PUBLISHER: The Business Research Company | PRODUCT CODE: 1429982
PUBLISHER: The Business Research Company | PRODUCT CODE: 1429982
Warships and naval vessels are integral defense systems serving military operations at sea, belonging to a nation's naval forces. These vessels, faster and more secure, play a crucial role by carrying weaponry, ammunition, and essential supplies for the crew.
The primary categories of warships and naval vessels include submarines, aircraft carriers, and general warships. Submarines are submersible vessels capable of independent operation underwater. These vessels are divided into operational segments comprising the surface fleet and undersea fleet. Surface fleets are a specific category of navy vessels armed with weaponry and personnel for surface warfare. The end-user segment encompasses destroyers and frigates, tailored to the requirements of the force utilizing these vessels. Furthermore, the application segment includes purposes such as rescue operations, defense maneuvers, and other specific operational uses.
The warship and naval vessels market research report is one of a series of new reports from The Business Research Company that provides warship and naval vessels market statistics, including warship and naval vessels industry global market size, regional shares, competitors with a warship and naval vessels market share, detailed warship and naval vessels market segments, market trends and opportunities, and any further data you may need to thrive in the warship and naval vessels industry. This warship and naval vessels 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 warship and naval vessels market size has grown rapidly in recent years. It will grow from $72.37 billion in 2023 to $83.34 billion in 2024 at a compound annual growth rate (CAGR) of 15.2%. Historical growth in the sector can be attributed to heightened maritime disputes and conflicts among nations, amplified military expenditure, and robust economic growth in emerging markets.
The warship and naval vessels market size is expected to see rapid growth in the next few years. It will grow to $142.77 billion in 2028 at a compound annual growth rate (CAGR) of 14.4%. The anticipated growth in the forecast period is driven by rising global defense spending, and accelerated economic development. Key trends expected during this period encompass the use of eco-friendly materials, advancements in artificial intelligence, the development of unmanned warships and naval vessels, integration of Internet of Things (IoT) technology, strategic partnerships, and increased investments.
The warship and naval vessels market are experiencing growth propelled by an increase in global defense spending. Recent years have witnessed a surge in defense expenditures globally, driven by escalating regional conflicts. Countries are directing substantial investments towards the enhancement of their defense capabilities, specifically in naval vessels, to safeguard their maritime interests. Notable instances include the UK government's investment of $131.67 million (£110 million) in September 2021 for frontline radio communications and the Defence Acquisition Council of India's approval of a $307.12 million (Rs. 2000 crores) investment in November 2021 to bolster military communications. This upswing in defense spending worldwide is anticipated to significantly contribute to the expansion of the warship and naval vessels market.
The growth trajectory of the warships and naval vessels market is further supported by stable economic growth forecasts in numerous developed and developing countries. The anticipated stability in economic growth during the forecast period is poised to drive increased investments, improved policies, augmented spending, and technological advancements in support of the warships and naval vessels market. Projections indicate a global average GDP growth of 3.5% per year between 2022-2025, with the USA's real total GDP expected to register a stable growth of 3.6% by 2025. Additionally, emerging markets are projected to outpace developed markets in terms of growth, with Asia's share of world GDP expected to increase to 40% by 2030 and 52% by 2050, according to the Asian Development Bank. This sustained economic growth is foreseen to amplify the demand for warships and naval vessels, thereby propelling market expansion.
Warship and vessel manufacturers are increasingly embracing advanced and environmentally friendly materials to address pollution and environmental damage in oceans, a consequence of escalating war and conflict activities among nations. In response to these concerns, manufacturers within the maritime industry are adopting a greener approach, incorporating sustainable materials such as fiber-reinforced plastic. This strategic shift aims to minimize the carbon footprints of ships and contribute to environmental conservation. For instance, in March 2021, Hyundai Mipo Dockyard and Korea Shipbuilding & Offshore Engineering (KSOE) entered into a commercial agreement with the American Bureau of Shipping (ABS) and the Marshall Islands Flag State to develop a liquefied carbon dioxide carrier. This collaboration seeks to design a ship capable of sustaining and transporting liquid carbon dioxide under low temperatures and high pressures.
The integration of artificial intelligence (AI) is gaining prominence in the warships and naval vessels market. AI is leveraged to reduce the required number of crew members by automating various functions and facilitating faster decision-making processes. In a notable example, China launched the world's first crewless drone carrier in June 2022, employing AI to autonomously navigate open oceans. This autonomous ship has the capacity to transport a variety of underwater, airborne, and marine drones equipped with diverse observational tools. The data gathered from these autonomous systems enhances China's anti-submarine warfare capabilities, aids in surveillance and domain awareness, and facilitates the navigation of People's Liberation Army (PLA) submarines.
In March 2021, Mitsubishi Heavy Industries, a Japan-based firm, disclosed its acquisition of shipbuilding services company Mitsui E&S Holdings for 5 billion yen ($46 million). This acquisition solidifies Mitsubishi Heavy Industries' position as Japan's leading defense contractor, claiming a 54% share in the country's naval vessel market. The company aims to achieve a 10% to 20% sales growth in its defense and space segment over the next five years. As part of the deal, Mitsubishi Heavy Industries will take over Mitsui E&S's Tamano Works, which launched Japan's latest submarine-hunting ship last year, along with around 400 of the 700 workers employed there. Mitsui E&S Holdings, the acquired company, specializes in providing shipbuilding services.
Major companies operating in the warship and naval vessels market report are General Dynamics Corporation, Huntington Ingalls Industries Inc., BAE Systems PLC, Lockheed Martin Corporation, Fincantieri S.p.A, ThyssenKrupp AG, Hyundai Heavy Industries Co., Ltd., Mitsubishi Heavy Industries, Daewoo Shipbuilding & Marine Engineering Co. Ltd., Austal, Garden Reach Shipbuilders & Engineers, Reliance Naval and Engineering Limited, Korea Shipbuilding and Engineering Corporation, China State Shipbuilding Corporation, China Shipbuilding & Offshore International Co. Ltd., Hudong-Zhonghua Shipbuilding, Babcock International Group, Spanish National Research Council, Navantia, Kawasaki Heavy Industries, Curtis-Wright, Finmeccanica, Kongsberg, Raytheon, Emgepron, Estaleiro Atlantico Sul, Industria Naval do Ceara, Madeira Island Submarine Base, Itaguai Construcoes Navais, Lamprell Energy Ltd., Sharjah, Gulf Automation Services and Oil Field Supplies Company, Abu Dhabi Ship Building Company, Southern African Shipyards (Pty) Ltd., EBH Elgin Brown and Hamer Durban, DCD Marine Shipyards South Africa, Fincantieri
North America was the largest region in the warship and naval vessels market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the warship and naval vessels market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the warship and naval vessels market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The warship and naval vessels market consists of sales of cruisers, corvettes, littoral combat ships, and amphibious assault ships. 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.
Warship And Naval Vessels Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on warship and naval vessels 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.
Where is the largest and fastest growing market for warship and naval vessels? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The warship and naval vessels 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, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.