DUBLIN–(BUSINESS WIRE)–The “Ammunition Market by Application (Defense, Civil & Commercial), Caliber (Small, Medium, Large), Product (Bullets, Aerial Bombs, Grenades, Artillery Shells, Mortars), Component, Guidance, Lethality (Lethal, Less-lethal), Region – Global Forecast to 2025” report has been added to ResearchAndMarkets.com’s offering.
The global ammunition market size is projected to grow from USD 20.8 billion in 2020 to USD 24.9 billion by 2025, at a CAGR of 3.6% from 2020 to 2025.
Factors such as the changing nature of warfare, the militarization of police forces, the increasing incidence of drug trafficking, and terrorist activities, and the modernization of armed forces are driving factors assisting the growth of the ammunition market.
The ammunition market includes major players Lockheed Martin (US), General Dynamics Corporation (US), BAE Systems (UK), Elbit Systems (Israel), CBC Global Ammunition (Brazil), and Nammo AS (France), among others. These players have spread their business across various countries includes North America, Europe, Asia Pacific, Middle East, Africa, and Latin America. COVID-19 has affected the ammunition market growth to some extent, and this varies from country to country. Industry experts believe that the pandemic has not affected the demand for ammunition in defense applications. However, due to continuous lockdown and social distancing measures, there has been a decrease in the need for ammunition in civil and commercial applications.
“Small: The fastest-growing segment of the ammunition market, by the caliber ”
Based on caliber, the ammunition market has been segmented into small, medium, large, and others. The small caliber segment is projected to grow at the highest CAGR during the forecast period. The growth of this segment can be attributed to increased use of small caliber ammunition by military and homeland security personnel, owing to less lethality of this ammunition.
“Aerial Bombs: The fastest-growing segment of the ammunition market, by product ”
The aerial bombs segment is projected to grow at the highest CAGR. In recent years, an increasing focus has been observed to upgrade air force inventory across the globe due to multiple reasons such as geopolitical tensions and air force applications. For instance, the US has ongoing F-35 fighter aircraft programs. Whereas the Indian air force is looking for multi-role aircraft to strengthen their armed forces, and hence new aircraft procurements will lead to an increased demand for related ammunition in the coming years.
“Defense: The fastest-growing segment of the ammunition market, by application ”
The defense segment of the ammunition market has been classified into military and homeland security. The growth of the defense segment of the ammunition market can be attributed to the increased spending of countries on military modernization programs, as well as the rise in terrorist activities and civil disturbances in several parts of the world.
“North America: The largest contributing region in the ammunition market.”
The ammunition market in the North American region has been studied for the US and Canada. Major factors that are expected to drive the growth of the market in the region include rising instances of terrorism, which have led to increased use of ammunition by armed forces and a growing number of drug cartels in Central America. North American countries are awarding a number of contracts to major players of the ammunition market for the delivery of ammunition, thus driving the growth of the ammunition market in the region.
For instance, In July 2020, Northrop Grumman Corporation secured a contract from the US Army to deliver the next-generation airburst cartridge for the 30mm XM813 Bushmaster Chain Gun. The Bushmaster Chain Gun will be installed on the Stryker Infantry Carrier Vehicle (ICV). Also, the company has secured a contract worth USD 93 million from the US Army for the manufacture of multipurpose munition technology for destroying targets such as lightly armored and infantry fighting vehicles.
Major companies profiled in the report include Northrop Grumman Corporation (US), General Dynamics Corporation (US), CBC Global Ammunition (Brazil), Olin Corporation (US), Ruag Ammotec (Switzerland), BAE Systems (UK), Thales Group (France), Rheinmetall AG (Germany), Nexter KNDS group (France), Elbit Systems (Israel), Nammo AS (Norway), and ST Engineering (Singapore) among others.
- Geopolitical Tensions, Territorial Conflicts, and Political Unrest in the Middle East and the Asia-Pacific
- Rising Military Expenditure, Leading to Increased Arms Transfer
- Change in the Nature of Warfare
- Modernization Programs Undertaken by Military Forces in Major Economies
- The Militarization of Police Forces
- Rise in Drug Trafficking Globally
- Increased Procurement of Guns for Personal Safety and Shooting Sports
- Varying Economic, Legal, and Political Regulations Affecting the Procurement of Ammunition
- Advancements in Small Caliber Ammunition Due to Increased R&D Expenditure
- Stockpiling of Ammunition
- Reduction in Weight of Ammunition
- Increased Demand for Advanced Medium and Large Caliber Ammunition from Emerging Economies
- The Proliferation of Illicit Ammunition Manufacturers
- International Measures Such as Arms Trade Treaty (Att) to Control the Use of Ammunition
- Impact of COVID-19 on the Ammunition Market
Company Vs. Market Heatmap
Use Case: Small Caliber Ammunition
- Increased Efforts to Develop Advanced Small Calibers for Defense Applications
- Development of Superior 6.8Mm Ammunition by US Armed Forces to Replace the Existing 5.56Mm Ammunition
- .300 Blackout Commercial-Grade Calibers Seeing Increased Adoption by Major Armed Forces
- Ammo Incorporated
- Arsenal Jsco.
- BAE Systems
- CBC Global Ammunition
- Chemring Group plc
- Denel Soc Ltd.
- Elbit Systems Ltd.
- Fiocchi Munizioni Spa
- General Dynamics Corporation
- Hanwha Corporation
- Herstal Group (Fn Herstal)
- Maxam (Expal)
- Nammo As
- Northrop Grumman Corporation
- Olin Corporation
- Poongsan Corporation
- Remington Outdoor Company
- Rheinmetall Ag
- Ruag Group (Ruag Ammotec)
- Sierra Bullets
- Sig Sauer
- St Engineering
- Thales Group
- Vista Outdoor Inc.
- Yugoimport-Sdpr J.P.
For more information about this report visit https://www.researchandmarkets.com/r/y7xbmt