Degaussing System Market Size & Share 2026-2035

Degaussing System Market Size

The global degaussing system market was valued at USD 662.4 million in 2025. The market is expected to grow from USD 691.8 million in 2026 to USD 885.1 million in 2031 & USD 1.1 billion in 2035, at a CAGR of 5.6% during the forecast period according to the latest report published by Global Market Insights Inc.

The growth of the market is attributed to the rise in naval modernization and fleet expansion programs, the rise in threats from magnetic mines and influence-based underwater weapons, the rise in the importance of vessel stealth and magnetic signature management, and the integration of advanced digital monitoring systems in the protection and survivability of the fleet. 
 

The market for degaussing systems is driven by growing naval modernization plans, which focus on improving naval defense capabilities. For instance, in September 2025, the Indian Navy announced plans to increase its fleet size to over 200 warships and submarines by 2035, accelerating ship induction and shipbuilding plans. This indicates that there is a growing need for magnetic signature management systems, which will be required to improve warship defense against magnetic attacks, thereby increasing the market size for degaussing systems in new warship inductions and retrofits.
 

The increased focus on the development of naval stealth technologies is also contributing to the increased demand for degaussing systems. For example, the UK Ministry of Defence announced the Type 26 Global Combat Ship program, which is focused on the development of signature management technologies to increase survivability in the face of enemy forces. Stealth-oriented naval vessels are going to require signature management technologies, including magnetic signature management technologies. As more advanced warships are developed with stealth technologies, the integration of degaussing systems is critical to the reduction of the warship's detectability and overall survivability.
 

The degaussing system market increased steadily from USD 587.3 million in 2022 and reached USD 635.4 million in 2024, as naval forces accelerated investments in magnetic signature reduction technologies and ship survivability systems. The geopolitical situation and maritime security issues prompted various nations to upgrade their fleets and install advanced protective systems for their warships. The driving factors for the penetration of the degaussing system during this period were the increased mine countermeasures programs, the modernization of naval combat platforms, and the introduction of stealth-oriented warships requiring magnetic signature management systems.

Degaussing System Market Trends

• The use of modular and compact systems for degaussing is becoming more popular among smaller naval vessels. This started in 2021, with the aim of providing a more affordable solution to the magnetic signature problem. The demand for such solutions is anticipated to persist till 2030, driven by the increasing number of littoral and unmanned vessels. This will improve fleet flexibility and reduce maintenance downtime.
   
• The integration of predictive maintenance and digital diagnostics in the field of degaussing is changing the way the operations are executed. This has started to gain traction in 2022, especially with the use of automated monitoring techniques to detect the degradation of the coils and calibration issues. This is expected to continue in the coming years, up to 2032, with the use of IoT technology and AI in the management of the fleet of warships.
   
• The use of efficient and low-energy degaussing technology is becoming more popular in the naval sector, especially since 2020, owing to the focus of the naval forces on reducing the operational costs of the warships. This is expected to continue in the coming years, especially in 2030, owing to the stringent regulations in the field of energy efficiency for the warships.
   
• The use of integrated digital magnetic signature tracking platforms is becoming more popular in the naval sector. This has been initiated in 2021 for the naval forces in Europe and APAC nations. This is expected to continue in the coming years, till 2030, owing to the ability of the naval commanders to monitor the signatures of the warships in the region.
   

Degaussing System Market Analysis

Based on vessel type, the global degaussing system market is divided into surface combatants, aircraft carriers & amphibious vessels, submarines, and patrol & support vessels.
 

• The submarines segment led the market in 2025, holding a 37.5% share due to the critical need for magnetic signature reduction in submarines, which operate in hostile environments. Submarines, in particular, are vulnerable to magnetic influence mine threats and detection systems. Therefore, the need for degaussing systems is critical for stealth operations. Moreover, the increasing number of advanced conventional and nuclear-powered submarines deployed by major navies worldwide continues to ensure the sustained demand for magnetic signature management systems.
   
• The surface combatants segment is anticipated to grow at a CAGR of 6% over the forecast period due to the increasing procurement of destroyers, frigates, and corvettes as part of the modernization of the naval fleet. Surface combatants, in particular, operate in hostile areas where mine threats, magnetic detection, etc., are major concerns. Therefore, the integration of advanced degaussing systems enhances the survivability of the vessels, ensuring the acceleration of demand for magnetic signature management systems for the newly procured surface combatant fleet.
   

