Market Trends of Electronically Scanned Array Radar Industry
Active Electronically Scanned Array Segment to Dominate the Market During the Forecast Period
The active electronically scanned array (AESA) segment is expected to dominate and is projected to grow at a rapid pace during the forecast period. The use of AESA radars has been increasing, as most of the new-generation fighter aircraft are being equipped with AESA systems. These Radars are integrated into several fighter jet models, like F-16, F-35, F-22, Dassault Rafale, Boeing F/A-18E/F aircraft, and Eurofighter Typhoon, which are among the most selling fighter jets currently.
Northrop Grumman, one of the largest producers of AESA radars in the world, received an order for its AESA in November 2022, to upgrade F-16 aircraft of the US Airforce worth USD 128 million. In continuation to this order, The US Air Force (USAF) has ordered an additional 54 air combat radar systems as part of the service's bid to modernize its fleet of Lockheed Martin F-16 fighters in March 2023. The total F-16 AESA procurement is now valued at USD 1.4 billion for Northrop. An increase in the global aerial fleet has led to a rise in the demand for these radars. Countries like the United States, India, China, Iran, Israel, and Russia, among others, have invested in modernizing and upgrading their existing air fleets. Furthermore, rising global expenditure and rising spending on enhancing defense capabilities drive market growth.Thus, the demand for AESA radars is projected to increase, driven by the increased deliveries and modderinzation of aircraft that use these radars.
Asia-Pacific to Register the Highest CAGR During the Forecast Period
Asia-Pacific is projected to record the highest CAGR during the forecast period. The region is currently experiencing an increase in military procurements, with the countries in the region, like China, India, Japan, South Korea, and Australia, being some of the largest military spenders in the world. The growth is due to increasing defense expenditures and the rising procurement of next-generation military radars from China, India, and South Korea.
Increasing cross-border conflicts, political disputes among neighboring countries, and growing terrorism lead to rising spending on enhancing defense capabilities. In India, ELTA, an Israel-based company, equipped 58 Indian Air Force Jaguar jets with AESA radars as part of the upgrade plan in the last four years. Recently, India started producing its own active electronically scanned array (AESA) radar. According to the statement given by the Indian Ministry of Defense in September 2022, India's Defence Research and Development Organization (DRDO) will be developing an indigenous active electronically scanned array (AESA) radar for the air force's Su-30 MKI aircraft along with the Indian Air Force. Such developments are expected to increase the market prospects for ESA radars in the region in the years to come.
