The aircraft market is going through several changes - there will be a higher demands for travel from growing populations; China’s Aviation market is on the rise and challenging the west’s Boeing and Airbus; and 3D-printed parts and artificial intelligence will start to play bigger roles in the industry. But one thing that will be very important among all the changes that are happening in the industry is the aviation aftermarket.

Last year, Airbus predicted in their Global Marketing Forecast (GMF) that the number of pilots would increase from 200,000 to 450,000, the number of new technicians that will need to be trained will 540,000, and it’s fleet would consist of 40,000 aircraft by 2035. The aftermarket will be affected by these elements mentioned in the GMF since these are linked to Maintenance, Repair, and Overhaul (MRO) spending, which Airbus planned in their report to increase from $53 billion to over $132 billion in 2016. Back in 2009, an article written by Booz & Company marketing shared evidence that China’s general aviation was growing at an annual rate of 10-20 percent but the the industry was facing a shortage of MRO services, deciding to let Hong Kong or overseas businesses supply those services.

We can assume that there will be a growing demand and opportunity in the Pacific-Asia aftermarket for a few years due Airbus's increase in MRO spending, China is set on becoming a global industrial/aviation leader, and Airbus's report also foretold the Asia-pacific will account for a portion of the market larger than USA and Europe’s portions combined. Simply put, there is a great opportunity to take advantage of in the Asian-pacific MRO and aftermarket.

In order to take advantage of such a market, one must keep some things mind; In Morris A. Cohen’s Article “Winning in the Aftermarket” quick service and timing are a important factors in getting ahead in the aftermarket, since an aftermarket business needs understand how technology is developing at all times. Usual elements of running a business such creating a portfolio of your products along with studying your customer’s and supplier's needs and trends is also important to help stand out and be an excellent service in the aftermarket. Additionally, having a clear idea of how the after-sales supply chain will operate in addition to with where the money and information is going are vitally important to keeping the business afloat. You can read more about Cohen’s article in the sources below.

United Technologies Aerospace Systems President Dave Gitlin stresses that it's important for suppliers to maintain roles with their OEMs in today's market, believing that the Aftermarket may eventually head into “rivaling partnerships” between suppliers. President Gitlin also hinted that some OEMs like Boeing may decide to in source the exchange of their used parts and equipment, a role that normally goes to partners who, like United Technologies, provide parts from aftermarket to Boeing. This could mean that many aftermarket suppliers will turn to Chinese aviation for business.

Suppliers like Tallamond and AAR are readying themselves for the growing market by already connecting with suppliers and businesses in China. As more opportunities continue to flourish in China’s aviation industry, the Asian-Pacific aftermarket will also undergo its own financial and competitive growth.

Sources: http://www.airbus.com/newsroom/press-releases/en/2016/07/airbus-forecasts-3-trillion-commercial-aviation-aftermarket-services-over-the-next-20-years.html http://aviationweek.com/commercial-aviation/aftermarket-push-oems-leads-paris-air-show-buzz
http://www.aviationpros.com/press_release/12351190/aar-opens-new-supply-chain-hub-in-china
https://hbr.org/2006/05/winning-in-the-aftermarket
https://www.strategyand.pwc.com/media/file/General_Aviation_in_China.pdf