Global Aerial Refueling Systems Market Assessment, By System Type [Probe-and-Drogue Systems, Flying Boom Systems, Autonomous Aerial Refueling Systems], By Component [Refueling Pods, Hoses and Drogues, Nozzles and Couplers, Boom Assemblies, Pumps and Valves, Mission Control Systems], By End-user [Air Forces, Naval Aviation, Defense Contractors/OEMs], By Region, Opportunities and Forecast, 2018-2032F

Global aerial refueling systems market is projected to witness a CAGR of 7.93% during the forecast period 2025-2032, growing from USD 713.76 million in 2024 to USD 1313.90 million in 2032. The global aerial refueling systems market has been growing steadily due to increasing defense spending resulting from enhanced funding for modernization and the demand for long-range missions. Aerial fuel transfer enables the in-flight transfer of fuel between aircraft, improving operational endurance for combat, surveillance, and transport fleets, and addressing the need to fuel this capacity. Autonomous refueling techniques, lightweight tanker designs, and systems utilizing modular components are significantly reducing cost and improving safety and functionality. Different types of aerial refueling systems remain dominant. The hose-and-drogue system and the boom-and-receptacle system remain the dominant systems. The rapidly expanding aerial refueling market continues to see increased integration in unmanned aerial vehicles, helicopters, and fixed-wing aircraft. Overall strategic goals include interoperable aerial refueling capabilities, reduction in overall lifecycle costs, and rapid deployability. The aerial refueling market outlook continues to favour scalable and platform-agnostic solutions that are adaptable to support long-range missions and evolving defence needs across emerging areas of conflict. As geopolitics become increasingly complex and joint-force operations increasingly necessary, aerial refueling will become paramount to force projection, mission flexibility, options, and sustainment.

Report Attribute	Details
Base Year	2024
Forecast Period	2025-2032F
Historical Period	2018-2023
Projected Growth Rate	CAGR of 7.93% between 2024 and 2032
Revenue Forecast in 2032	USD 1313.90 million

For instance, in April 2025, The Boeing Company announced a contract with the U.S. Air Force Research Laboratory (AFRL) to advance autonomous aerial refueling through its Combat Refueling Operations Network User System (CRONUS) initiative. The effort includes Boom Automation and Relative Navigation (RelNav) technologies to support crewed and uncrewed aircraft in contested environments. These developments build on Boeing’s work with the KC-46A Pegasus and MQ-25 Stingray, aiming to operationalize autonomy across next-generation tanker fleets.

Enhanced Strategic Airlift Fuels Adoption of Advanced Refueling Solutions

The continued development of strategic airlift capabilities is driving an increased adoption of advanced refueling capabilities, which will support long-range and rapid deployments. As military forces seek to support global mobility and readiness, refueling capabilities continue to evolve to sustain the in-flight transfer of fuel between different platforms. The refueling capability provided by systems that focus on enhancing automation, modularity, and interoperability will allow for improved fuel transfer, workflows, and mission duration. Wherever sustainment operations need to continue in contested or denied terrain, where there is limited ability to sustain logistical operations via ground means. The ongoing focus on the ability to project force, conduct joint and multi-national operations, and rapidly respond to contingencies will continue to contribute to air refueling becoming a defining feature of airpower and defence capabilities going into the future.

For instance, in July 2025, the U.S. Air Force transitioned to its tanker strategy, launching a Tanker Production Extension program based on the KC-46 Pegasus Capability Production Document. This move replaces the earlier KC-Y and KC-Z plans, aiming for a more affordable and flexible approach while continuing KC-135 fleet recapitalization.

Growing Need for Extended Military Aircraft Range Drives Market Expansion

The demand for military aircraft that can operate beyond a standard radius is growing, providing potential for further market growth through extended missions or increased operational space and strategic reach. The scope of modern defense operations requires countries to have aircraft that can operate over longer distances without relying on forward-operational bases. The extended range of military aircraft is driving innovation in aerial refueling systems, fuel-efficient propulsion systems, and modular payload designs. The ability to operate with extended range also means that forces can be deployed more easily and rapidly, continuously surveilled, and potentially more responsively engaged within contested areas. Military planners are beginning to discipline their decisions based on a military aircraft's capabilities for joint operations and global force projection and therefore want to find the best platforms to move personnel and cargo without limits around existing or non-captivity. This increased demand for military aircraft range has significant ramifications for governments when requesting control of their outcomes, just through the desired capability of military aircraft.

For instance, in September 2024, Legionnaire International awarded a USD 3.19 million contract by AFWERX, part of the U.S. Department of the Air Force, to develop the Small Hybrid Aerial Refueling Kit (SHARK). The modular system supports crewed and uncrewed aircraft, with initial design focused on the F-15 Eagle platform under the Air-to-Air Refueling Mechanism (A2RM) Digital Design Challenge. This initiative aims to modernize aerial refueling through automation and flexibility, enhancing tactical reach and operational versatility.

Advancements in UAS Technology Accelerate Growth in Aerial Refueling Systems Market

Developments in the UAS (unmanned aerial system) technology for agents and/or systems are rapidly accelerating expansion within the aerial refueling systems market. Improvements in autonomous control, precision-based navigation, and artificial intelligence (AI)- equipped control systems are enabling unmanned platforms to conduct complex aerial refueling missions with minimal human interaction. Such improvements allow the continuing mission performance and enhance operational risk reduction and improve the resupply of fuel in contested environments. Modular refueling kits and lightweight transfer systems are being developed for both crewed and uncrewed aircraft. As defense forces are looking to eliminate periods without achievement surveillance and acquisition in long range operations with unmanned systems capable of aerial refueling, the acquisition, development, and capabilities of aerial refueling systems to strategically increase mobility, project forces, and engage in and around next-generation logistics with aerial assets and systems moving worldwide will be of operational interest and relevance to military operations.

