Market Research Report
Europe Armored Fighting Vehicles Market - Growth, Trends, and Forecasts (2020 - 2025)
|Europe Armored Fighting Vehicles Market - Growth, Trends, and Forecasts (2020 - 2025)|
Published: August 1, 2020
Mordor Intelligence Pvt Ltd
Content info: 80 Pages
Delivery time: 2-3 business days
The European armored fighting vehicles market is anticipated to register a CAGR of over 3% during the forecast period, owing to the demand from armed forces, law enforcement agencies (police), and potential private owners.
Main Battle Tank Segment is Projected to Lead the Market During the Forecast Period
Currently, the main battle tank (MBT) segment dominates the market, and it is expected to continue its domination during the forecast period. The segment is propelled by the increasing procurements of tanks by various countries, like Hungary, Russia, Poland, France, and Germany. For instance, in August 2018, the Russian Ministry of Defense signed a contract with Uralvagonzavod (UVZ) for the production of 132 third-generation T-14 Armata main battle tanks (MBT) and T-15 heavy infantry fighting vehicles (IFV). The Russian Ground Forces are expected to receive a total of 100 T-14 MBTs by 2020. France and Germany aims at developing European Main Battle Tank (EMBT) under the Main Ground Combat System (MGCS/KNDS (Krauss-Maffei Wegmann + Nexter Defense System) program to replace the German fleet of Leopard Tanks and the French fleet of Leclerc Tanks by 2035.
Russia is the Largest Market for Armored Fighting Vehicles in Europe
Russia has the largest fleet of armored fighting vehicles in Europe. It witnessed a significant increase in spending in an effort to modernize the existing fleet, which is propelling the growth of the market. The presence of manufacturers, such as Kurganmashzavod and KAMAZ, which are actively spending in the research and development of existing product lines is also driving the market. However, the armored fighting vehicle manufacturers in Russia are struggling with overcapacity problems due to overseas competition. The current Russian fleet of fighting vehicles is developed keeping in mind the lethality and mobility with vehicles having excellent off-road mobility, amphibious mobility, etc. However, investments are being made to increase the survivability of the platform as well, because the majority of Russian armored vehicles are effective against small ammunition and not the larger ones.
The prominent players in the market are BAE Systems PLC, Rheinmetall AG, General Dynamics Corporation, Patria, Oshkosh Corporation Inc., and Nexter Group KNDS, among others. The armored fighting vehicles market in Europe is a fragmented one, with nearly 16 out of 18 manufacturers having serial production. The majority of armored fighting vehicles' fleet is present in nearly 3-4 countries; therefore, a need arises to equip the other European countries with advanced fighting vehicles. Many countries are using the older generation fleet. Collaborations for the development of new fighting vehicles are anticipated to propel the growth of the market in these countries. Italy has initiated the Forza NEC program, which focuses on the digitization of armored vehicles by architecture configuration.