Global Ammunition Market Size worth $11.5bn by 2025
Published Date: August 30, 2019 Authors: Kiran Pulidindi, Hemant Pandey
Ammunition Market size is poised to reach USD 11.5 billion by 2025; according to a new research report by Global Market Insights, Inc.
Increasing terrorism activities globally along with rising cross border tensions are driving the ammunition market share over the study timeframe. Advancements in ammunition technologies along with the proliferating guns and varied range of arms are further expanding the market share. Ongoing modernization programs coupled with rising defense expenditure for improving national security are some of the major factors boosting the industry share.
Government organizations are entering into strategic partnerships with private organizations and industry players for addressing the issues associated with import delays along with optimizing the ammunition inventory. For instance, in 2018, the Indian Army finalized a major USD 2 Billion project for producing a wide range of ammunitions for its tanks and critical weapons, thereby boosting the market size over the study period.
Supporting government regulations are playing a major role in enhancing the ammunition market demand over the projected timeframe. For instance, in December 2017, the Indian government granted the permission for manufacturing eight of the selected ammunition by the Indian Industry of the Army, with an aim of promoting indigenous production of ammunitions, thereby reducing dependency on imports significantly.
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Industry players are engaged in R&D activities for developing advanced bullet solutions, that are driving the market size. For instance, in 2019, Russian based SPA Pribor announced the development of advanced 30mm cartridges for light artillery based on plastic. This enables for efficient shooting performance along with enhancing the barrel service life, thereby expanding the market share over the study period.
The rising instances of illegal ammunition trade activities along with the rising sales of counterfeit products may hamper the market growth over the projected timeframe. Moreover, improper testing of such ammunition may also raise significant safety concerns. However, governments and regulatory bodies globally are mandating testing prior to commercialization and compliance to multiple standards including NATO, FBI, and SAAMI protocols, thereby ensuring operator safety.
Browse key industry insights spread across 110 pages with 88 market data tables & 60 figures & charts from the report, “Ammunition Market Size By Caliber (Small Caliber, Medium Caliber, Large Caliber, Artillery, Mortar), By Application (Defense, Civil), Industry Analysis Report, Regional Outlook (U.S., Canada, UK, Germany, France, Italy, Russia, Japan, China, India, South Korea, Mexico, Brazil, Saudi Arabia, UAE, Israel, Africa), Application Development, Competitive Landscape & Forecast, 2016 – 2025” in detail along with the table of contents:
The growing demand for artilleries can be attributed to the benefits offered including the capability of firing at individual targets such as field fortifications, infantry fighting vehicles, and tanks. Moreover, it also allows for significant precision and ability to shoot efficiently over long distances. The small caliber will account for a significant share owing to rising demand for smaller sized arms from law enforcement agencies and armed forces globally.
Civil ammunition will register considerable growth over the projected timeframe. This can be attributed to the rising demand for such equipment for sports and hunting activities. Moreover, increasing demand for such ammunitions for self defense and protection owing to rising terrorism activities globally are providing a positive outlook for the industry expansion.
North America will account for a significant share in the ammunition market size over the study period. This can be attributed to the rising defense and military across the region. For instance, the U.S. military spending accounted for around USD 650 billion in 2018. Moreover, the government across the region is also focusing on modernizing and upgrading their military equipment with a focus on improving the defense forces for improved protection from terrorism, thereby expanding the market share over the study period.
Few of the major layers operating in the market share include Rheinmetall AG, General Dynamics Corporation, Northrop Grumman, Olin Corporation, BAE Systems, Nammo AS, RUAG, Nexter, and Vista Outdoor Inc. Industry players are continuously focusing on attaining long term agreements and contracts for enhancing their market share. For instance, in January 2019, the British’s Defense Ministry entered into a strategic contract with BAE Systems worth USD 21 million for supplying 155mm illumination and smoke artillery rounds.
The ammunition market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD Billion from 2013 to 2025, for the following segments:
- Small Caliber
- Medium Caliber
- Large Caliber
The above information has been provided on a regional and country basis for the following:
- North America
- Asia Pacific
- South Korea
- Latin America
- Middle East & Africa
- Saudi Arabia