For instance, in March 2025, the U.S. Air Force's Air Mobility Command (AMC) is finalizing its Analysis of Alternatives (AOA) for the Next-Generation Air Refueling System (NGAS), with submissions nearly complete to the Office of the Secretary of Defense. The study evaluates trade-offs in runway requirements, fuel delivery range, and signature management to ensure survivability in contested environments.

North America Dominates the Aerial Refueling Systems Market Share

North America dominates the aerial refueling systems market due to its robust defense infrastructure, higher military spending, and extensive tanker fleet. The region has a strong reputation for its technological capacities, modernization programs, and highly demanding requirements for extended-range operations across operational missions. North America has strong potential for growth in the aerial refueling market, driven by the adoption of autonomous refueling technologies and compatible systems, which continue to enhance the region's market share. The cluster of aerospace manufacturers and continuing investment in next-generation systems provide opportunities for innovation and the fielding of systems. Operationally, North America has set the standard for refueling capability and readiness, with the increasing mobility demands of opposing forces and the rise in global conflict continuing to push the operational needs for tactical aerial refueling systems.

For instance, in August 2024, Airbus and the Republic of Singapore Air Force (RSAF) completed a nighttime automatic air-to-air refueling (A3R) test campaign using the A330 Multi-Role Tanker Transport (MRTT) between May and June 2024. The tests involved ten flights refueling Portuguese and Singaporean F-16s, F-15SGs, and another A330 MRTT, using a fully automated boom system with new night operation algorithms and camera standards. This milestone marks a world-first in nighttime A3R and advances the SMART MRTT programme, with certification expected in 2025.

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Impact of U.S. Tariffs on Global Aerial Refueling Systems Market

The U.S. tariffs on aerial refueling systems could disrupt the global market, as they increase costs to allied nations and limit the effectiveness of supply chains. The U.S. tariffs on aerial refueling systems were implemented to protect the U.S. defense manufacturing sector; however, they may also impact U.S. defense partners, including NATO allies and significant defense suppliers in Europe that rely on U.S. defense articles on an ongoing basis. These nations may choose to look to alternative suppliers or develop their tariffs if the U.S. allows these tariffs to persist. This may ultimately result in some aspects of the market becoming fragmented. In the long run, market fragmentation will have negative and costly consequences for military innovation, thereby affecting global military readiness and interoperability.

Report Scope

“Global Aerial Refueling Systems Market Assessment, Opportunities and Forecast, 2018-2032F”, is a comprehensive report by Markets and Data, providing in-depth analysis and qualitative and quantitative assessment of the current state of global aerial refueling systems market, industry dynamics, and challenges. The report includes market size, segmental shares, growth trends, opportunities, and forecasts between 2025 and 2032. Additionally, the report profiles the leading players in the industry, mentioning their respective market share, business models, competitive intelligence, etc.

Report Attribute	Details
Segments Covered	System Type, Component, End-user
Regions Covered	North America, Europe, South America, Asia-Pacific, Middle East and Africa
Key Companies Profiled	Dassault Aviation, Airbus SE, The Boeing Company, Cobham Mission Systems Wimborne Limited, Safran S.A., Lockheed Martin Corporation, Northrop Grumman Systems Corporation, Israel Aerospace Industries Ltd., Marshall Aerospace and Defence Group Ltd., Embraer S.A.
Customization Scope	15% free report customization with purchase
Pricing and Purchase Options	Avail the customized purchase options to fulfill your precise research needs
Delivery Format	PDF and Excel through email (subject to the license purchased)

In the report, the global aerial refueling systems market has been segmented into the following categories: 

• By System Type
  • Probe-and-Drogue Systems
  • Flying Boom Systems
  • Autonomous Aerial Refueling Systems
• By Component
  • Refueling Pods
  • Hoses and Drogues
  • Nozzles and Couplers
  • Boom Assemblies
  • Pumps and Valves
  • Mission Control Systems
• By End-user
• Air Forces
• Naval Aviation
• Defense Contractors / OEMs
• By Region
  • North America
  • Europe
  • Asia-Pacific
  • South America
  • Middle East and Africa

Key Players Landscape and Outlook

The aerial refueling systems market comprises various types of defense contractors, aerospace integrators, and technology innovators collaborating to enhance operational endurance and global mobility. The major players in this market are investing in modular refueling kits, unmanned boom systems, and operational compatibility with all platforms to meet mission demands. Strategic partnering with military branches and research institutions is increasingly driving innovation for these systems, particularly in unmanned, autonomous, and stealth-capable platforms. The overall market outlook remains positive, despite geopolitical tensions, joint service operations, and long-range deployments, which are creating sustainable demand. With a focus on survivability, automation, and digital connectivity, there is still substantial room for continued growth as companies seek to upgrade legacy systems and further develop next-generation aerial refuelers.

For instance, in November 2024, Lockheed Martin’s Skunk Works division unveiled a conceptual design for a Next Generation Aerial Refueling System (NGAS), featuring a stealthy, pilot-optional configuration intended to support both crewed and uncrewed aircraft. The concept features twin refueling booms, saw-tooth paneling, and a chine-lined fuselage to enhance radar evasion, with a cockpit that is not visible, suggesting autonomous or remote operation.

Key Players Operating in Global Aerial Refueling Systems Market are:

• Dassault Aviation
• Airbus SE
• The Boeing Company
• Cobham Mission Systems Wimborne Limited
• Safran S.A.
• Lockheed Martin Corporation
• Northrop Grumman Systems Corporation
• Israel Aerospace Industries Ltd.
• Marshall Aerospace and Defence Group Ltd.
• Embraer S.A.

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