Artillery Systems Market Size

The architecture of the international security system has been damaged by the rising hegemonism, unilateralism, and influence politics that have stoked multiple crises due to the fundamental changes in the international strategic landscape. The ambiguity surrounding many countries' territorial claims, such as the Middle Eastern Cold War between Saudi Arabia and Iran, is one of the key things disturbing the geopolitical situation. The government's most typical approach to this problem is to spend more money on the military to boost security at home.

Military superpowers like the United States, the United Kingdom, China, and India have enhanced their military equipment and combat abilities. The armed services are updating their weaponry, and some development and procurement work is being done to ensure the current defensive systems are combat-ready. Additionally, the drive for indigenization affects how these systems are created locally in different countries.  military spending increased by 2.6% in real terms from 2019 to USD 1981 billion in 2020. Military spending has increased more quickly in recent years; it will be 9.3% higher in 2020 than in 2011.

According to SIPRI, the countries with the biggest military expenditures worldwide in 2020 were the United States, China, India, Russia, and the United Kingdom. These nations collectively accounted for 62% of  spending. As a result, a portion of the defense spending plans are diverted to such programs, the expansion of which puts the market's prospects in the spotlight.

Furthermore, many current crises have been stoked by the growing hegemonism, unilateralism, and power politics due to the significant changes in the worldwide strategic environment, compromising the design of the international security system. Countries' sizable investments may aid the forecasted expansion of the market for artillery systems in modernizing their armed forces. To gain a tactical edge on the battlefield, nations are focusing on building long-range fire capabilities. Countries like the United States are launching the purchase of artillery systems to build long-range precision firing capabilities.

Increasing the military's strength becomes crucial for all nations as their challenges grow more serious. Due to this expansion, which is the main driver of the market, a percentage of defense funds are allotted to these programs.

Additionally, the ground forces benefit from long-range artillery cover fire by disabling enemy fire support. The S35 Koalitsiya-SV self-propelled howitzer, a short barrel artillery system, was recently constructed by Russia in 2020 in its first batch and featured an automatic real-time firing control system. Koalitsiya-SV outperforms all other similar artillery systems by employing 152 mm rounds up to a range of 50 KM and being able to fire up to 10 rounds per minute. The artillery system market is anticipated to grow as a result of this long-range weapon system development. Thus, driving the artillery systems market revenue.

The Global Artillery Systems Market Industry is experiencing growth driven by rising defense budgets across various nations. Countries are prioritizing military modernization to enhance their operational capabilities. For instance, nations like the United States and India have significantly increased their defense spending, which is projected to reach 6.67 USD Billion in 2024. This trend reflects a broader global commitment to strengthening artillery capabilities, as governments recognize the importance of advanced artillery systems in modern warfare. The emphasis on upgrading existing systems and acquiring new technologies is likely to propel the market forward, fostering innovation and competition among manufacturers.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the artillery systems market grow even more. Market participants are also engaging in a range of strategic initiatives to broaden their reach. Significant market developments include new product launches, contractual agreements, mergers and acquisitions, greater investments, and collaboration with other organisations. To expand and survive in a more competitive and rising market climate, artillery systems industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the artillery systems industry to benefit clients and increase the market sector. In recent years, the artillery systems industry has offered some of the most significant advantages to the market.

Major players in the artillery systems market attempting to increase market demand by investing in research and development operations include Avibras (Brazil), BAE Systems (UK), China North Industries Corporation (Norinco) (China), Denel SOC Ltd (South Africa), Elbit Systems (Israel), General Dynamics (US), Hanwha Group (South Korea), IMI Systems (Israel), Kmw+Nexte Defense Systems (Netherlands) and Lockheed Martin (US).

Elbit Systems Ltd creates systems and tools for C4ISR (command, control, communications, computers, intelligence, surveillance, and reconnaissance) and aerospace applications. The business sells cutting-edge electro-optic and countermeasures systems, unmanned aircraft systems (UAS), unmanned surface ships, military aircraft, airborne systems, helicopter systems, aerostructures and systems, helmet-mounted systems, and land and naval systems. For homeland security, defense, and commercial aviation markets, Elbit Systems modernizes military platforms and creates new technology. In March 2022, Elbit Systems Ltd. reported receiving contracts for delivering an artillery munitions production line in an Asia-Pacific nation, with an estimated value of about USD 130 million.

The contracts will be carried out over 2.5 years.

As a leading provider of aerospace and security products and services, Lockheed Martin Corp. conducts research, designs, develops, manufactures, integrates, and maintains technological systems, goods, and services. Aeronautics, Missiles and Fire Control (MFC), Rotary and Mission Systems (RMS), and Space are the four business segments it conducts. In September 2020, the US Army gave Lockheed Martin a contract worth USD 183 million to produce and provide 28 High Mobility Artillery Rocket System launchers and associated hardware. The first deliveries are expected to start in 2022.