The military armored vehicle market is one of the major segments of the global defence industry and has been witnessing strong growth in recent years, mainly fuelled by the instability and unpredictability in the international diplomatic and geopolitical environment. The advances of military armored vehicle technologies, which combine innovations from sectors like weaponry, automotive, material science and electronics, are also facilitating the growth of this market. One of the latest military armored vehicle market trends is the increasing adoption of the Active Protection System (APS) in various types of military armored vehicles. This trend is expected to further boost the market growth over the next five years.
Military Armored Vehicle Market Overview
According to the recent market research report from Technavio, the global military armored vehicles market size will grow USD 6.38 billion from 2019 to 2023, with market growth projected to accelerate at a CAGR of over 4% during the forecast period. The ongoing technological advancements and digitization of battlefield operations are some of the key factors that will drive the market growth through 2023.
Regionally, the Asia-Pacific is currently the largest market for military armored vehicles in terms of production and industry revenue, representing nearly one third of the global market share. This is mainly attributed to government initiatives undertaken to strengthen military power. Countries such as India, South Korea, and China are increasing their spend on military, primarily procuring and developing advanced armored vehicles. The dominance of the Asia Pacific in this market is expected to stay unchallengeable during the next five years.
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Global Military Armored Vehicles Market Research Report 2019-2023
Many of the worlds’ leading military armored vehicle manufacturers from around the world are now focusing on product enhancements through heavily invested research and development activities. Some of the latest military armored vehicle enhancements include the introduction of information-based weaponry systems for effective firepower, digitalized network technologies for automated remote area target monitoring, and advanced electronic warfare operational systems for better military efficiency.
Active Protection Systems Leading the Technological Advancements
Over the decades, many technological advancements have been adopted in military armored vehicles around the world, such as unmanned ground vehicles, artificial intelligence, virtual training and survivability equipment. The biggest evolution of the military armored vehicle market is the rapid transformation from passive armor protection to active protection systems (APS). APS is a defence system that combines sensors, radar, weapons, and countermeasure munitions and other military equipment to detect and defeat anti-tank guided missiles and rocket-propelled grenades.
APS is designed to eliminate the source of the threat, compared to an earlier generation of passive armor, which focused on withstanding the impact of the projectile. Therefore, APS technology can effectively enhance force protection and survivability for military armored vehicles in the battlefield, especially when adopted with other armor or protection systems. Today, APS has already been used predominantly on main battle tanks (MBTs) and is expected to be adopted in other types military vehicles such as infantry fighting vehicles (IFV), armored personnel carriers (APC), self-propelled howitzers (SPH) and in the coming years.
Terrorist threats are the primary challenge faced by modern military armored vehicles. The use of advanced explosives has increased the need for developing new active protection systems to enhance the conventional mine-resistant ambush protected (MRAP) systems. More and more nations have already launched modernization initiatives for their armored vehicle fleet to deliver augmented level of safety and mission readiness. Such initiatives taken by the global armed forces to counter terrorism, coupled with the digitization of the battlefield are expected to be the main trend for military armored vehicle market in the foreseeable future.
Check Technavio’s Global Military Armored Vehicles Market Report 2019-2023
View Technavio’s Global Military Armored Vehicles Market Report 2019-2023 for more information about this topic. This market research report provides the latest market size and market development for major market segments in terms of product types and regional market landscapes. The report contains detailed market trends, market drivers, market challenges and key opportunities. In-depth market analysis such as Porter’s five force model, and comprehensive competitive landscape including detailed profiles of top companies are also included in the report.