Ammunition Market is predicted to reach USD 38,322.3 Million at a CAGR of 4.3% during the forecast period 2023-2032

Market Research Future (MRFR) has published on the “Global Ammunition Market”.

Market Research Future (MRFR), a leading market intelligence firm, has released a comprehensive report on the Global Ammunition Market, highlighting key trends, growth factors, and market dynamics. According to the report, the market is poised for significant growth, with a compound annual growth rate (CAGR) of 4.3% during the forecast period from 2023 to 2032.

Technological advancements and the increasing focus on the development of smart ammunition technologies are key drivers of the market growth. Governments worldwide, including India, are making substantial investments in the modernization of their military and law enforcement agencies, driving the demand for ammunition. The purchase of small-caliber ammo by civilians and the Department of Homeland Security further boosts the market. Expanding sales channels, such as online sales, contribute to the expansion of the ammunition market. The use of sophisticated materials to produce lightweight ammunition results in fuel-efficient transportation, reducing overall transportation costs. Long-term collaborations and acquisitions between major market players and the government characterize the global ammunition industry. Key market opportunities lie in the development of smart ammunition technologies, which enhance precision and effectiveness in combat situations. The rising number of armed conflicts and border disputes globally further drive the demand for ammunition.

Market Highlights

The global Ammunition Market was valued at USD 25,126.4 Million in 2022 and is projected to reach USD s by 2032, registering a CAGR of 4.3% during the forecast period.

Increased defense expenditure, bolstering of troops, and new arms procurement plans in countries such as the United States, China, Saudi Arabia, and India are expected to drive product demand. The global military expenditures surpassed USD 1800 million in 2018, indicating the significant growth potential of the ammunition market. As governments focus on strengthening their defense forces and enhancing their indigenous production capabilities, major market participants serve their consumers directly or through third-party distributors. Ammunition is distributed through both B2B and B2C channels, catering to commercial and civilian use, including hunting, sporting, and self-defense. The Global Ammunition Market presents lucrative opportunities for market players, with increasing demand for advanced and smart ammunition technologies. With the rise in armed conflicts and border disputes, the market is poised for substantial growth in the coming years.

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Segment Analysis

The Global Ammunition Market has been segmented based on application, caliber, product, component, and region. Based on application, the Global Ammunition Market has been segmented into defense, and civil & commercial. The defense segment in the Global Ammunition Market is expected to grow at a CAGR of 4.1% during the forecast period. This growth is driven by several factors. Firstly, the increasing number of armed conflicts and geopolitical tensions globally is leading to a rise in defense spending by governments. This, in turn, is driving the demand for ammunition to strengthen military capabilities and ensure national security. Additionally, the procurement of ammunition by defense forces to minimize threats arising from territorial conflicts and terrorism is fueling the growth of the defense segment in the ammunition market.

Based on caliber, the Global Ammunition Market has been segmented into small, medium, large, and other. In terms of caliber, the large caliber segment is projected to grow at a CAGR of 3.5% during the forecast period. The growth of this segment can be attributed to the increasing demand for ammunition used in heavy artillery and armored vehicles. The development of advanced military technologies and the need for more powerful ammunition to counter advanced threats are driving the demand for large caliber ammunition in the market.

Based on product, the Global Ammunition Market has been segmented into bullets, aerial bombs, grenades, artillery shells, mortars. The bullets segment is anticipated to grow at a CAGR of 3.4% during the forecast period. The growth of this segment is influenced by several factors, including the increasing adoption of firearms for military, law enforcement, and civilian purposes. Factors such as personal safety concerns, self-defense awareness, and the rising popularity of shooting sports are contributing to the demand for bullets in the ammunition market.

Based on component, the Global Ammunition Market has been segmented into fuse & primer, propellants, base, projectile & warhead, others. In terms of component, the projectile & warhead segment is expected to grow at a CAGR of 3.5% during the forecast period. This growth is driven by advancements in ammunition technologies, specifically in the development of precision-guided systems. The increasing focus on enhancing the accuracy and effectiveness of ammunition, especially in artillery and missile systems, is propelling the growth of the projectile & warhead segment in the ammunition market.

Overall, the growth of these segments in the Global Ammunition Market is driven by factors such as increasing defense spending, geopolitical tensions, advancements in military technologies, and the demand for enhanced accuracy and effectiveness of ammunition in various applications.

Regional Analysis

The global Ammunition Market is segmented into five key regions: North America, Europe, Asia-Pacific, Middle East & Africa, and South America. In 2022, North America emerged as the dominant region, holding the largest market share of 37.2%. Asia-Pacific followed closely with a share of 30.2%, while Europe accounted for 18.0% of the market. Developing countries like India and China are expected to showcase substantial growth throughout the forecast period.

In North America, the market for ammunition is primarily driven by increasing military spending and the procurement of advanced sea, land, and air vehicles. Local enforcement agencies, armed forces, and border security forces are investing in ammunition systems to minimize threats arising from territorial conflicts, terrorism, and geopolitical tensions. For example, the US army awarded significant orders to companies for manufacturing artillery ammunition for Ukraine, and collaborations between major players like Northrop Grumman and Rheinmetall are aimed at developing advanced ammunition technologies. The region is expected to register a CAGR of 3.0% during the forecast period.

In Europe, there is a growing concern for national defense efforts, leading to an increase in the budget allocated to the European Defence Agency. Governments in the region are focusing on modernizing their military and law enforcement agencies, investing in ammunition production, and upgrading existing systems. Contracts for ammunition supply and upgrade projects are contributing to the growth of the market in Europe.

The defense sector in the Asia-Pacific region is witnessing significant growth due to increased defense budgets and the procurement of weapons and ammunition to combat terrorism, cross-border conflicts, and political chaos. The demand for new weapons and ammunition is driven by the need to enhance security and prevent security lapses. Collaborations and agreements between international ammunition specialists and regional companies are further fueling the market growth in the Asia-Pacific region.

Overall, the global Ammunition Market is experiencing growth across regions, with North America, Europe, and Asia-Pacific being the key contributors. Factors such as defense spending, geopolitical tensions, modernization efforts, and the need for enhanced security are driving the demand for ammunition in these regions.

Key Findings of the Study

• The global Ammunition Market was valued at USD 25,126.4 Million in 2022 and is projected to reach USD 38,322.3 Million by 2032, registering a CAGR of 4.3% during the forecast period.


• North America accounted for the largest market share in 2022 with a market value of USD 9,340.4 million; the market is expected to register a CAGR of 3.0% during the forecast period.


• Olin Corporation, General Dynamics Corporation, BAE Systems, Northrop Grumman, Vista Outdoor Operations LLC, Rheinmetall AG, Nammo AS, Nexter group KNDS, CBC Global Ammunition, and Poongsan Corporation are the key market players.


• The market for ammunition products was valued at USD 2,258.2 million in 2022 and is projected to grow at a CAGR of 4.7% during the forecast period (2023-2032).


• Asia-Pacific is the fastest-growing region in the global Ammunition Market, with a CAGR of 5.6% during the forecast period.