The growth of the global defense logistics market is driven by factors such as surge in government defense expenditure and military modernization programs, rise in military conflicts and geopolitical tension, and increase in the need for an effective and resilient supply chain for military.
The global defense logistics market size was valued at $203.8 billion in 2022, and is projected to reach $329.9 billion by 2032, growing at a CAGR of 5.0% from 2023 to 2032.
Key players in the defense logistics market:
Key players operating in the global defense logistics market include Lockheed Martin Corporation, Colak Group, Crowley, BAE Systems, Northrop Grumman, Raytheon Technologies, General Dynamics Corporation, L3Harris Technologies, Inc., SEKO Logistics, and Leonardo S.p.A. The companies are adopting strategies such as contract, and others to improve their market positioning.
On the basis of commodity, the armament segment held the highest market share in 2022, accounting for nearly three-fifths of the global defense logistics market revenue, and is estimated to maintain its leadership status throughout the forecast period, rise in the defense logistics utilized across different branches of the military (army, navy, air force) for maintaining strategic capabilities. Moreover, the technical support and maintenance segment is projected to manifest the highest CAGR of 6.5% from 2023 to 2032, owing to the increase in the need for specialized technical support and maintenance as military equipment becomes more technologically advanced.
Enquiry Before Buying: https://www.alliedmarketresearch.com/purchase-enquiry/A09615
The navy is a branch of the armed forces of a country that primarily operates at sea. It is responsible for securing maritime interests, defending coastlines, projecting power through naval presence, and conducting operations at sea. Naval forces typically consist of warships, submarines, and specialized units trained for maritime warfare.The navy holds a vital position in national defense, safeguarding maritime borders, upholding freedom of navigation, and bolstering a nation’s security. Sustaining naval operations demands a continuous and dependable provision of fuel, spare parts, ammunition, and various consumables. Defense logistics manages the supply chain to ensure that naval assets are well-equipped and operational.
Moreover, military branches, including the navy, focus on their core operational activities (such as training, missions, and strategic planning) while outsourcing logistics to specialized companies. capabilities and readiness of the defense forces. For instance, in June 2023, Amentum secured an eight-year, $475 million contract to provide maintenance and logistics support for F-16 aircraft fleet of the U.S. Navy. In this contract, Amentum is expected to collaborate with the Naval Air Warfare Center Aircraft Division (NAWCAD) to maintain F-16A/B/C/D variants across organizational, intermediate, and depot levels.
There is an increase in the integration of technological advancements in defense logistics services for the improvement and modernization of military supply chain operations. The utilization of AI and ML in defense logistics facilitates sophisticated data analysis, predictive modeling, and the automation of decision-making processes. This results in improved accuracy in demand forecasting, optimized route planning, and the ability to make real-time adjustments to logistical plans, thereby enhancing overall efficiency and responsiveness. Moreover, advancements in technology provide solutions for real-time tracking of military assets, including vehicles, equipment, and personnel. This increased visibility enables better coordination, reduced transit times, and an enhanced overall situational awareness, contributing to more effective logistics management.
Buy this Complete Report (300 Pages PDF with Insights, Charts, Tables, and Figures) at: https://www.alliedmarketresearch.com/defense-logistics-market/purchase-options
Moreover, military branches, including the navy, focus on their core operational activities (such as training, missions, and strategic planning) while outsourcing logistics to specialized companies. capabilities and readiness of the defense forces. For instance, in June 2023, Amentum secured an eight-year, $475 million contract to provide maintenance and logistics support for F-16 aircraft fleet of the U.S. Navy. In this contract, Amentum is expected to collaborate with the Naval Air Warfare Center Aircraft Division (NAWCAD) to maintain F-16A/B/C/D variants across organizational, intermediate, and depot levels.
Regional Insights:
On the basis of region, North America held the highest market share in terms of revenue in 2022, accounting for more than one-thirds of the defense logistics market revenue, and is expected to dominate the market during the forecast period, as there is consistent upward trend in defense budgets facilitates greater investments in the development of logistics infrastructure. However, the LAMEA region is expected to witness the fastest CAGR of 7.0% from 2023 to 2032, owing to an increase in demand for effective defense logistics to facilitate military efforts against extremist groups due to the increased occurrence of counterterrorism activities in the Middle East and certain regions of Africa.
KEY FINDINGS OF THE STUDY
- By commodity, the technical support and maintenance segment is anticipated to exhibit significant growth in the near future.
- By end-user, the airforce segment is anticipated to exhibit significant growth in the near future.
- By transportation mode, the waterways segment is anticipated to exhibit significant growth in the near future.
- By region, LAMEA is anticipated to register the highest CAGR during the forecast period.
About us:
Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Wilmington, Delaware. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of “Market Research Reports” and “Business Intelligence Solutions.” AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.
Similar Report:
Contact:
David Correa
1209 Orange Street,
Corporation Trust Center,
Wilmington, New Castle,
Delaware 19801 USA.
Int’l: +1-503-894-6022
Toll Free: +1-800-792-5285
UK: +44-845-528-1300
India (Pune): +91-20-66346060
Fax: +1-800-792-5285
[email protected]
