The global air-crane helicopter market size is projected to reach USD 3.22 billion by 2027, exhibiting a CAGR of 3.86% during the forecast period. Increasing frequency of forest fires will be a prime factor driving the growth of this market Forest fires, though a natural phenomenon, have increased in intensity and frequency in the past few decades as a result of rampant development activities, which have further fueled climate change and global warming.
For example, according to data analyzed by NASA, in western US states, 61% of wildfires have occurred since 2000, and the size of the fires has also steadily grown. Air-crane helicopters are vital in putting out fires and rescuing people when such instances occur. For example, Erickson Incorporated deployed six of its Air-Crane helicopters to fight the bushfires in Australia in January 2020. Thus, the rising demand for lift rotorcraft in battling forest fires will significantly expand the scope of the market in the coming years.
Declining Demand for Oil amid the COVID-19 Crisis to Limit Market Growth
Air-crane helicopters are extensively utilized by the oil & gas industry to ferry men and material to offshore well-sites. They also play a key role in facilitating the construction of offshore oil & gas rigs and thus companies and governments invest heavily in these rotorcrafts. However, the COVID-19 pandemic has cast a shadow on the air-crane helicopter market growth. The pandemic, due to the unprecedented global economic downturn, has triggered extreme volatility in crude oil prices, mainly resulting from sharply falling demand. According to the International Energy Agency (IEA), global oil demand will stand at 91.7 million barrels per day (bpd) for the remainder of 2020, indicating a year-on-year contraction of 8.4 million BPD. Moreover, oil prices, the IEA observes, have fallen by 40% since the beginning of the year, which will result in lower investments and delaying or canceling of projects. Cumulatively, these factors will limit the growth of this market as oil & gas is a major end-use industry where lift helicopters are massively utilized.
List of Key Players Covered in the Air-Crane Helicopter Market Report: