PUBLISHER: Aviation & Defense Market Reports (A&D) | PRODUCT CODE: 1858533
PUBLISHER: Aviation & Defense Market Reports (A&D) | PRODUCT CODE: 1858533
The Global Infantry Fighting Vehicles market is estimated at USD 3.78 billion in 2025, projected to grow to USD 5.89 billion by 2035 at a Compound Annual Growth Rate (CAGR) of 4.54% over the forecast period 2025-2035.

The defense Infantry Fighting Vehicles (IFV) market represents a critical component of modern ground combat operations, combining mobility, protection, and firepower to support mechanized infantry units. IFVs are designed to transport soldiers safely across diverse terrains while engaging enemy forces through integrated weapon systems. Their ability to operate alongside main battle tanks and provide direct fire support makes them indispensable in both offensive and defensive missions. The market is experiencing a shift toward modular and adaptable vehicle designs capable of meeting multi-domain operational demands. As armed forces modernize their land warfare capabilities, IFVs are increasingly equipped with advanced electronics, active protection systems, and enhanced situational awareness tools. These developments position IFVs as key assets in achieving tactical superiority and operational flexibility in contemporary battlefields.
Technological innovation is reshaping the capabilities and effectiveness of infantry fighting vehicles. Advances in armor materials, such as composite and reactive systems, have significantly improved survivability without compromising mobility. Digital integration enables real-time situational awareness through networked sensors, communication systems, and battlefield management interfaces. The adoption of hybrid propulsion and electric drive technologies enhances fuel efficiency, stealth, and maneuverability. Automation and AI-based threat detection systems are being incorporated to assist crews in decision-making under high-pressure combat conditions. Weapon systems have also evolved, featuring remote-controlled turrets, advanced targeting optics, and programmable ammunition. Additionally, modular architecture allows for quick adaptation of mission-specific payloads. These technological enhancements collectively transform IFVs into intelligent, networked platforms that operate seamlessly within integrated land combat ecosystems.
The rising complexity of land warfare and the need for flexible, survivable ground platforms are major forces driving the IFV market. Armed forces are prioritizing vehicle modernization to counter evolving threats such as anti-tank guided missiles and drone-based attacks. The growing emphasis on troop safety, rapid mobility, and interoperability across joint operations fuels demand for next-generation IFVs. Ongoing military modernization programs and replacement cycles for legacy armored fleets are further accelerating procurement. Geopolitical tensions and urban warfare trends have increased the need for vehicles capable of operating in confined environments while maintaining high levels of protection and firepower. Moreover, the integration of digital command networks and advanced communication systems aligns with broader defense digitization goals. These factors collectively sustain robust investment in the IFV segment across global defense markets.
Regional dynamics in the IFV market are influenced by security challenges, industrial capacities, and strategic defense objectives. In North America, modernization programs focus on developing next-generation IFVs with enhanced survivability and network-centric capabilities. European nations are emphasizing collaborative vehicle development and production to ensure interoperability within joint forces while reducing procurement costs. The Asia-Pacific region is witnessing significant growth, driven by territorial disputes, modernization of armored fleets, and rising defense budgets. Middle Eastern countries are investing in heavily protected IFVs suited for desert and urban combat scenarios, often integrating imported systems with local manufacturing. Emerging economies in Latin America and Africa are exploring cost-effective solutions and partnerships to upgrade their mechanized infantry capabilities. Overall, each region's approach reflects its unique balance between indigenous production, technological advancement, and operational priorities in land warfare modernization.
The European defense organization OCCAR (Organisation Conjointe de Cooperation en Matiere d'Armement) has awarded a contract to Artec GmbH for the delivery of 222 Schakal infantry fighting vehicles to the armed forces of Germany and the Netherlands. The Schakal combines the Boxer wheeled armoured vehicle chassis with the turret of the Puma tracked infantry fighting vehicle. Artec GmbH, a joint venture between Rheinmetall and KNDS Germany, serves as the main contractor. Under the agreement, 150 vehicles will go to Germany and 72 to the Netherlands.
The combined order is valued at approximately €4.7 billion, with Rheinmetall's share totaling about €3.4 billion. The contract also includes a comprehensive logistics package, covering spare parts, training materials, and specialized tools. In addition, it provides for optional enhancements such as protection against anti-tank weapons, attack detection and identification systems, and counter-drone measures. The agreement further includes an option for up to 248 additional vehicles.
By Configuration
By Region
By Type
The 10-year infantry fighting vehicles market analysis would give a detailed overview of infantry fighting vehicles market growth, changing dynamics, technology adoption overviews and the overall market attractiveness is covered in this chapter.
This segment covers the top 10 technologies that is expected to impact this market and the possible implications these technologies would have on the overall market.
The 10-year infantry fighting vehicles market forecast of this market is covered in detailed across the segments which are mentioned above.
The regional infantry fighting vehicles market trends, drivers, restraints and Challenges of this market, the Political, Economic, Social and Technology aspects are covered in this segment. The market forecast and scenario analysis across regions are also covered in detailed in this segment. The last part of the regional analysis includes profiling of the key companies, supplier landscape and company benchmarking. The current market size is estimated based on the normal scenario.
North America
Drivers, Restraints and Challenges
PEST
Key Companies
Supplier Tier Landscape
Company Benchmarking
Europe
Middle East
APAC
South America
This chapter deals with the key defense programs in this market, it also covers the latest news and patents which have been filed in this market. Country level 10 year market forecast and scenario analysis are also covered in this chapter.
US
Defense Programs
Latest News
Patents
Current levels of technology maturation in this market
Canada
Italy
France
Germany
Netherlands
Belgium
Spain
Sweden
Greece
Australia
South Africa
India
China
Russia
South Korea
Japan
Malaysia
Singapore
Brazil
The opportunity matrix helps the readers understand the high opportunity segments in this market.
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