been the largest manufacturer and market for aviation and aerospace in the world. Also, the country allots the highest amount as budget to its military. US aerospace industry reported a phenomenal success in 2006. As per estimates, the sales will rise by around 5.8% in 2007 to surpass US$ 194.8 Billion as the purchases by Defense Department and space sector will record a slight increment while commercial aircrafts, engines, and components deliveries will post rapid growth.

The market research report prudently analyzes the position of US aerospace industry in global context alongwith industry performance, industry analysis, and key market players.

About RNCOS E-Services Pvt Ltd.

RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of industry experts who analyze data collected from credible sources. They provide industry insights and analysis that helps corporations to take timely and accurate business decision in today's globally competitive environment.

 
 
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US Aerospace Industry - Moved But Still Going Strong

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