DUBLIN--(BUSINESS WIRE)--The "Military Truck Market: Analysis By Type, By Application, By Propulsion, By Transmission, By Region Size and Trends - Forecast up to 2029" report has been added to ResearchAndMarkets.com's offering.
The global military truck market value stood at US$23.59 billion in 2023, and is expected to reach US$28.96 billion by 2029. The market is expected to grow at a CAGR of 3.48% over the projected period of 2024-2029.
The worldwide military truck market has witnessed considerable expansion, largely driven by an increase in defense expenditure. Heightened geopolitical tensions and conflicts have reinforced the need for nations to enhance their military capabilities, leading to the acquisition of modern and adaptable military trucks for their armed forces.
Moreover, advancements in technology have enabled the development of exceptionally advanced military trucks, equipped with state-of-the-art communication, navigation, and armor systems, making them highly appealing to defense agencies on a global scale. Additionally, the rapid mobilization of troops and resources in reaction to emergencies and humanitarian crises further contributes to this growth.
North America dominated the market in 2023. With substantial defense budgets and an evolving security landscape, the US and Canada are expected to increase their investments in advanced military transport solutions. In particular, ongoing modernization efforts within the US military are driving demand for technologically advanced military trucks. These trucks come equipped with features such as improved communications, autonomous capabilities, and enhanced durability, enabling them to adapt to various combat scenarios.
Over the past decade, the Asia Pacific region has witnessed a significant evolution in the military truck industry. Notably, China, Japan, and India have emerged as key players shaping the trajectory of the military trucks market in the region. This growth is driven not only by domestic demand but also by increasing exports, as China aims to establish itself as a global supplier of military trucks. Strategic partnerships and collaborations with international defense giants are facilitating technology transfers and expanding China's global footprint in this sector. The Indian military truck market is experiencing substantial investments aimed at enhancing mobility, logistics, and troop transport capabilities.
Market Segmentation Analysis:
By Type: The report identifies three segments on the basis of military truck types: Light Truck, Medium Truck, and Heavy Truck.
In 2023, the heavy military truck segment led the market as these trucks play a crucial role in logistics, troop transport, and equipment deployment due to their strength, carrying capacity, and off-road capabilities. Additionally, the market is witnessing an increasing demand for armored military trucks, addressing security concerns and specific operational needs. While the heavy truck segment commands the highest market share, the medium truck segment is poised to be the fastest-growing type in the coming years.
By Application: On the basis of application, the global military truck market can be divided into three segments namely, Troop, Cargo/Logistics, and Others.
In 2023, the troop military truck segment dominated the market due to its reliability, durability, and off-road capabilities, ensuring the swift deployment and resupply of troops, thus enhancing operational readiness.
As armed forces modernize and expand their capabilities, the demand for versatile and efficient military truck segments remains constant. The Cargo/Logistics military truck segment is expected to experience the highest CAGR. This is due to the fact that these trucks are equipped with specialized features, such as off-road capabilities, enhanced suspension systems, and ample cargo-carrying capacity, which ensure the safe and timely delivery of essential resources.
By Propulsion: On the basis of propulsion, the global military truck market can be divided into three segments namely, Diesel, Gasoline, and Electric/Hybrid.
In 2023, the diesel segment dominated the market, primarily because diesel plays a pivotal role in military trucks, serving as the primary fuel source for their powerful engines. Diesel engines provide the high torque and fuel efficiency necessary for heavy-duty military operations, ensuring reliable performance in various terrains and conditions. The Electric/Hybrid military truck segment is expected to experience the highest CAGR, primarily because electric/hybrid military trucks offer silent operation, lower fuel consumption, and reduced emissions, making them ideal for stealth missions and sustainability objectives.
By Transmission: On the basis of transmission, the global military truck market is divided into two segments namely, Automatic and Manual.
In 2023, the automatic segment emerged as the dominant segment in the market. These vehicles are equipped with advanced technologies that empower them to function without human intervention. They utilize artificial intelligence, sensors, and GPS systems to autonomously carry out tasks, including convoy operations, resupply missions, and logistics support. Additionally, the automatic military truck segment is also poised to exhibit the highest CAGR. The surging demand for automatic military trucks stems from their potential to heighten operational efficiency, mitigate risks to personnel in hazardous settings, and enhance the overall efficacy of military logistics.
Competitive Landscape:
The global military truck market is fragmented. However, the market share of organized players has increased significantly over the last few years and is expected to continue given the wide product offerings, better service, and higher brand visibility.
Established players in the market have strong distribution networks at a global level. Established players dominate the market due to their extensive experience, robust financial capabilities, and strong global distribution networks. These companies often leverage their technological expertise and well-established supply chains to cater to diverse military requirements worldwide. In contrast, smaller regional players and niche manufacturers focus on specialized offerings and competitive pricing to meet the localized demands of their respective markets.
Some of the strategies among key players in the market are new launch, innovations, mergers, acquisitions, and collaborations. For instance, On December 19, 2024, IDV, the brand of Iveco Group specialised in defence and civil protection equipment, signed a contract with the Direzione Armamenti Terrestri (DAT) of the Italian Ministry of Defence for the supply of 1,453 tactical-logistic trucks. The new vehicles, to be delivered in the period extending from 2025 to 2038, represent an important step in the renewal and modernisation of the Italian Army's fleet of tactical-logistic vehicles.
Market Dynamics
Growth Drivers
- Rise in Defense Expenditure
- Expansion of Military Troops
- Military Modernization Programs
- Massive Demand for Transportation Purpose
- Rise in Geo-Political Tensions
Challenges
- High Initial Investment
- Growing Use of Robots in Military
Market Trends
- Adoption of Modern Military Truck
- Government Initiative to Replace Existing Trucks
- Adaptability in Non-Permissive Environment
- Light and Mini Trucks
- Increase In Advanced Military Trucks With A Superior Payload Capacity
- Electric Military Trucks
The key players in the global military truck market are:
- Iveco Group N.V.
- Rheinmetall AG
- Oshkosh Corporation
- Mercedes-Benz Group AG
- Tata Motors Group
- Mitsubishi Heavy Industries, Ltd.
- Volvo Group (Arquus)
- DAF Trucks N.V.
- Kia Corporation
- Navistar Defense LLC
For more information about this report visit https://www.researchandmarkets.com/r/5qa0mx
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