\uf1ad

Aerospace

Aerospace

The aerospace sector targeted by Oerlikon was CHF 530 million in 2016, with an expected five-year compound annual growth rate (CAGR) of 3 %. Demand in the commercial aircraft market has remained strong, even after several years of robust growth, as Airbus and Boeing continue to work off multi-year backlogs. According to the International Air Transport Association (IATA), airline profitability remained at record levels amid healthy growth trends in global air traffic and low oil prices. Airlines are actively replacing aging aircraft and upgrading to next-generation models with more efficient engines, achieved also through using lighter and more thermally resistant materials. The next-generation engine fleet is estimated to grow by over 25 % through 2020.

The aerospace sector targeted by Oerlikon was CHF 530 million in 2016, with an expected five-year compound annual growth rate (CAGR) of 3 %. Demand in the commercial aircraft market has remained strong, even after several years of robust growth, as Airbus and Boeing continue to work off multi-year backlogs. According to the International Air Transport Association (IATA), airline profitability remained at record levels amid healthy growth trends in global air traffic and low oil prices. Airlines are actively replacing aging aircraft and upgrading to next-generation models with more efficient engines, achieved also through using lighter and more thermally resistant materials. The next-generation engine fleet is estimated to grow by over 25 % through 2020.

The aviation sector is mainly addressed by the Surface Solutions Segment, and aviation-related sales in 2016 represented 13 % of total Segment sales. Oerlikon coatings allow aviation components such as aircraft turbine blades and vanes to withstand harsh conditions, satisfy safety and environmental regulations and improve efficiency. In addition to engine components, the Group’s products are used in engine pylons, landing gear, hydraulic systems and related tools. The increasing use of additive manufacturing for airframes and engine parts yields attractive opportunities for Oerlikon for its advanced materials and additive manufacturing services.

Oerlikon Metco delivers engine components used in aircrafts to the Leap-X program, and in 2016, it increased the share of its contributions in the program. It also added Safran Helicopter Engines as a customer. To support continued growth, two automated cell concepts were installed in the Oerlikon Metco plant in the Netherlands to serve next generation engine programs: Leap-X and GTF. Oerlikon Metco also continued to develop higher-temperature engine coatings such as coatings for the environmental barrier coatings (EBC) system used to protect ceramic matrix composites (CMCs) at temperatures up to 1 300°C (2 370 °F). Oerlikon Balzers’ BALINIT DIAMOND micro and nano coatings were also upgraded in 2016 to provide extra reliability and longer tool life for machining of materials such as carbon fiber reinforced plastics for aerospace.