Anti-ship missile defense system: Key market research findings
- APAC dominates the market geographically
- The radar segment accounts for a majority of the market’s revenue
- Key vendors – BAE, General Dynamics, Lockheed Martin, Northrop Grumman, and Raytheon
Technavio’s market research analysts predict the global anti-ship missile defense system market to grow at a CAGR of around 7% between 2016 and 2020. The growth of this market can be attributed to the greater emphasis given to maritime border security. Many countries are in the process of augmenting their maritime border security capabilities to ensure that illegal and hostile infiltration do not take place in their territories. At the same time, major defense contractors are enhancing the existing anti-ship missile defense systems to cater to the global defense and security needs. During 2015, the global anti-ship missile defense system market was dominated by APAC with a market share of more than 38%. Strong economic progress, particularly in East Asia and in the Pacific region, will fuel further growth of the anti-ship missile defense system market in APAC during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the anti-ship missile defense system segments based on the component.
“The market is currently witnessing the emergence of long-range anti-ship missiles. There are many factors influencing the successful launch and target acquisition capabilities of modern long-range missiles. As the need is increasing, military organizations are in the process of enhancing the capability of their long-range missiles. This trend of using long-range anti-ship missiles will attract a substantial inflow of development funds both from the governments and private companies to the market over the next four years,” says Abhay Kumar Singh, Lead Analyst, Aerospace & Defense, Technavio Research.
By 2020, the radar segment will account for more than 72% of the overall market revenue to retain its position as the key revenue generating vertical of the global anti-ship missile defense system market. Since the cold war in the early 1990s, countries such as the US, Russia, Israel, South Korea, and Japan have made enormous investments in the development and procurement of these radar systems. Furthermore, member nations of North Atlantic Treaty Organization (NATO) such as the Netherlands, Norway, Portugal, the UK, Greece and the US are also upgrading the radar systems in their existing naval fleets to dual band capability.
The key vendors in the global market include BAE, General Dynamics, Lockheed Martin, Northrop Grumman, and Raytheon. In-house manufacturing capabilities, newer technologies, global footprint network, product offerings, R&D investments, and a strong client base have become the key areas to have an edge over the competitors. The growth of the market vendors is dependent on the market conditions, government support, and industry development. As a result, vendors should focus on expanding geographically and improving their products.
A more detailed analysis is available in the Technavio report, Global Anti-ship Missile Defense System Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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