It is a known fact that aerospace industry requires very strict requirements in terms of weight, material properties, and product lifetime performance. Therefore, composite materials are key candidates to satisfy these stringent requirements. Thermoplastic composites have become more competitive in the fields of aerospace, defense, energy, electronics, and automotive industries compared to thermoset composites, due to their ease of formability, short production cycles, and recyclability. Considering the benefits of thermoplastic composite materials, more thermoplastic parts will be produced in near future in aerospace industry. This study highlights the most recent advancements in thermoplastic composite technology. The latest advances in thermoplastic composite technology are highlighted by reviewing material technologies and production methods. Conclusion of this study, it has been observed that the use of thermoplastics in the aerospace industry is increasing day by day, owing to the advantages they offer compared to traditional materials. Especially in critical and trending areas such as stamp forming, press consolidation, Automatic Fiber Placement (AFP), and welding methods, research and development activities are intensifying. Furthermore, this study provides insights into the direction of current investments in thermoplastic technology and discusses how these investments are likely to shape future applications within the aerospace industry.