Naval Combat Systems Industry Research Report 2024

Dublin, Oct. 18, 2024 (GLOBE NEWSWIRE) -- The "Naval Combat Systems Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2019-2029F" report has been added to ResearchAndMarkets.com's offering.

The Global Naval Combat Systems Market was valued at USD 36.77 billion in 2023, and is expected to reach USD 50.54 billion by 2029, rising at a CAGR of 5.50%. The global naval combat systems market is experiencing robust growth due to several key drivers and evolving trends. The primary growth driver is the increasing need for advanced defense mechanisms to ensure national security amidst rising geopolitical tensions.



Modern naval combat systems, including radar systems, missile defense systems, and electronic warfare equipment, are crucial for enhancing the strategic capabilities of naval forces. Technological advancements, such as the integration of artificial intelligence and automation, are significantly improving the effectiveness and efficiency of these systems. The push for modernization of naval fleets globally, coupled with the increasing defense budgets of nations, is further fueling market growth.

Emerging trends in the naval combat systems market highlight a shift towards more sophisticated and interconnected systems. The development of network-centric warfare capabilities is transforming naval combat strategies by enabling real-time data sharing and enhanced situational awareness. There is a growing emphasis on modular and adaptable systems that can be customized to meet diverse mission requirements. The integration of unmanned and autonomous systems into naval combat operations is also gaining traction, providing enhanced operational flexibility and reducing human risk. These trends reflect a broader move towards more versatile and integrated combat solutions in modern naval warfare.

The market faces several challenges that could impact its growth trajectory. One of the primary challenges is the high cost associated with the development and deployment of advanced naval combat systems. The complexity of these systems often leads to extended development cycles and substantial investment requirements, which can be a barrier for some nations and defense contractors. The rapid pace of technological change requires continuous upgrades and innovations, which can strain resources and budgets. Moreover, the need for interoperability among different systems and international standards can pose technical and regulatory challenges. Addressing these challenges while maintaining the momentum of growth will be crucial for stakeholders in the naval combat systems market.

Modernization and Recapitalization of Naval Fleets

One of the foremost market drivers of the Global Naval Combat Systems Market is the urgent need for modernization and recapitalization of naval fleets across the world. Many countries with significant maritime interests are faced with aging naval vessels and combat systems that have reached the end of their operational lifespans. As a result, nations are embarking on ambitious naval modernization programs to upgrade their capabilities and maintain a competitive edge in the maritime domain. Many naval fleets are equipped with vessels and systems that have been in service for several decades, making them technologically outdated and operationally less effective.

Geopolitical Tensions and Maritime Security Concerns

Geopolitical tensions and maritime security concerns are key drivers shaping the Global Naval Combat Systems Market. As countries seek to protect their territorial waters, exclusive economic zones (EEZs), and maritime interests, there is a growing emphasis on enhancing naval capabilities to deter potential adversaries and assert control over strategically important regions. Geopolitical tensions often revolve around territorial disputes and conflicting claims in the South China Sea, the Black Sea, and other regions, intensifying the need for naval presence. The defense of freedom of navigation and the protection of global maritime trade routes, such as the Strait of Hormuz and the South China Sea, are crucial security concerns.

Emerging Naval Technologies and Innovations

The continuous development of emerging naval technologies and innovations is a significant driver of the Global Naval Combat Systems Market. Advancements in areas such as artificial intelligence, autonomous systems, directed energy weapons, and stealth technologies are revolutionizing naval warfare and shaping the future of naval combat systems. AI and machine learning enable advanced data analysis, predictive maintenance, and autonomous operations, enhancing the effectiveness and efficiency of naval vessels. The proliferation of unmanned surface vessels (USVs) unmanned underwater vehicles (UUVs), and unmanned aerial vehicles (UAVs) extends the reach and capabilities of naval forces.

High-energy lasers (HEL) and radiofrequency (RF) weapons offer rapid and precise engagement of threats, reducing the reliance on conventional ammunition. Advancements in stealth technologies are making naval vessels more difficult to detect and track, enhancing survivability in modern naval warfare. The protection of naval systems against cyber threats and the integration of electronic warfare capabilities are critical in maintaining operational security. These emerging naval technologies drive research, development, and innovation in the Global Naval Combat Systems Market. Nations invest in these technologies to maintain a technological edge and stay competitive in the evolving maritime security landscape.

In December 2023, it was announced that the SSN-AUKUS submarine, a joint project of Australia and the UK, will feature an upgraded AN/BYG-1 Combat Control System. This system is already used on the Royal Australian Navy's Collins-class submarines and various US Navy nuclear-powered submarines.

