Global Loitering Munition Market Revenue Grows at a CAGR of 10.1%

Introduction

Straits Research published a report, “Loitering Munition Market Size & Outlook, 2026–2034.” According to the study, the market size was valued at USD 632.7 million in 2025 and is projected to expand to USD 1,497.6 million by 2034, registering a compound annual growth rate (CAGR) of 10.1% during the forecast period.

Market Dynamics

The Loitering Munition Market is supported by the increasing adoption of precision-guided strike systems, growing reliance on unmanned combat solutions, and the rapid evolution of modern warfare doctrines emphasizing speed, accuracy, and reduced operational risk. Rising demand for flexible, low-footprint strike capabilities across land, air, and naval operations is driving market growth across defense and security segments. The ability of loitering munitions to combine surveillance and strike functions in a single platform is further strengthening their operational relevance.

Additionally, expanding defense modernization programs, increasing emphasis on asymmetric warfare readiness, and rising investments in unmanned and autonomous combat capabilities are key contributors to market expansion. The integration of loitering munitions into joint-force operations and their growing use in border security, counter-insurgency, and rapid response missions are unlocking new growth opportunities for manufacturers and defense operators worldwide.

Market Highlights

• Segmental Leadership: Fixed Wing Loitering Munitions hold the largest share (48.6%), while Hybrid Loitering Munitions are expected to record the fastest growth (11.6% CAGR).
• Launch Mode Outlook: The Man Portable Loitering Munitions segment led the market in 2025, contributing 34.9% to total revenue, supported by their high mobility and rapid deployment capability.
• Application Focus: Precision Strike applications lead operational adoption and are anticipated to grow at a strong pace (10.9% CAGR), driven by demand for accurate, low-collateral engagement.
• Regional Insights: North America dominates with 36.8% market share, supported by advanced defense capabilities, early technology adoption, and sustained investment in unmanned combat systems.

Competitive Players

1. Israel Aerospace Industries
2. AeroVironment
3. Elbit Systems
4. Rheinmetall
5. RTX Corporation
6. Northrop Grumman
7. Lockheed Martin
8. Thales Group
9. BAE Systems
10. Saab AB
11. Leonardo
12. UVision Air
13. EDGE Group
14. Baykar Technologies
15. HENSOLDT
16. L3Harris Technologies
17. ST Engineering
18. ZALA Aero
19. WB Group
20. Bharat Dynamics Limited

Recent Developments

Segmentation

1. By Type (2022-2034)
   1. Fixed Wing Loitering Munitions
   2. Rotary Wing Loitering Munitions
   3. Hybrid Loitering Munitions
2. By Launch Mode (2022-2034)
   1. Man Portable Loitering Munitions
   2. Vehicle-Mounted Loitering Munitions
   3. Air Launched Loitering Munitions
   4. Naval Launched Loitering Munitions
3. By Application (2022-2034)
   1. Intelligence, Surveillance & Reconnaissance (ISR)
   2. Precision Strike
   3. Suppression of Enemy Air Defenses (SEAD)
   4. Tactical Battlefield Support
   5. Others
4. By Region (2022-2034)
   1. North America
   2. Europe
   3. Asia Pacific
   4. Middle East and Africa
   5. Latin America