ID: MRFR/A&D/2347-CR | July 2019 | Region: Global | 134 pages
Armored vehicles are security vehicles used to transport armed security. Armored vehicles were only owned and used by the military, law enforcement, and ministers, but in the past few years prominent figures from the corporate world, VIPs, and celebrities have also been contributing to the demand for these vehicles. The continually increasing security challenges are the main reason for the adoption of armed vehicles by the various government bodies and civilians.
Technological developments and improvements in artificial intelligence have increased the use and importance of unmanned ground vehicles, virtual training, and survivability equipment. The demand for new, technologically advanced transmission equipment in an armored vehicle, which are highly effective and secure, are critical in retaining an edge over extremist powers. The growing challenges of tackling modern-day security threats are stimulating the need for a technological revolution in the market. Frequent investment in R&D activities and the development of highly advanced and innovative technologies will be the core growth strategies in the upcoming years.
The need for reducing the weight and size of vehicles installed in the defense sector, and the demand for highly efficient, compact, and robust vehicles and weapons is a crucial driver for the armored vehicle market. Promising innovations in the transmission medium, adaptability, navigation, surveillance, protection, and enhanced situational awareness are expected to boost the demand in the next few years.
The high costs associated with advanced armored vehicles is a significant limitation for the global armored vehicles market. Fluctuating raw material costs, import expenses, and huge taxes levied by countries often result in increased cost of end products. If companies wish to expand their businesses of armored vehicles across emerging economies, the key challenge is keeping a balance between the base cost of products and their quality. The growing concern of protecting military workforce during civil wars, and the increasing need to protect the nation from difficult situations and scenarios ranging from natural disasters to acts of terrorism, is expected to drive the growth of security applications across the globe. This would lead to a rise in the demand for armored vehicles during the forecast period.
Rise in internal & external security threats, and increasing violence in countries such as Syria, Iraq, among other regions in the world, are driving the global armored vehicle market. The growth of the market is due to the rise in defense expenditure in emerging economies and increasing acceptance of rental & leasing of armored vehicles among civilians. However, a lack of standardization in the operations of companies, government rules & regulations, and limited defense budgets, may hinder the growth of the market. Furthermore, the necessity of lightweight armored vehicles and growing demand from commercial sectors is expected to provide opportunities for market growth in the coming years.
Segmentation of the Global Armored Vehicle Market
Based on system, the market has been segmented into drive systems, engine, ballistic armor, ammunition handling systems, turret drives, fire control systems (FCS), countermeasure systems, armaments, command & control (C2) systems, observation & display systems, hulls/frames, navigation systems, and power systems. The armaments segment accounted for the largest market share in 2018 and is expected to grow at the highest CAGR during the forecast period. Increasing adoption of remote weapon station on armored vehicles is driving the growth of the segment.
Based on product, the market has been segregated into defense armored vehicle and a commercial armored vehicle. The defense armored vehicle segment has been sub-segmented into armored personnel carriers (APC), lightly protected vehicles (LPV), infantry fighting vehicles (IFV), mine-resistant ambush-protected (MRAP), main battle tanks (MBT), tactical trucks, and others. The commercial armored vehicle segment has been sub-segmented into a limousine, bus/van, sedan, SUV, and others. The armored defense vehicle dominated the market in 2018 and is expected to grow at a higher CAFR from 2019 to 2025. Increasing expenditure in developing advanced military transport vehicles is driving the segment growth.
Based on end user, the market has been bifurcated into commercial and defense. The defense segment dominated the market in 2018 and is expected to witness a higher CAGR during the forecast period. The growing need to offer enhanced security to defense personnel is driving the segment growth.
Based on the region, the market has been divided into North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America. North America is estimated to acquire the most significant market share in 2018. However, Asia-Pacific is expected to grow at the highest CAGR during the forecast period from 2019 to 2028. Increasing defense expenditure of developing countries such as China and India is driving the market growth in the region. Furthermore, increasing procurement and development of advanced armored vehicles by countries such as South Korea, India, and China is also driving the market growth in the region.
The key players in the global armored vehicle market are General Dynamics Corporation (US), BAE Systems, PLC (UK), Textron Inc. (US), Oshkosh Corporation (US), Elbit Systems Ltd (Israel), Thales Group (France), Lockheed Martin Corporation (US), Diehl Defence GmbH & Co. KG (Germany), Rheinmetall AG (Germany), Lenco Industries, Inc. (US), The Kalyani Group (India), Mitsubishi Heavy Industries, Ltd (Japan), INKAS Armored Vehicle Manufacturing (Canada), International Armored Group (US), IVECO (Italy), Krauss-Maffei Wegmann GmbH & Co. (Germany), Navistar, Inc. (US), and The Hyundai Motor Group (South Korea) .
The market values and forecasts are derived using MRFR research methodology, which includes secondary research, primary interviews, data triangulation, and validation from an in-house data repository and statistical modeling tools.
In this process, data is collected from various secondary sources, including annual reports, SEC filings, journals, government associations, aerospace & defense magazines, white papers, corporate presentations, company websites, and paid databases.
In this process, both the demand- and supply-side parties are interviewed to extract facts and insights into the market forecast, production, trends, and projected market growth. Industry stakeholders such as CEOs, VPs, directors, and marketing executives across the value chain are approached to obtain key information.
Frequently Asked Questions (FAQ) :
Agreement between Qinetiq and the U.S. Office of Naval Research for Developing Electric Armored Reconnaissance Vehicles is Further Proof of the Technology being Used in the Future.
General Dynamics Corporation, BAE Systems, Textron Inc, Oshkosh Corporation, Elbit Systems Ltd and Others are the Leading Players Included in Armored Vehicle Market.
Armored Vehicle Regions Market Divided into North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America.
Armored Vehicles Market is Expected to Grow USD 32.26 Billion at USD 32.26 Billion by End of Year 2025.
It Covers Market Drivers, Opportunities, Trends, Restraints, Porter’s Five Forces, Supply Chain and Value Chain Analysis.