Report Highlights

Airport Passenger Screening in the U.S.: Market Overview

The U.S. airport passenger screening systems market was valued at USD 1.87 billion in 2024, and a single federal buyer shapes its structure. The Transportation Security Administration, established under the Aviation and Transportation Security Act of 2001 (Pub. L. 107-71), federalized passenger screening and now operates checkpoints at more than 400 commercial airports. Government is the dominant force: TSA sets detection standards, tests equipment at the Transportation Security Laboratory in Atlantic City, New Jersey, and awards the contracts that determine vendor revenue.

Private industry leads technology development and integration rather than demand. Smiths Detection, L3Harris Technologies, Leidos, and Rapiscan Systems compete for TSA equipment awards, while Evolv Technology and Liberty Defense target weapons detection at terminals and perimeters where federal procurement remains immature. Identity verification sits with IDEMIA Public Security, whose units support TSA's Credential Authentication Technology program. A small number of airports still use private contractors under the Screening Partnership Program, but most capital flows through TSA contracts and airport-funded construction.

Policy-Driven Growth in U.S. Airport Passenger Screening

The Aviation and Transportation Security Act of 2001 and its implementing rules at 49 CFR Part 1540 convert screening into a non-discretionary federal mandate, which guarantees replacement demand as legacy units age out. The Infrastructure Investment and Jobs Act (Pub. L. 117-58) authorized the Airport Terminal Program at $5 billion over five years, administered by the Federal Aviation Administration, which funds checkpoint reconfiguration and expansion. Each dollar of terminal construction triggers installation of screening hardware, so grant money reaches vendors within one procurement cycle.

The REAL ID Act of 2005 (Pub. L. 109-13) became enforceable on May 7, 2025, when DHS barred noncompliant state driver's licenses from boarding domestic flights. This enforcement deadline pushes airports toward Credential Authentication Technology units that verify identity documents against the traveler's photo, a requirement that IDEMIA's CAT-2 platforms address directly. Demand for identity hardware therefore rises on a fixed statutory date rather than on passenger volume forecasts, and vendors with TSA-qualified CAT-2 platforms capture the replacement wave first.

Regulatory Barriers and Compliance Costs in U.S. Checkpoints

The first barrier is qualification. Checkpoint equipment must appear on TSA's Qualified Products List after testing at the Transportation Security Laboratory, a process that spans multiple years and requires vendors to fund test articles and pilot deployments. The second barrier is domestic sourcing: procurements follow the Buy American Act (41 U.S.C. Chapter 83) and Federal Acquisition Regulation domestic content thresholds, set at 65 percent for 2024 and rising to 75 percent in 2029.

Radiation-emitting systems add a third barrier. Backscatter X-ray units fall under the performance standard at 21 CFR 1020.40, administered by the FDA's Center for Devices and Radiological Health, which mandates dose limits, labeling, and periodic surveys that operators must document. Sensitive Security Information rules under 49 CFR Part 1520 restrict the release of detection thresholds, lengthening engineering change cycles and raising documentation costs for smaller vendors such as Evolv Technology and Liberty Defense.

Policy-Created Opportunities in the United States

Computed tomography presents the largest near-term opportunity. TSA's certification pathway for checkpoint CT at higher-volume airports allows certified lanes to replace two-dimensional X-ray units with three-dimensional threat resolution. Vendors that already hold TSA qualification for checked-baggage CT, including Smiths Detection and Analogic, can extend certified designs to checkpoint lanes with reduced qualification scope.

The Airport Terminal Program creates a second opportunity in checkpoint reconfiguration. FAA grants fund lane expansion, queue redesign, and conveyor integration, and each project requires new screening hardware sized to the layout. Smaller airports in Categories III and IV, which receive higher federal cost shares under FAA grant rules, hold the largest unmet demand, and integrators such as Leidos can bundle hardware with systems engineering. DHS Science and Technology Directorate's Small Business Innovation Research program also funds early-stage detection research, giving emerging vendors a route into TSA's Innovation Task Force pipeline.

Market at a Glance

Leading Market Participants

• Smiths Detection
• L3Harris Technologies
• Leidos
• Rapiscan Systems
• Analogic
• Thales
• IDEMIA Public Security
• Evolv Technology
• Liberty Defense
• Autoclear

Regulatory and Policy Environment

The primary legislation is the Aviation and Transportation Security Act of 2001 (Pub. L. 107-71), which created TSA within the Department of Homeland Security and mandated federal screening of all passengers and property. The Transportation Security Administration administers the framework through 49 CFR Part 1540 (civil aviation security), Part 1542 (airport security), Part 1544 (aircraft operator security), and Part 1520 (Sensitive Security Information). Key compliance requirements include Qualified Products List listing, airport security programs approved under Part 1542, and continuous performance testing at checkpoints.

Upcoming changes will tighten requirements. The FAR domestic content threshold rises to 75 percent in 2029, narrowing eligible suppliers for AIT and CT hardware. Compared with peers, the U.S. framework is more prescriptive than Canada's, where CATSA performs screening as a Crown corporation under the Canadian Air Transport Security Authority Act (1999), and than the EU, where Regulation (EU) 2015/1998 relies on the European Civil Aviation Conference's Common Evaluation Process.

Long-Term Policy Outlook for U.S. Checkpoint Screening

By 2032, TSA is expected to complete computed tomography deployment at Category X and Category I checkpoints, shifting the market from hardware replacement toward algorithm updates and software licensing. Identity-based screening will expand as TSA PreCheck enrollment grows and touchless identity pilots move toward production, reducing per-traveler lane time and altering demand for CAT-2 units. Vendors will earn recurring revenue from detection software certified through Transportation Security Laboratory testing.

The 2029 domestic content threshold will favor suppliers with U.S. assembly lines, pushing Smiths Detection, L3Harris, and Rapiscan Systems to expand domestic manufacturing during the next replacement cycle. Smaller airports will absorb the final wave of Airport Terminal Program projects through 2026, after which program authorization ends and demand will depend on annual appropriations and airport capital budgets.