Naval Missiles and Missile Launch Systems Market Size [2031]

Report Description

Naval Missiles and Missile Launch Systems Market Outlook 2031

The global systems naval missiles and missile launch market size was valued at USD XX Billion in 2022 and is likely to reach USD XX Billion by 2031, expanding at a CAGR of XX % during 2023 – 2031. The market's growth is attributed to increasing naval maritime spending.

Increasing naval maritime spending by naval forces and governments is expected to boost the demand for naval missiles and missile launch systems. Naval forces are advancing their naval fleet by upgrading and innovating their existing naval fleets with newer-generation vessels that have inbuilt missile systems. Thus, rising naval spending is estimated to boost the market.

Get Free Sample Report

A Naval missile is an intelligent unmanned rocket designed to carry the payload to destroy enemy ships at distances greater than 100 nautical miles. It is a long-range, precision strike weapon planned to deliver a large warhead over long distances with high precision.

A missile launch system is a super heavy-lift launch vehicle that provides the foundation for missiles. Naval missiles and missile launch systems are utilized at surface vessels and submarines.

The COVID-19 pandemic hampered the demand for naval missiles and missile launch systems. The rise in COVID-19 infection encouraged governments to deploy lockdowns and social distancing which imposed subsequent logistical challenges in the supply chain of raw materials required to manufacture naval missiles and missile launch systems, significantly impeding the market. Moreover, governments in emerging nations shifted their focus toward healthcare infrastructure instead of the defense sector, which hindered the market.

Impact of Artificial Intelligence (AI) on Naval Missiles and Missile Launch Systems

Growing adoption of advanced technologies in military and naval forces creates a lucrative opportunity in the market. The integration of artificial intelligence (AI) in naval missiles and missile launch systems is expected to propel the market. 

AI in naval missiles and missile launch systems analyzes historical data, conducts simulations, and considers various scenarios to empower naval commanders with improved decision-making capabilities.

AI-powered naval missiles and missile launch systems can generate accurate predictions and recommendations to improve situational awareness and evaluate possible tactical courses of action. Moreover, countries are developing and introducing AI-enabled naval missiles to secure their water borders, which creates an immense opportunity in the market. For instance,

• On July 25, 2023, The Navy of Iran took delivery of Abu Mahdi a naval cruise missile with a range of over 1,000 kilometers. Abu Mahdi missiles are equipped with artificial intelligence (AI) for precision strikes at low altitudes for radar-evading maneuvers.

Naval Missiles and Missile Launch Systems Market Dynamics

Get Free Sample Report

Major drivers

Growing conflicts in the South China Sea and Mediterranean Sea are expected to boost the demand for naval missiles and missile launch systems. These systems are widely adopted by naval forces during war situations as they help naval personnel attack relatively high-value targets such as ships, command bunkers, bridges, and dams. Therefore, increasing conflict in international waterbodies is projected to enhance the market.

Existing Restraints

High cost associated with missiles is expected to restrict the market. The cost of missiles is expensive as it includes an engine and guidance system which need several complex technologies and servers. Moreover, these missiles cannot change their course once in flight, making them vulnerable to interception by anti-missile systems, which is projected to hamper the market.

Emerging Opportunities

Growing competition among nations for establishing military dominance in seawater creates an immense opportunity in the market. Countries are testing and launching hypersonic naval cruise missiles, which creates a lucrative opportunity in the market.

For instance, on July 19, 2021, Russia successfully tested a Tsirkon (Zircon) hypersonic cruise missile from Admiral Gorshkov, a warship located in the White Sea.

Scope of the Naval Missiles and Missile Launch Systems Market Report

The report on the market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.

Naval Missiles and Missile Launch Systems Market Segment Insights

System Segment Analysis

Based on system, the naval missiles and missile launch systems market is bifurcated into missile and launch systems. The missile segment dominated the market in 2022 owing to rising global tension. Countries are heavily spending to equip their naval vessel fleet with advanced attack capabilities such as cruise and ballistic missiles.

Recently, India announced the acquisition of BrahMos supersonic cruise missiles to enhance the firepower of their new warships. This encourages the demand for missiles and significantly for naval missiles and missile launch systems.

The missile launch system is expected to grow at a considerable pace during the forecast period due to increasing threats of intermediate-range missile launches and asymmetric warfare. The missile launch system works as a means for launching a missile and allows the missile to be programmed by the fire control system to hit its target after launch, which enhances its adoption.

Application Segment Analysis

In terms of application, the global market is categorized into surface vessels and submarines. The surface vessels held a large market share in 2022 due to rising tension in international water bodies. Surface vessels are designed for warfare on the surface of the water, with their armed forces and weapons.

Missiles are launched from surface vessels due to their modular design and quick reaction time. Surface vessels provide enhanced payloads, propulsion, and rapid-fire capability, which encourages its adoption to launch missiles.

The submarine segment is anticipated to grow at a rapid pace in the coming years owing to rising focus on new technologies for combat systems and military surveillance and its ability to provide greater speed. Submarines are watercraft capable of independent operation underwater.  Submarines are widely used to launch missiles as they take full advantage of the ocean expanses to hide from enemy attack.

Get Free Sample Report

Regional Outlook

Based on region, the naval missiles and missile launch system is segregated into Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America accounted for a major share of the market in 2022 due to increasing advancements in military technologies and the presence of established market players such as RTX, Lockheed Martin Corporation, and General Dynamics Mission Systems, Inc.

Moreover, rising production of missiles in the region is estimated to boost the demand for naval missiles and missile launch systems. For instance, the US Navy plans to boost SM-6 production to 180 missiles per year by 2024.

The market in Asia Pacific is anticipated to expand at a high CAGR during the projection period owing to rising border tension and growing advancement in military equipment. Moreover, increasing testing and launching of missiles in the region by research institutes and governments is projected to enhance the demand for naval missiles and missile launch systems. For instance,

• According to a report published by the Ministry of Defense of India on June 7, 2023, Defense Research and Development Organization (DRDO) successfully tested new-generation ballistic missiles Agni Prime from Dr APJ Abdul Kalam Island, Odisha.

Get Free Sample Report