Armored Vehicles Market Size, Share, Growth Analysis, By Mobility (Wheeled, Tracked), By Type (Conventional, Electric), By Mode of Operation (Manned, Unmanned), By Point of Sale (OEM, Retrofit), By Region - Industry Forecast 2024-2031

Global Armored Vehicles Market size was valued at USD 29.45 Billion in 2022 and is poised to grow from USD 31.06 Billion in 2023 to USD 47.67 Billion by 2031, at a CAGR of 5.5% during the forecast period (2024-2031).

Armored combat vehicles are designed to safeguard against a range of threats, including IEDs, missiles, firearms, projectiles, and other weaponry. The expansion of this market is being driven by advancements in military vehicle technology, as well as innovations in weaponry, automotive design, electronics, and material science. New vehicles are now being introduced with advanced features such as active protection systems, reactive armor, programmable ammunition, and sophisticated autoloaders. Many countries are undertaking extensive modernization programs to enhance their Infantry Fighting Vehicle (IFV) fleets, aiming to boost both offensive capabilities and troop support. For example, the Spanish Ministry of Defence has awarded a contract worth EUR 1.74 billion (USD 2.06 billion) to General Dynamics European Land Systems-Santa Barbara Sistemas (GDELS-SBS) for the supply of 348 8x8 Dragon Wheeled Combat Vehicles (VCR). These will replace the aging Pegaso 3560 BMR armored personnel carriers and Pegaso VEC-M1 reconnaissance vehicles, which have been in service since the 1970s and 1980s. The delivery of these new armored vehicles is expected to commence soon, with the program potentially expanding to include up to 1,000 VCRs in the future. Government investments in defense and the increasing militarization of law enforcement agencies are creating profitable opportunities for the armored vehicle market. Additionally, the rise in global crime, riots, and terrorism is driving demand for advanced security and safety measures, further fueling the growth of the armored vehicle sector.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Armored Vehicles market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Armored Vehicles Market Segmental Analysis

Global Armored Vehicles Market is segmented based on platform, mobility, type, systems, mode of operation, AUV-propulsion, point of sale and region. Based on platform, the market is segmented into combat vehicles, combat support vehicles, unmanned armored vehicles. Based on Mobility, the market is segmented into Wheeled [4X4, 6X6, 8X8, 10X10, 12X12], Tracked. Based on Type, the market is segmented into Electrical and Conventional. Based on systems, the market is segmented into Engines [Diesel Engines, Turbine Engines], Drive Systems [Power Transmission Drives, Suspension & Braking Systems, Tracks & Wheels], Ballistic Armor [Composite Armors, Explosive Reactive Armors, Electric Armors, Homogenous Armors, Depleted Uranium Armors, Add-on Armors], Turrect Drives, Fire Control Systems, Armaments, Ammunition Handling Systems, Countermeasure Systems, Command & Control Systems, Power Systems, Navigation Systems, Observation & Display Systems, Hulls/Frames. Based on Mode of Operation, the segmented into Manned and Unmanned. Based on point of sale, the market is segmented into OEM and Retrofit. Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Drivers of the Global Armored Vehicles Market

Armored vehicles are essential for peacekeeping and humanitarian operations undertaken by international organizations and coalitions. They offer vital protection to personnel engaged in these missions, ensuring their safety in volatile environments. By safeguarding these individuals, armored vehicles help maintain stability and facilitate the effective delivery of aid in areas impacted by conflict. In addition to protecting personnel, these vehicles are instrumental in supporting the broader objectives of peacekeeping efforts. They enable the secure and efficient execution of missions in unstable regions, contributing to the overall success of humanitarian and stabilization initiatives.

Restraints in the Global Armored Vehicles Market

Armored vehicles come with substantial costs related to their acquisition, operation, and maintenance. The expenses involved in purchasing these vehicles, training personnel to use them, and maintaining them over time can be a major obstacle for many countries, particularly those with constrained budgets. For nations with limited financial resources, the high costs associated with armored vehicles can be a significant deterrent. These financial challenges can impact their ability to invest in such advanced military equipment, affecting their overall defense capabilities and operational readiness.

Market Trends of the Global Armored Vehicles Market

Armored vehicles are increasingly being designed as modular and multirole platforms to boost their operational flexibility. These advanced systems can be swiftly reconfigured with interchangeable modules tailored for specific missions, allowing them to adapt to a wide range of operational needs. This approach not only enhances versatility but also leads to cost efficiencies by minimizing the need for multiple specialized vehicle types. By enabling a single vehicle to perform various roles, this trend helps streamline operations and reduce overall expenditures.