Armored Vehicle

What Is The Global Positioning Of The Armored Vehicle Market?

Armored vehicles are protected by very strong armor and generally armed with robust weapons which combine defensive, tactical offensive and operation mobility capabilities which can be tracked easily. Some of the most known types of armor vehicles include tanks, flame tank, infantry tank, armored car, aerosani, reconnaissance vehicle, mortar carrier, multiple rocket launcher, improvised fighting vehicle, armored personnel carrier, infantry fighting vehicle, tankette, air defense vehicles, self-propelled artillery, amphibious vehicle, armored engineering vehicle, tank destroyer and armored train.

A military armored vehicle is usually employed for reconnaissance, armed escort, internal security as well as other battlefield tasks. The classification of armored fighting vehicles is done based on their intended battlefield role and characteristics, both of which are not absolute. With different nations engaging in conflict at high frequencies over territorial or resource disputes, there is a need by military forces around the globe of vehicles that would help them in undermining the enemy. All this has created huge demand for them.

Tactical military carriers are constructed primarily for use by the military personnel. Armored personnel carrier (APC) are used for safer deployment of infantry to battle fields or high threat range and it can be distinguished from infantry fighting vehicle (IFV) based on the weapons it bears. There have been major upgrades to armored vehicles in terms of technology, which has made them an attractive prospect for law enforcement agencies as well. Lenco Industries’ ‘Lenco BearCat’ is now being increasingly preferred by law enforcement agencies in the United States.

In-depth report on global armored vehicle market by Grand View Research:

www.grandviewresearch.com/industry-analysis/armored-vehicle-market

The armored vehicle market is expected to show promising growth in the coming years, with different regions requiring their use for a variety of purposes. Following factors are expected to aid market growth:

Armored vehicles provide protection in severe mine attacks, thus playing a critical role in military and defense sector. In view of this, special kinds of vehicles were introduced such as mine resistant ambush protected vehicles (MRAPs) which are extensively used in the military sector.
Armored vehicles are also being used for transporting valuables for banks as well as retail companies, as they provide strong protection against any attempts of robbery and hijacking, and this is again creating market attractiveness for armored vehicles.
The global market is expected to significantly grow in the coming years as it is not only used in the defense sector but also in the commercial sector.
In spite of the market being saturated in the U.S., there is a substantial amount of growth in the Asia Pacific and Middle East, as the investment in defense in these regions increased significantly over the past few years.
Furthermore, these countries are taking precautionary measures to hinder various threats from cross border terrorists, civilian unrest due to contrast in ideas and rebellious groups. This in turn is expected to have a positive impact on the market over the forecast period.
Ascending concern to safeguard military personnel is foreseen to drive unmanned ground military carrier demand over the forecast period.
Armored vehicle market in Asia Pacific is expected to show tremendous growth owing to government initiative to enhance its military power to counter internal or external terrorism. This region accounted for over 25% of the global share in 2014.
In Asia Pacific, China has drastically increased its expenditure in defense sector which is expected to have a positive impact on the market over the forecast period.
MEA is expected to witness growth on account of recent terrorism activity and rising dissension in Iraq.
Growing need to protect the military recruits from various attacks including mine and fire is expected to drive product industry over the coming years.

North America armored vehicle market is expected to show stagnant growth over the forecast period owing to finite defense budget. The U.S. held over 80% of the overall North America revenue share in 2014. The acquisition of armored vehicle for homeland security is expected to increase in future. “The Beast” is an armored vehicle used in the U.S., which can withstand a missile attack and even has the capability to protect the occupants against any chemical weapons.

There are various potential restraints that can hold back the market. Some of them are:

The major challenge for the armored vehicle industry is that it is majorly dependent on the defense sector, and commercial applications currently constitute a comparatively small percentage.
Also holding the industry back is the absence of major Original Equipment Manufacturers from the Middle East region, even though the region is a hotbed of war and combat situations, as most of the OEMs are from North America and Western Europe.
Another potential challenge for the market is mechanical or electrical failure of these vehicles, as the market does not allow small margins for error. A recent example can be considered of Komatsu, whose development of Wheeled Armored Vehicle had to be stopped, as the ATLA (Japan’s Defense Ministry) found issues with the armor quality.

From modernization programs, sufficient amount of investment is expected in this industry. However, there is a significant reduction in the investment in defense sector by the U.S. government and the western countries. Key players in the armored vehicle market include:

Oshkosh Defense, LLC
BAE Systems
Rheinmetall AG
Daimler AG (Mercedes Benz)
General Dynamics Corporation
INKAS Armored Vehicle Manufacturing
International Armored Group
Krauss-Maffei Wegmann GmbH & Co. (KMW)
Lenco Industries, Inc.
Lockheed Martin Corporation
STAT, Inc.
Textron, Inc.

These market players are making big investments in developing cutting-edge technologies, in order to steal a march on their competitors. Some of the most recent developments in the market include:

In September 2019, the Dutch Army announced that it had selected BAE Systems for integration of Elbit Systems’ Iron Fist APS (Active Protection System) solution for its CV90 Infantry Fighting Vehicle fleet. The Army had been working with BAE Systems Hägglunds since 2015 regarding this development. The system is expected to provide the Dutch Army with tools to counter threats and protect the crew.
In September 2019, INKAS® announced that they have added the Bentley Bentayga SUV to their armored car lineup. The vehicle provides ballistic protection for battery, fuel and electronic control unit compartments, with further upgrades such as tail pipe protection, electric door handles, and smoke screen system also possible.
In September 2019, Lockheed Martin Corp., the U.S. arms maker, announced the reception of an 8 million USD contract from the U.S. Army regarding contract modification for the engineering services of the JAGM (Joint Air-to-Ground Missiles), which will be performed in Florida with expected completion by March 2021.
In July 2019, Rheinmetall announced a U.K.-based joint venture with BAE Systems, launching Rheinmetall BAE Systems Land (RBSL). The project aims to play a role in the manufacture of Boxer 8x8 for the Mechanized Infantry Vehicle (MIV) program of the British Army, along with other strategic combat vehicle programs, additionally providing support to the British Army’s armored vehicle fleets and in-service bridging.