Automation and Unmanned Systems

Automation and the use of unmanned systems are increasingly prevalent trends in the Global Naval Combat Systems Market. Automation streamlines operations, reduces crew workload, and improves vessel performance, while unmanned systems extend the reach of naval forces and enhance mission flexibility. Naval combat systems are becoming more automated, allowing for quicker target engagement, fire control, and decision-making. Automation reduces crew workload and enhances the accuracy of weapon systems. Unmanned surface vessels are employed for a range of missions, including mine countermeasures, anti-submarine warfare, and reconnaissance. These systems extend naval capabilities by operating in areas that may be too hazardous for manned vessels.

Segmental Insights

Type Insights

Electronic Warfare (EW) is the fastest-growing segment in the Naval Combat Systems Market due to its critical role in modern naval operations, driven by evolving threats and advancements in technology. The increasing sophistication of electronic threats, including radar, communication jamming, and cyber-attacks, has heightened the need for advanced EW capabilities. Naval forces worldwide are prioritizing EW systems to detect, disrupt, and neutralize these threats, ensuring mission success and survivability in contested environments.

The rise of asymmetric warfare, where non-state actors and smaller nations employ unconventional tactics, further underscores the importance of EW. These actors often rely on electronic means to level the playing field against technologically superior adversaries. Consequently, naval forces are investing heavily in EW to counter these tactics, protect their assets, and maintain a strategic advantage.

Technological advancements, such as artificial intelligence (AI), machine learning (ML), and the integration of cyber capabilities, have also propelled the growth of EW in the naval domain. These innovations enable more sophisticated and adaptive EW systems, capable of responding to emerging threats in real-time. Additionally, the shift towards network-centric warfare, where information dominance is crucial, has increased the demand for EW systems that can safeguard communication networks and data links from electronic attacks.

The global geopolitical landscape, characterized by rising tensions and territorial disputes, particularly in maritime regions, has led to increased naval spending on EW systems. Nations are upgrading their naval fleets with state-of-the-art EW technologies to enhance their deterrence capabilities and ensure maritime security. This focus on modernizing naval combat systems, coupled with the growing reliance on electronic and cyber warfare, is driving the rapid expansion of the EW segment in the Naval Combat Systems Market.

Regional Insights

Asia-Pacific dominated the Naval Combat Systems Market due to its strategic significance, rising defense budgets, and ongoing territorial disputes. The region's vast maritime expanse, including critical sea lanes and contested waters, has made naval power a top priority for many Asia-Pacific nations. Countries like China, India, Japan, and South Korea are heavily investing in modernizing their naval fleets to enhance their maritime security, assert territorial claims, and project power across the region.

China, as the region's largest economy and a major military power, has been a key driver of growth in the Asia-Pacific Naval Combat Systems Market. The country's aggressive naval expansion, including the development of advanced destroyers, submarines, and aircraft carriers, has spurred other regional powers to enhance their naval capabilities in response. This arms race has accelerated the demand for cutting-edge naval combat systems, including radar, sonar, missile defense, and electronic warfare systems, as nations seek to maintain a competitive edge.

The Asia-Pacific region is characterized by several ongoing territorial disputes, such as those in the South China Sea and the East China Sea, which have further intensified the focus on naval strength. These disputes, involving multiple countries with overlapping claims, have led to increased naval deployments and the need for advanced combat systems to ensure maritime dominance and deter potential conflicts.

The region's economic growth has also played a crucial role in its dominance in the naval market. Rapid economic development has enabled Asia-Pacific nations to allocate substantial resources to defense spending, allowing for significant investments in naval combat systems. This economic capability, combined with the region's geopolitical dynamics, has cemented Asia-Pacific's position as the leading market in the global Naval Combat Systems industry.

Key Attributes:

Report Scope:

Key Market Players

• BAE Systems PLC
• Lockheed Martin Corporation
• RTX Corporation
• Thales Group
• General Dynamics Corporation
• Saab AB
• L3Harris Technologies Inc.
• Northrop Grumman Corporation
• Safran SA
• Elbit Systems Ltd.

Naval Combat Systems Market, By Type:

• Weapon Systems
• Electronic Warfare
• C4ISR

Naval Combat Systems Market, By Platform Type:

• Aircraft Carrier
• Destroyers
• Frigates
• Corvettes
• Submarine

Naval Combat Systems Market, By Region:

• Asia-Pacific
• China
• India
• Japan
• Indonesia
• Thailand
• South Korea
• Australia
• Europe & CIS
• Germany
• Spain
• France
• Russia
• Italy
• United Kingdom
• Belgium
• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Turkey
• Saudi Arabia
• UAE

For more information about this report visit https://www.researchandmarkets.com/r/ogu9px

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Attachment

• Global Naval Combat Systems Market