Based on system type, the degaussing system market is divided into open loop degaussing, closed loop degaussing, hybrid systems.
 

• The open loop degaussing segment dominated the market in 2025 and valued at USD 322.6 million owing to its extensive usage on naval vessels to provide efficient magnetic reduction capabilities. These systems utilize pre-set electrical current levels to counteract the magnetic properties inherent in naval vessels, such as permanent and induced magnetism. The reliability, reduced system complexities, and extensive usage on naval vessels create steady market growth, especially for naval vessels where stable magnetic conditions provide efficient open loop calibration possibilities.
   
• The closed loop degaussing segment is expected to witness growth at a CAGR of 6.5% during the forecast period owing to its ability to provide dynamic magnetic control through accurate sensor feedback. The growing usage of technologically advanced naval vessels, which operate under diverse magnetic conditions, is boosting market demand for accurate magnetic control systems, thereby improving stealth capabilities and safety features for naval vessels.
   

Based on offering, the degaussing system market is divided into systems & hardware and services.
 

• The systems & hardware segment led the market in 2025 with a market share of 54.9% because the deployment of a degaussing system includes specialized onboard equipment, including the control unit, power supplies, compensation coils, and monitoring sensors. The deployment of these systems during the construction phase of the vessel is the largest contributor to the overall cost of the project. Ongoing naval procurement programs and the integration of magnetic signature management systems in new vessels are also boosting the demand for system hardware used in the overall system.
   
• The services segment is expected to grow at a CAGR of 6.2% during the forecast period driven by the need for regular calibration, maintenance, system upgrades, and performance testing of degaussing installations. As naval fleets expand and existing ships undergo modernization, demand for technical support services increases. Lifecycle management, system optimization, and periodic signature verification services are becoming essential to ensure optimal operational performance and long-term reliability of degaussing systems.
   

North America Degaussing System Market

North America held a share of 36.5% of market in 2025.
 

• In the North American region, the market is witnessing growth owing to the continuous naval modernization programs in the region. The region is benefiting from the presence of advanced naval fleets and defense contractors who provide support for the management of the magnetic signature of the vessels.
   
• Governments are increasing their focus on developing mine countermeasure systems and ship survival technologies for all naval platforms. North America is likely to remain a significant contributor to the adoption of advanced degaussing systems as naval modernization programs and fleet sustainment initiatives will create continuous demand until 2035.
   

The U.S. degaussing system market was valued at USD 149.2 million and USD 156 million in 2022 and 2023, respectively. The market size reached USD 171.3 million in 2025, growing from USD 163.4 million in 2024.
 

• The United States market is expanding rapidly because of extensive naval shipbuilding and modernization projects. The U.S. Navy FY2025 shipbuilding plan establishes a strategic goal to grow the battle force fleet to 381 ships while the military continues to purchase destroyers submarines and support vessels that need advanced magnetic signature management capabilities.
   
• Additionally, the U.S. Navy’s mine countermeasure modernization programs, supported by the Naval Sea Systems Command (NAVSEA), are strengthening demand for degaussing technologies to enhance vessel protection against magnetic influence mines, positioning the U.S. as the leading market in North America
   

Europe Degaussing System Market

Europe market accounted for USD 166.5 million in 2025 and is anticipated to show lucrative growth over the forecast period.

• The European system market is witnessing growth with the ongoing naval modernization programs and mine countermeasure capability development in the navies of the European region. Many navies in the European region are modernizing their fleets with cutting-edge survivability technologies to deal with underwater threats in strategic waterways such as the Baltic Sea and North Sea regions.
   
• Programs like the Belgium–Netherlands Mine Countermeasures (rMCM) program, which includes the construction of 12 next-generation mine countermeasure vessels, are increasing demand for advanced magnetic signature management systems. Additionally, the European defense industry is strengthening collaboration on naval protection technologies, ensuring steady adoption of degaussing systems across modern naval platforms.
   

Germany dominates the Europe degaussing system market, showcasing strong growth potential.
 

