For further information on the Aircraft and Parts industries in
Australia, please contact Commercial Specialist Phil Keeling,
U.S. Commercial Service Sydney on Tel: (+61-2) 9373-9209, Fax:
(+61-2) 9221-0573
Email: phil.keeling@mail.doc.gov
Overview
Australia is a significant market for U.S. exporters of aviation and aerospace products and equipment. The Australian Civil Aviation Authority’s acceptance of FAA certification standards has underscored a longstanding and close relationship between American exporters and their Australian agents and distributors.
A large proportion of Australia’s commercial aircraft fleet, general aviation registrations, and defense air assets are U.S.-manufactured, ensuring a steady market for spares, accessories, and service. As a primary market in the Asia Pacific region, it will continue above-average growth. Australia is a major distribution point for the region, including the Pacific Islands, New Zealand and Papua New Guinea, offering broad opportunities for suppliers of quality aerospace products.
The Australian aerospace industry is robust, growing, lucrative, and intrinsically connected with U.S. standards, supply lines, parts, and finished aircraft. There are over 12,000 aircraft registered in Australia. U.S.-manufactured aircraft represent 66% of total registrations. Other registrations are aircraft manufactured in Australia (13.6%), Germany (5.4%), the U.K. (4.3%), and France (2.2%).
The industry is comprised of three broad sectors - commercial, defense, and general aviation. With little aircraft manufacturing in Australia, local firms specialize in repair and maintenance; airframe component manufacturing; airport systems and infrastructure; avionics; aero engine, and engine component manufacture. Best prospects are in the areas of parts and component supply for aircraft maintenance, repair and overhaul. Australia already has numerous, qualified, maintenance, repair and overhaul facilities.
The industry also has a mix of business entities from subsidiaries of the major global aerospace companies to around 300 small to medium local enterprises supplying parts, engineering services, and expertise. A select group of specialists carry out commercial aircraft maintenance, including Qantas, the largest commercial fleet owner.
Best Prospects
Defense – the U.S. DoD is a major supplier to the Australian military through the FMS program. For its part, Australian industry is keen to participate in global supply chains, such as the Joint Strike Fighter cooperative development program, in which Australia is a partner. This in itself may offer longer-term opportunities for American manufacturers, when Australia’s potential procurement of up to 100 of this aircraft is finalized in 2012. Most major U.S. defense aerospace companies are either represented or have subsidiary operations in Australia. Prominent American-made aircraft in the Australian fleet include F/A-18s, Blackhawks, Seahawks, Chinooks, P-3Cs, C-130s, UH-1s, and recently C-17 transporters and Boeing 737 AEW&C aircraft. Recently, European firms have made significant ground with contracts for refueling aircraft, reconnaissance helicopters, and medium lift helicopters.
General Aviation - opportunities in the general aviation market include a range of products from avionics to ground support equipment. With some exceptions, the Australian avionics industry, although diverse, is limited to the supply and installation of components rather than the design and development of high technology products. A large but variable* sub sector is aerial agriculture, which uses over 300 special purpose aircraft, vehicles and equipment, and aircraft maintenance facilities. The majority of the 12,000 aircraft on the Australian Aircraft Register are small aircraft, with Cessna and Piper in strong positions, jointly accounting for around 45% of total registrations.
* due to the prolonged drought
Commercial Aviation - the commercial airline market sources major equipment direct from manufacturers, and prefers to obtain OEM spares from approved suppliers. Qantas leads the field in commercial aviation in Australia, followed by Virgin Blue. In October 2006 Qantas contracted UK Company Aero Inventory PLC as its supplier of expendable and recoverable spares for a ten-year period.
Regional commuter carriers operate throughout Australia, providing regular public air transport services, and serving around 9-10% of the market.
Opportunities
Best sales prospects are in the supply of parts and components for aircraft maintenance, repair, and overhaul. There are opportunities in advanced avionics, display, communication, and control and navigational instruments. There is growth in the composites industry in Australia, with raw materials and components from U.S. companies. There is an increasing interest in unmanned aerial vehicles and systems for military use, fire spotting, and natural-resource mapping.
Trade Events
Australia International Air Show & Defense Exposition
Biennial Air Show and Expo (March 2009)
Avalon Airport, Victoria