GLOBAL MILITARY TANKS MARKET

INTRODUCTION

The year was 1916 when a small but heavily weighing 14-tonne machinery was first used in war by Britain against Germany in the battle of Somme. The first battle tanks moved on tracks, got stuck in trenches, and crawled over rough terrain at only two miles per hour. The prototype was named Little Willie, But who knew that this little Willie will change the modern-day warfare.

More than 100 years have passed and this little Willie has become a staggering  global market in 2020 with a CAGR of 1.8 % over 2020-2027. The market is however concentrated on both sides with a few producers and buyers fulfilling and creating a major part of the total demand respectively.

General Dynamics Corporation, BAE Systems plc, Rheinmetall AG, Textron Inc.are some of the major players in the market. However, the domestic producers are also building third or fourth generation tanks.

MILITARY TANKS MARKET SIZE 

Out of approximately 73,000 battle tanks in the world, the top ten countries owning the maximum MBTs own more than 60% of the total. With Russia on the top with over 15 % ownership, followed by the USA, China, India, Egypt, North Korea, South Korea, Pakistan Turkey, and Ukraine respectively. But numbers alone can’t tell about the strength, some countries out of the whole have more modern MBTs than the rest.

MILITARY TANKS MARKET SEGMENTATION

By Geography

NORTH-AMERICA

The American military tanks market constitutes approximately a quarter of the global ground vehicles. The suppliers in the USA are heavily concentrated out of which General Dynamics, BAE Systems, Iveco defense systems constitute more than three-quarters of the total supply of America. Canada has a similar situation. Other countries like Brazil, Mexico, Chile, and Columbia rely heavily on imports.

EUROPE

Battle tanks and the modernization of their existing MBT fleet. Countries in the region, like France and Germany, are collaborating to produce the next generation MBTs. The demand is expected to be generated from the countries, like the United Kingdom, Italy, Finland, France, Germany, Croatia, Poland, Sweden, and Turkey, in the years to come. All these factors are expected to help the growth of the market in the region during the forecast period.

 Such partnerships may help to boost the growth of the revenues of the players.

ASIA-PACIFIC

This region accounted for the highest market share in the last year. Countries like China and India are the major forces behind this increasing demand of the Asia-pacific region. Both the countries are importing heavily along with the growth of domestic suppliers. China North Industries Corporation or NORINCO is a major manufacturer for indigenous defense systems in China with its latest shipments of VT-4 tanks to countries like Pakistan and Nigeria.

India, on the other hand, is set to replace their T-72 MBTs with FRCVs. Growing cross border tensions with neighbors like Pakistan and China will also drive up the demand of the region. With major companies like DRDO and Ashok Leyland, delivering the third or fourth generation of older tanks.

MIDDLE EAST AND AFRICA

In the middle east, the major spendings are on upgrading the major the MBTs. Countries like Israel are upgrading their fleets to new modern warfare systems, UAE is Buying APCs from its local manufacturing unit of Emirates defense technology. The increase in conflicts in Libya, Yemen, the Sinai, and Somalia has expanded the demand of the region at a rapid pace. The internal instabilities and cross-border conflicts in the region is a major opportunity for defense companies.

Also, Trade fairs like SOFEX in Jordan have been a major push factor in the trade of defense equipment from the western companies, which in turn is the USA majorly.

COMPANY PROFILES

1.  Mahindra & Mahindra Limited
2. Otomotiv Sanayi ve Ticaret AŞ
3. STREIT Group
4. NIMR Automotive LLC
5. BMC