Airport Logistics Systems Market Size, Share, Growth Analysis, By Product type(Airport baggage handling systems, sorting devices), By Application(Maintenance and support, integration and deployment) - Industry Forecast 2024-2031

Airport Logistics Systems Market was valued at USD 10.51 billion in 2022 and expected to grow from USD 11.6 billion in 2023 to reach USD 25.4 billion by 2031, at a CAGR of 10.3% during the forecast period (2024-2031).

The airport logistics systems market is highly competitive and somewhat fragmented. To maintain a competitive edge, the major industry participants are continually implementing various growth strategies. Innovations, mergers, and acquisitions, collaborations and partnerships are adopted by these players to thrive in the competitive market. In order to provide industries with the most effective and economical solutions, the major market players are also continually concentrating on R&D. 'Siemens Postal, Parcel & Airport Logistics GmbH (Germany)', 'Daifuku Co. Ltd. (Japan)', 'Vanderlande Industries BV (Netherlands)', 'Beumer Group GmbH & Co. KG (Germany)', 'Honeywell International Inc. (USA)', 'Unisys Corporation (USA)', 'SITA (Switzerland)', 'IBM Corporation (USA)', 'CIMC-TianDa Airport Support Ltd. (China)', 'BCS Group (New Zealand)', 'ALSTEF Automation SA (France)', 'Grenzebach Group (Germany)', 'Logplan LLC (USA)', 'Materna Information and Communications SE (Germany)', 'Lödige Industries GmbH (Germany)', 'Fives Group (France)', 'Babcock International Group PLC (UK)', 'Glidepath Group (New Zealand)', 'Transnorm System GmbH (Germany)', 'Swissport International AG (Switzerland)'

Airport modernization strengthens both domestic and international trade and travel accessibility. The government also encourages airport modernization in order to strengthen infrastructure and hence optimize luggage transportation for passengers. In the United States, Trump's rule for airport transformation allocated USD 1 trillion packages for infrastructure development. The baggage optimization will improve the baggage handling framework with state-of-the-art baggage systems as a component of the modernization. To provide 100% baggage tracking, a cutting-edge automated baggage handling system will use RFID (radio frequency identification) technology. Baggage handling systems will be upgraded, as will access walkways, elevators, and stairways, spurring the baggage handling systems market forward, resulting in the growth of the airport logistics systems market during the analysis period.

The air freight industry has always required regular testing and security audits. Security in the air freight industry, in particular, is changing, and individual elements are repeatedly getting supervised for security breaches. Advancement of technology, the use of the Internet of Things (IoT) and cloud computing for data transmission improves warehouse and logistics management solutions to provide high security for goods and services transportation. This system and its associated software are far more effective at preventing cyber-attacks. Through technological advancements, cyber threats can be accurately measured, monitored, and corrected.

The North America region is anticipated to be the dominant region in terms of increased growth in air cargo traffic, and others. The Asia Pacific region will undergo the strongest expansion over the forecast period consisting of several countries including China, India, Korea, Japan, and others owing to increasing goods trade, rapid growth in industrial manufacturing, and low-cost original equipment manufacturing are expected to drive the growth of the airport logistics systems market in this region. This region is predicted to grow rapidly in the next 8 years as a result of the AAPC countries' industrial growth. In accordance with the Association of Asia Pacific Airlines (AAPA), the rise in APAC air cargo for airlines is mainly attributable to a sustained increase in trade for consumer and intermediate goods.