The global aviation industry is entering one of the most dynamic and challenging periods in its history. This has been underscored in recent weeks by the widespread airspace closures and operational disruptions across the Middle East, which have grounded flights, rerouted global traffic and demonstrated just how quickly regional instability can ripple through the entire aviation ecosystem.

As passenger demand accelerates, new technologies mature and emerging markets reshape global traffic flows, opportunities are expanding rapidly – but so too are the pressures of supply‑chain disruption, geopolitical volatility and the urgent need to decarbonize. This report, published in association with DLA Piper, provides a timely view of how industry leaders are navigating these crosswinds and where investment, innovation and collaboration will be most critical.

Highlights include:

• Tariffs have already affected supply chains. More than half of respondents (59%) say US tariffs have disrupted global aerospace supply chains to a great extent. Some companies are responding by passing higher costs to customers and revising contracts to include tariff-related clauses, among others.
• Passenger recovery exceeds expectations. Passenger demand has not only recovered but surpassed projections. Nine out of ten respondents say the post-COVID-19 bounce-back exceeded their expectations. 48% say this was the case to a great extent.
• Full-service airlines lead growth expectations. Across all regions, the full-service commercial passenger sector is the market segment anticipated to deliver the strongest performance, with 89% of respondents citing growth expectations. The network scale and ability to serve premium and long-haul routes give the segment an enduring advantage.
• Airport infrastructure investment is accelerating. Three-quarters of respondents expect global airport infrastructure investment to rise over the next 24 months. India was flagged by 88% as the leading emerging market, reflecting its ambitious plans to expand its number of operational airports. Strong momentum is also evident in the Middle East.
• AI is moving from strategy to deployment. Nine out of ten airlines and airports plan to use artificial intelligence (AI) in scheduling optimization and predictive maintenance – two of the sector’s highest-impact operational areas. Almost all respondents (98%) rank technology investment as a top strategic priority. This confirms that digital transformation has shifted from an aspiration to a necessity in aviation’s growth model.
• SAF is emerging as the leading clean fuel. Alternative fuels are widely expected to shape the aviation industry’s future, with sustainable aviation fuels (SAF) viewed as the most viable medium-term option. This view is especially strong in EMEA (91%) and the Americas (86%). Scaling production is the most cited key challenge to meeting long-term climate goals.