Decoy Flares Global Market Report 2026

Decoy flares are defensive countermeasure devices used by military aircraft to protect themselves from infrared-guided missiles. These flares produce intense heat signatures that simulate the aircraft's engine output, effectively misleading and deflecting incoming threats. They are commonly deployed in rapid bursts when a missile threat is detected. Decoy flares form an essential element of modern airborne self-defense systems.

The primary categories of decoy flares include pyrotechnic flares, pyrophoric flares, and other types. Pyrotechnic flares work by igniting chemical substances that emit strong heat and bright light to mislead approaching missiles. The product portfolio consists of handheld, aircraft-mounted, vehicle-mounted, and shipborne flares, which are utilized across platforms including airborne, naval, and ground-based systems. These flares are used in various applications such as military aviation, naval defense, and ground operations, as well as commercial aviation, catering to defense forces, commercial airlines, and private security service providers.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs are impacting the decoy flares market by increasing costs of imported energetic materials, electronic ignition systems, specialty alloys, and precision manufacturing components used in airborne and vehicle-mounted flares. Defense procurement programs in North America and Europe are most affected due to reliance on cross-border defense supply chains, while Asia-Pacific faces higher costs for localized production scaling. These tariffs are increasing unit costs and extending procurement timelines. However, they are also encouraging domestic sourcing, localized manufacturing of countermeasure components, and long-term supply chain resilience within national defense ecosystems.

The decoy flares market research report is one of a series of new reports from The Business Research Company that provides decoy flares market statistics, including decoy flares industry global market size, regional shares, competitors with a decoy flares market share, detailed decoy flares market segments, market trends and opportunities, and any further data you may need to thrive in the decoy flares industry. This decoy flares market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The decoy flares market size has grown rapidly in recent years. It will grow from $2.1 billion in 2025 to $2.32 billion in 2026 at a compound annual growth rate (CAGR) of 10.5%. The growth in the historic period can be attributed to increasing global defense expenditure, modernization of military aircraft fleets, rising threats from infrared-guided missiles, expansion of airborne self-protection systems, increased deployment of combat aircraft.

The decoy flares market size is expected to see rapid growth in the next few years. It will grow to $3.4 billion in 2030 at a compound annual growth rate (CAGR) of 10.0%. The growth in the forecast period can be attributed to increasing adoption of next-generation electronic warfare systems, rising procurement of advanced fighter aircraft, growing focus on integrated defensive suites, expansion of unmanned aerial vehicle protection needs, increasing investments in countermeasure technology upgrades. Major trends in the forecast period include increasing integration of advanced infrared countermeasure systems, rising demand for lightweight and compact flare designs, growing use of multi-spectral decoy technologies, expansion of platform-specific flare customization, enhanced focus on rapid deployment mechanisms.

The increasing deployment of unmanned aerial vehicles (UAVs) is driving the growth of the decoy flares market. UAVs, which are aircraft systems that operate autonomously or by remote control without a human pilot, are being increasingly adopted for defense purposes such as reconnaissance, surveillance, and precision strikes. In military operations, decoy flares enhance UAV survivability by protecting them from heat-seeking missile attacks. For example, in May 2024, the International Trade Administration cited that the global commercial drone fleet is projected to grow by 40% between 2022 and 2030, according to the VUL (association of unmanned aviation). This expansion in UAV use is contributing significantly to the growth of the decoy flares market.

The rising defense budgets are expected to propel the growth of the decoy flares market going forward. Defense budgets refer to the funds allocated by a government for the development, maintenance, and operation of its armed forces and defense infrastructure. As global tensions rise, countries are increasingly investing in military preparedness and national security, which includes enhanced spending on countermeasure technologies such as decoy flares. For instance, in April 2024, according to the Stockholm International Peace Research Institute (SIPRI), a Sweden-based non-government organization, in 2023, global military spending reached $2,443 billion, up 6.8% in real terms from 2022. This growing military expenditure is fostering demand for advanced decoy flare systems and upgrades across global defense sectors.

In March 2025, Rafael Advanced Defense Systems Ltd., an Israel-based defense technology company, partnered with Elbit Systems Ltd. to enhance the defense capabilities of NATO frigates by equipping them with advanced decoy launch systems designed to counter modern missile threats. Elbit Systems Ltd. is an Israel-based defense contractor company that produces advanced infrared (IR) decoy flares that protect aircraft from heat-seeking missiles. This collaboration aims to strengthen NATO naval assets by integrating cutting-edge defensive solutions, thereby expanding the application of decoy flare technology to maritime operations.

Major companies operating in the decoy flares market are Chemring Group PLC, Northrop Grumman Corporation, Armtec Defense Technologies, BAE Systems PLC, Saab AB, Rheinmetall AG, Elbit Systems Ltd., LACROIX Defense, Raytheon Technologies Corporation, IMI Systems Ltd., Leonardo S.p.A, Spectra Technologies, Bharat Dynamics Limited, Hanwha Aerospace, Magellan Aerospace, MBDA, Rafael Advanced Defense Systems, Thales Group, Hensoldt, Curtiss-Wright Corporation

North America was the largest region in the decoy flares market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the decoy flares market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the decoy flares market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The decoy flares market consists of sales of multi-spectral flares, advanced spectral flares, and dispenser systems. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Decoy Flares Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses decoy flares market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for decoy flares ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The decoy flares market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
• The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
• The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
• The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
• The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
• The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.

Scope

• Markets Covered:1) By Decoy Flares Type: Pyrotechnic Flares; Pyrophoric Flares; Other Decoy Flares Types
• 2) By Product: Handheld Flares; Aircraft Flares; Vehicle-Mounted Flares; Shipborne Flares
• 3) By Deployment: Airborne; Naval; Land-Based
• 4) By Application: Military Aviation; Naval Defense; Ground Forces; Commercial Aviation
• 5) By End User: Defense Forces; Commercial Airlines; Private Security Firms
• Subsegments:
• 1) By Pyrotechnic Flares: Infrared (IR) Pyrotechnic Flares; Visual Pyrotechnic Flares
• 2) By Pyrophoric Flares: Magnesium-Based Pyrophoric Flares; Alloy-Based Pyrophoric Flares
• 3) By Other Decoy Flares Types: Directed Energy Flares; Electronic Countermeasure Flares; Composite Material Flares
• Companies Mentioned: Chemring Group PLC; Northrop Grumman Corporation; Armtec Defense Technologies; BAE Systems PLC; Saab AB; Rheinmetall AG; Elbit Systems Ltd.; LACROIX Defense; Raytheon Technologies Corporation; IMI Systems Ltd.; Leonardo S.p.A; Spectra Technologies; Bharat Dynamics Limited; Hanwha Aerospace; Magellan Aerospace; MBDA; Rafael Advanced Defense Systems; Thales Group; Hensoldt; Curtiss-Wright Corporation
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain.
• Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
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