Increasing Defense Expenditure to Drive the Military Land Vehicles Market Growth

Introduction

The military land vehicles market was valued USD 22.8 billion in 2019 and is expected to reach USD 33.7 billion by 2029, with a CAGR of 3.9%.  Rising defense expenditure and surging need to modernize military equipment, increasing cross-border terrorism, and surging number of defense deals drive the market growth.  

Key Highlights

• Oshkosh, BAE System Plc, General Dynamic Corporation, ST Engineering, Ashok Leyland, IVECO, RHEINMETALL AG, and Hyundai Rotem grab over 60% of the market share
• The service segment accounted for the highest market share in 2019 and is expected to dominate the market during the forecast period
• The IFV segment held the largest market share in 2019, which is more than 24%
• The defense and combat segment accounted for the largest share of the pie in 2019
• The logistic and transportation segment is expected to grow with a CAGR of 4.2% during the forecast period

Competitive Players

1. Oshkosh Defense, LLC
2. General Dynamics Corporation
3. ST Engineering
4. BAE Systems plc
5. Hyundai Rotem
6. Ashok Leyland
7. China North Industries Corporation (NORINCO)
8. Thales Australia
9. Mitsubishi Heavy Industries (MHI)
10. Hanwha Defense
11. Hyundai Rotem Company
12. PT Pindad
13. Norinco (China North Industries Corporation)
14. Avadi Heavy Vehicle Factory (HVF)
15. Mahindra Defence Systems Ltd.

Recent Developments

• January 2024- Edge Group, an Emirati defense conglomerate, announced that Milrem Robotics, a subsidiary based in Estonia, will supply the UAE military with sixty unmanned ground vehicles and robotic combat vehicles. The agreement between Milrem and the Ministry of Defense of the country was unveiled during the UMEX drone fair, which commenced on January 23 and will span three days. The agreement will provide the Gulf nation with twenty tracked robotic combat vehicles and forty THeMIS unmanned ground vehicles, showcasing the government's commitment to investing in military ground robots.
• January 2024 - Kodiak Robotics, Inc., a prominent developer of self-driving technology for the trucking and defense sectors, introduced its inaugural autonomous test vehicle today, which was custom-built for the United States Department of Defense (DoD). The Ford F-150 in question has been modified to incorporate Kodiak's autonomous system, known as the Kodiak Driver. It is equipped with the necessary hardware and software for operating a military ground vehicle. Off-road variables, including rocks, dust, mud, water, hostile military environments, diverse operational conditions, and areas with degraded GPS, are all accommodated by the Kodiak Driver-equipped vehicle.

Segmentation

1. By Type
   1. Light protected vehicles
   2. Armored personnel carriers
   3. Infantry fighting vehicles
   4. Main battle tanks
   5. Others 
2. By Applications
   1. Defense
   2. Transportation