• Germany is also a major contributor to the market in the European region, given the country's high focus on naval modernization and maritime security activities within the Baltic and North Sea theaters of operation. The German Navy is actively working to modernize its next-generation frigate designs and is upgrading its existing naval fleet to extend their operational lifespan within mine-infested waters. The need for magnetic signature reduction is critical within this region, given the threat of magnetic influence mine threats.
   
• In addition, the active role played by Germany in NATO maritime security and mine countermeasure operations will also boost the deployment of advanced degaussing systems in German Navy ships. Growing collaboration with European naval defense contractors for magnetic signature management technologies is further strengthening Germany’s capability development in this domain.
   

Asia Pacific Degaussing System Market

The Asia Pacific market is anticipated to grow at the CAGR of 6% during the forecast period.
 

• The Asia Pacific market for the degaussing system is witnessing tremendous growth due to the massive expansion of the naval fleet of the region’s major powers. China, India, Japan, and South Korea are focusing on the development of their naval power to ensure the safety of the strategic sea routes in the South China Sea. Moreover, the regional defense programs have started to focus on the incorporation of mine countermeasure capabilities into the latest warships and submarines.
   
• The increasing domestic shipbuilding capabilities, along with partnerships with defense technology providers, have led to the incorporation of the latest magnetic signature management systems into the newly commissioned vessels. Additionally, the rising frequency of multinational naval exercises in the Indo-Pacific is encouraging fleets to deploy advanced signature-management technologies to improve operational readiness and survivability.
   

China degaussing system market is estimated to grow with a significant CAGR, in the Asia Pacific market.
 

• China holds a strong position in the market due to its rapid naval capability expansion and increasing focus on maritime security across the South China Sea and Western Pacific. The People’s Liberation Army Navy is deploying advanced surface combatants and submarines that require integrated magnetic signature management to reduce vulnerability to magnetic influence mines and underwater detection systems.
   
• Additionally, China’s continued development of indigenous naval technologies and expansion of domestic shipbuilding capacity supports the integration of locally developed degaussing and magnetic control systems across new naval platforms. This focus on self-reliant defense manufacturing and fleet modernization strengthens China’s role as a key market for advanced naval survivability technologies in the Asia-Pacific region.
   

Middle East and Africa Degaussing System Market

UAE system market to experience substantial growth in the Middle East and Africa market.
 

• The market in the United Arab Emirates is witnessing steady development due to the country’s strong focus on strengthening naval defense and maritime security in the Arabian Gulf. The UAE Navy is expanding its fleet through advanced patrol vessels, corvettes, and offshore combatants developed under programs such as the Falaj and Bani Yas class ships, which require integrated magnetic signature management technologies for operational safety.
   
• In addition, the UAE’s collaboration with international naval defense contractors and its investments in domestic shipbuilding capabilities at facilities such as Abu Dhabi Ship Building are supporting the adoption and maintenance of advanced degaussing systems across the country’s naval platforms.
   

Degaussing System Market Share

The degaussing system market is led by players such as Wärtsilä, Larsen & Toubro Limited, Ultra Electronics Holdings Plc, L3Harris Technologies Inc., and American Superconductor Corporation. These companies together held 52.6% of the overall market share in 2025 because of their superior technological capabilities, product offerings, and presence in the naval, shipping, and offshore markets. Their offerings vary from integrated ship communication networks and navigation solutions to secure defense communication solutions and power electronics-based communication solutions.

These companies maintain their competitive advantage in the market because of their continuous innovation in digital ship technologies, cybersecurity-based communication solutions, and integrated command and control solutions. Further, their investments in R&D, partnerships with naval defense organizations, and the use of smart vessel technologies allow these companies to maintain their position in the market and capitalize on the rising demand for effective communication solutions onboard ships across the globe.
 

Degaussing System Market Companies

Prominent players operating in the degaussing system industry are as mentioned below:

• American Superconductor Corporation
• DA-Group
• Dayatech Merin
• HAELOG
• Hitzinger GmbH
• IFEN
• K&G Marine
• Larsen & Toubro Limited
• L3Harris Technologies Inc.
• Magnetics International
• Meriton Industries
• Polyamp
• STL Systems AG
• Surma Ltd.
• Ultra Electronics Holdings Plc
• Wärtsilä
   
• Wärtsilä

Wärtsilä offers advanced maritime communication systems together with digital vessel solutions which work inside its smart marine ecosystem. The company develops connected ship systems together with navigation support technologies and bridge integration systems which improve operational productivity and safety measures while enabling continuous ship tracking for both commercial and military vessels.
 

