Global Artillery Systems Market Worth USD 5,570.31 Million By 2030 | CAGR of 4.01%

Introduction

Artillery systems are weapons and arms used by military forces for high strategic and tactical mobility. Some of the most frequently employed artillery systems include mortars, multiple launch rocket systems (MLRS), howitzers, air defense guns, man-portable air-defense systems (MANPADS), and rocket artillery. They are employed to attack targets and disarm enemy gun emplacements while supporting the arms with fire during conflict.

Market Dynamics

Rising Defense Expenditure Drives the Global Market

The ambiguity surrounding many countries' territorial claims, such as the Middle East Cold War between Saudi Arabia and Iran, is one of the significant reasons disturbing the geopolitical environment. The most common response from governments in this area is to increase military spending to improve national security. The military arsenals and combat prowess of superpowers like the US, UK, China, and India have improved. Several developments and procurement operations are underway to modernize the weapon systems used by the armed services to ensure that the current defensive systems are combat-ready.

Increasing Defense Expenditure Creates Tremendous Opportunities

The expansion of the artillery systems market may be supported by countries' sizeable spending on modernizing their armed forces. Nations are concentrating on enhancing their long-range fire capabilities to gain a tactical edge on the battlefield. Countries like the US acquire artillery equipment to build long-range precision fire capabilities. Increasing the military's firepower capabilities is crucial for all nations as the level of threats to them rises. As a result, a portion of the defense spending plans is diverted to such programs, the expansion of which puts the market's prospects in the spotlight.

Regional Analysis

North America is the most significant shareholder in the global artillery system market and is expected to grow at a CAGR of 4.31% during the forecast period. There are 1,365 rocket launchers, 1,340 pieces of towed artillery, and 1,500 pieces of self-propelled artillery in the US land forces' arsenal. The US Navy expects to replace its fleet of outmoded navy ships with modern and cutting-edge naval vessels in the future, increasing the demand for advanced artillery systems throughout the projected period. Canada is evaluating the Army's future artillery needs as part of the Indirect Fire Modernization (IFM) initiative. One piece of equipment that would need to be updated and might be protected by IFM is the C-3 and LG-1 howitzers employed by the Army.

Asia-Pacific is expected to grow at a CAGR of 4.39%, generating USD 1,463.33 million during the forecast period. While the country is under pressure to modernize and expand its artillery capability due to problems with its land-based neighbors, the government is also under pressure due to disputes in the South China Sea involving both islands and marine regions. China is improving at making ground systems, including armored vehicles, towed and self-propelled artillery systems and pieces, and air defense systems. To make place for new equipment utilizing the latest technology, including the Dhanush artillery system and the ATAGS, two of the Indian Army's longest-serving artillery weapons—the 130mm Self Propelled M-46 Catapult Guns and the 160mm Tampella Mortars—were retired from service in March 2021. India plans to introduce more than 900 homegrown Self-propelled Air Defence Gun Missile Systems to replace its antiquated Bofors L 70 40mm single barrel and Soviet-era ZU-23-2 towed 23 mm twin-barrel weapon systems (SPAD-GMS). A high rate of fire guns has been produced for the Indian Army at the state-funded Ordnance Board Factory (OFB) in India.

The US and Russian militaries have more artillery firepower than the British military. Despite plans to replace its obsolete artillery systems within the next ten years, the UK has continued to employ them. Due to the delay in receiving a contemporary howitzer, the British armed forces will have to delay decommissioning the AS90s. As a result, a portion of the howitzer force will continue to be employed until 2032. The British Army started utilizing AS90 in 1992. The British Army is now cooperating with Rheinmetall BAE Systems Land's Challenger 2 Life Extension Program (RBSL) to enhance its MBT capacity. According to current plans, challenger two will have an upgrade to keep the tanks active until 2040. The German Army initially tested the Leopard 2A7+ next-generation main battle tank (MBT) from Krauss-Maffei Wegmann (KMW). Germany will possess 104 upgraded 2A7 MBTs by 2023.

Key Highlights

• The global artillery system market was valued at USD 3,910.24 million in 2021. It is projected to reach USD 5,570.31 million by 2030, growing at a CAGR of 4.01% during the forecast period (2022-2030). 
• Based on type, the global artillery system market is bifurcated into howitzer, mortar, anti-air artillery, rocket artillery, and other types (naval and coastal artillery). The howitzer segment is the highest contributor to the market and is expected to grow at a CAGR of 3.42% during the forecast period.
• Based on range, the global artillery system market is bifurcated into short range (5-30 kilometers), medium range (31-60 kilometers), and long-range (> 60 kilometers). The short-range (5-30 kilometer) segment owns the highest market share and is expected to grow at a CAGR of 1.95% during the forecast period.
• North America is the most significant shareholder in the global artillery system market and is expected to grow at a CAGR of 4.31% during the forecast period.

Competitive Players

1. Hanwha Group
2. Elbit Systems Ltd
3. Rostec
4. Lockheed Martin Corporation
5. Avibras Indústria Aeroespacial SA
6. Nexter Group
7. Denel SOC Ltd
8. Leonardo SpA
9. Singapore Technologies Engineering Ltd

Recent Developments

Recent Developments

• March 2022- Elbit Systems Ltd. announced that it was awarded contracts with an aggregate value of approximately USD 130 million to deliver an artillery munitions production line in a country in Asia-Pacific. The contracts will be performed over a period of 2.5 years.
• September 2022- At the DX Korea 2022 exhibition in Goyang on September 22, Hanwha Corporation announced that mass manufacturing of the Korean Tactical Surface-to-Surface Missile (KTSSM) system will begin in 2023.

Segmentation

1. By Type
   1. Howitzer
   2. Mortar
   3. Anti-air Artillery
   4. Rocket Artillery
   5. Other Types (Naval and Coastal Artillery)
2. By Range
   1. Short Range (5-30 Kilometer)
   2. Medium Range (31-60 Kilometer)
   3. Long Range (> 60 Kilometer)