As their name suggests, armored vehicles are designed to withstand major impacts caused by various weapons in certain warlike conditions. The basic motive of these vehicles is to keep the personnel inside safe from the enemy fire. Apart from the armored fight vehicles, tanks, ships and aircraft, vehicles used by reporters, officials, presidents and valuable transports also use these vehicles. The global armored vehicle market is gaining strength from the unstable global scenario involving conflict and demand from the developing countries. Growing importance of homeland security and investments from the developing countries are also creating better opportunities in this industry, on global scale.
Overview Armored Vehicles Market
Researchers have categorized this industry on the basis of the types of products, technologies and applications. Geographic regions are also taken into consideration while evaluating the growth and demand patterns in the armored vehicle market. Careful analysis of all these segments provides detailed view in terms of the trends, driving factors, challenges and future investment opportunities for the key players and new entrants. According to the segmentation analysis, the defense segment is set to dominate the global market, wherein, Europe and North America contribute to majority of the market share and revenue channels.
However, diverse applications and demand from various other industrial verticals are said to be the positive sign for this market. The armored vehicle market is witnessing growth in demand from various industrial verticals with political and industrial efforts. The major driving factors for the industry include growing internal as well as external threats and security breaches, modernization of the vehicle armor and other components used in armored vehicles. Increased commercialization of these vehicles and changing trends of adoption by various new customers are also driving the industry. Modernization and technological advancements in the industry will also be supported by the consciousness about security.
All these driving factors are expected to help the armored vehicle market to grow at an estimated CAGR of over 4.9% from 2014 to 2019. At the estimated CAGR, the market is also expected grow from $22.50 billion in 2014 to reach past $28.62 billion by the end of the forecasting timeframe in 2019. During the forecasting period, lack of clarity towards the commercial investments and financial uncertainties are expected to be the major hindrances for the market. Social scenarios and political environment on the other hand are expected to be the basic challenges for the global industry. During the forecasting span, emerging markets like Middle East, Asia Pacific and Latin America are expected to witness strong growth, while North American market is anticipated to witness major decline.