Vehicle Armor Market size valued at USD 6.7 billion in 2019 and will grow at a CAGR of 4.5% between 2020 and 2026

Vehicle Armor Market Size
Vehicle Armor Market size was worth USD 6.7 billion in 2019 and will increase at a CAGR of 4.5% during the forecast period from 2020 to 2026.

increasing government expenditure on the defense industry to enhance armament strength will drive industry growth.

Increased military budgets will drive the rate of procurement of armored vehicles over the coming years. The world military spending grew more than 7% between 2010 and 2019. Rising conflicts and politically unstable conditions will alter the nature of combat operations. International terrorism is also a significant threat to most nations, which forces them to upgrade their weapons. Moreover, the rising issues related to small ballistic weapons will create the demand for effective vehicle armor by land weapon industries.

Political instability in the Middle East will further fuel vehicle armor market demand. The Syrian civil war, volatile situations in Yemen, and growing terrorism activities are compelling nations in this region to enhance their defense capabilities. The acquisition of armored vehicles will follow an upward growth pattern supported by favorable economic conditions and massive investments. This will assist the nations in consolidating the land arms industry to modernize stockpiles and enhance military strength.

Vehicle Armor Market Report Attributes
Report Attribute Details
Base Year 2019
Vehicle Armor Market Size in 2019 6.7 Billion (USD)
Forecast Period 2020 to 2026
Forecast Period 2020 to 2026 CAGR 4.5%
2026 Value Projection 9.1 Billion (USD)
Historical Data for 2016 to 2019
No. of Pages 130
Tables, Charts & Figures 144
Segments covered Material, Vehicle and Application
Growth Drivers
Increasing military spending worldwide
Positive trends related to armored vehicle procurement
Technological advancements related to the production of armored vehicles
Pitfalls & Challenges
Challenges related to untapped markets

The arrival of technology will likely create numerous opportunities for the development of vehicle armors up to 2026. The incorporation of artificial intelligence, virtual training, sensor systems, active protection systems, and survivability equipment will help enhance the performance of armor systems, thus ensuring greater protection for soldiers.

In addition, firms are investing heavily in research & development processes in order to create lighter and effective materials for the construction of vehicle armor. This will facilitate the weight reduction of the vehicles and improve their mobility during battle.

Automotive armor industry can be challenged by the constraints encountered by the auto armor manufacturers when venturing into new and emerging markets. The manufacturers can fail to obtain hold of the market in a short time due to high government regulations, failure to build relationship with suppliers, and limited budgets. These trends can have a negative impact on the growth of the market.

Vehicle Armor Market Analysis
Metals material segment accounted for approximately 75% vehicle armor market share in 2019 and will retain dominance in the market through 2020-2026 underpinned by their versatility. Metals have always been the traditional go-to armored vehicle material of choice. The most common metal used in producing armor is steel, with some applications using aluminum, magnesium, and titanium as well.

The two most common forms of steel armor are Rolled homogeneous armor (RHA) and cast homogeneous armor (CHA). Steel has good toughness, hardness, and fatigue resistance. It is easily cut, machined, welded & formed, and is easily field repairable.

The market for armored fighting vehicles is expected to experience over 4.5% CAGR during 2026 driven by increased acquisition of armored personnel carriers (APC) and mine-resistant ambush protected (MRAP) vehicles. The robust growth of this segment is due to the growing need for flexible, lighter, and agile vehicles that can offer strategic advantage on battlefields.

Advances related to ballistic protection, blast protection, and counter-IED will reshape the armored fighting vehicles industry in the next few years. Advances in technology regarding active protection systems, modular ballistic armor systems, information integration, and active mine protection systems will drive vehicle armor market growth.

Find out more about the prominent segments determining this marketThis civilian use is expected to rise above 5% CAGR during the period of 2020-2026. The armored vehicles are predominantly utilized by government leaders, diplomats, police officers, etc., for security purposes. These days, there is a surge in demand for armored cars among high net worth individuals, corporate moguls, and celebrities for security purposes. The armor reinforcement from bulletproof glass to run-flat tires is being used within vehicles to protect passengers from all types of attacks.

Discover more about the most important segments driving this market

Asia Pacific accounted for approximately 30% of vehicle armor market share in 2019 due to the increase in border conflicts alongside strengthening military capacities of other nations. Japan’s Ministry of Defense awarded a contract to BAE Systems for 30 new attack amphibious vehicles recently. In March 2017, the Royal Thai army purchased armed vehicles from China. In the same year, the Indonesian army acquired five new armored personnel carriers from a Ukrainian company.

Vehicle Armor Market Share

The key vehicle armor industry participants are focusing on product differentiation & development by investing in research & development activities to improve the product capabilities. The manufacturers include

• Kaiser Aluminum
• CoorsTek
• Composhield A/S
• DuPont
• Armormax
• ATEK Defense Systems
• Garanti Kompozit
• Permali
• ASL GRP
• DEW Engineering and Development ULC
• SSAB
• MTL Advanced Ltd.
• Multotec Group
• Plasan Sasa Ltd.
• AMEFO
• MKU Limited
• Tenate Advanced Armor.