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Precision guided munitions are weapons that can accurately reach and destroy specific targets by releasing a small amount of explosives. They offer strategic advantages over unguided weapons through precisely controlled flight path and damage containment. These weapons incorporate various technologies including RADAR, laser and GPS/INS for guidance.
The global Precision Guided Munition Market is estimated to be valued at US$ 35.85 Bn in 2023 and is expected to exhibit a CAGR of 7.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The rising demand for enhanced target accuracy is a major factor propelling the growth of precision guided munition market. Precision guided munitions allow militaries to minimize collateral damage and maximize destruction of desired targets through technologically advanced guidance systems. With increasing geopolitical conflicts, the emphasis on reducing civilian casualties has led to greater reliance on precision weapons. This trend is expected to continue in the coming years, thereby supporting the demand for precision guided munitions across key regions.
SWOT Analysis
Strength: Precision Guided Munitions have high accuracy and effectiveness against targets. They cause less collateral damage compared to unguided munitions.
Weakness: Precision Guided Munitions have high production and integration costs. Technological sophistication also makes them complex to operate.
Opportunity: Ongoing geo-political tensions and modernization of armed forces globally is driving increased demand. Development of miniaturized sensors and navigation systems allows usage on smaller platforms.
Threats: Non-state actors and terrorist organizations can potentially acquire these munitions through unregulated arms trade increasing risks. Regulations around export and technology transfers pose challenges.
Key players: Key players operating in the Precision Guided Munition market are Lockheed Martin Corporation, Northrop Grumman Corporation, Raytheon Technologies Corporation, General Dynamics Corporation, BAE Systems, Rheinmetall AG, SAAB, Elbit Systems Ltd,
Regional analysis: North America region currently dominates the market supported by heavy investments in defense modernization programs by US and Canada. However, Asia Pacific region is expected to witness fastest growth led by procurement plans of India, China, Japan and South Korea. Growing regional geopolitical tensions are a key factor driving demand.
Key Takeaways
The global Precision Guided Munition Market is expected to witness high growth over the forecast period of 2023 to 2030. The market size for 2023 is estimated to be US$ 35.85 Bn growing at a CAGR of 7.1% through 2030.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