• Larsen & Toubro Limited

Larsen & Toubro delivers naval communication and electronic systems through its defense and shipbuilding divisions. The company develops secure onboard communication infrastructure together with command-and-control systems and integrated naval electronics which are used as defense vessels, submarines and coastal security applications.
 

• Ultra Electronics Holdings Plc

Ultra Electronics operates in the field of mission-critical maritime communication and surveillance technologies developed for naval platforms. The company provides defense maritime systems with secure communication networks, sonar, acoustic systems and electronic warfare support solutions which enhance situational awareness and operational coordination.
 

• L3Harris Technologies Inc.

L3Harris Technologies is a company that specializes in the development of advanced tactical communications solutions, satellite communications solutions, and maritime networking solutions. The company primarily focuses on the development of secure and reliable communication platforms for naval operations, autonomous maritime solutions, and multi-domain solutions.
 

• American Superconductor Corporation

American Superconductor Corporation specializes in the development of advanced power electronics solutions and integrated electrical solutions for the support of naval vessels. Its solutions are primarily aimed at integrating efficient power management solutions for the support of communications infrastructure.
 

Degaussing System Industry News

• In June 2025, the U.S. Navy and American Superconductor Corporation (AMSC) advanced development of high-temperature superconductor (HTS)-based degaussing systems that significantly reduce weight and power consumption compared with conventional copper-coil systems. Technology improves magnetic signature management for modern naval platforms while enhancing protection against magnetic influence mines in contested waters.
   
• In March 2025, the Royal Canadian Navy continued deployment of advanced degaussing systems for its KINGSTON-class Maritime Coastal Defence Vessels, supplied by L-3 MAPPS, to reduce ship magnetic signatures and improve protection against modern sea mines. The systems provide precise magnetic field control and form part of the navy’s broader efforts to strengthen mine countermeasure and maritime security capabilities.
   
• In December 2024, the U.S. Navy awarded Textron Systems a contract worth up to USD 106 million for Mine Sweeping Payload Delivery Systems supporting the Mine Countermeasure Mission Package. The system uses magnetic minesweeping cables and acoustic generators to detect and neutralize magnetic mines, enhancing the Navy’s ability to protect vessels operating in contested maritime regions.
   

The degaussing system market research report includes in-depth coverage of the industry with estimates and forecast in terms of revenue (USD Million) from 2022 – 2035 for the following segments:

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Market, By Vessel Type

• Surface combatants
  • Frigates
  • Destroyers
  • Corvettes
  • Cruisers
• Aircraft carriers & amphibious vessels
  • Landing helicopter dock (LHD)
  • Landing platform dock (LPD)
  • Landing ship tank (LST)
• Submarines
  • Attack submarines
  • Ballistic missile submarines
  • Cruise missile submarines
• Patrol & support vessels
  • Offshore patrol vessels (OPV)
  • Mine countermeasure vessels (MCMV)
  • Fast attack craft (FAC)
  • Auxiliary & support ships

Market, By System Type

• Open loop degaussing
  • Gyro / geomagnetic map control
  • Manual mode systems
  • Legacy fleet systems
• Closed loop degaussing
  • Magnetometer-based control
  • Signature prediction systems
  • Reduced range dependency systems
• Hybrid systems
  • Multi-mode systems
  • Upgrade-ready platforms
  • Modular systems

Market, By Offering

• Systems & hardware
  • Degaussing coil assemblies
  • Power supply units
  • Control cabinets
  • Magnetometers & sensors
  • Bipolar amplifiers & conductors
  • Embedded control software
• Services
  • Installation & commissioning
  • Preventive maintenance
  • Repairs & troubleshooting
  • System modernization
  • Calibration & verification
  • Technical support & training

Market, By Installation Type

• New build (OEM integration)
• Retrofit / modernization
   

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea

• Latin America
  • Brazil
  • Mexico
  • Argentina

• Middle East and Africa
  • South Africa
  • Saudi Arabia
  • UAE