Europe Defense Market Size (2024 - 2029)

Europe Defense Market Analysis

The Europe Defense Market size is estimated at USD 10.45 billion in 2024, and is expected to reach USD 12.80 billion by 2029, growing at a CAGR of 0.04% during the forecast period (2024-2029).

• The increase in defense expenditures coupled with the growing need for procurement of advanced defense weapons and ammunition by countries within the European region to improve defense capabilities are some of the factors expected to lead to the market's growth during the forecast period.
• The ongoing Russia-Ukraine conflict has created a tense scenario in the region, with the countries increasing their R&D investments to develop advanced capabilities that can counter the modern weapon technologies deployed by the Russian forces. Moreover, the European countries, significantly the increase in defense expenditure coupled with the growing need for procurement of advanced defense weapons and ammunition by countries within the European region to improve defense capabilities are some of the factors that are expected to lead to the growth of the market during the forecast period.
• The ongoing Russia-Ukraine conflict has created a tense scenario in the region, with the countries increasing their R&D investments to develop advanced capabilities that can counter the modern weapon technologies deployed by the Russian forces. Moreover, the European countries, especially the North Atlantic Treaty Organization (NATO) members, are also diverting significant monetary resources in support of Ukraine, which is driving the defense market in the region.
• On the other hand, the growth in regulations is hampering the procurement and production of advanced weapons for some European countries, and this will lead to market growth witnessing restraint during the forecast period. Moreover, technological advancements for defense weapons, such as the usage of artificial intelligence, are expected to increase market growth opportunities shortly. NATO members are also diverting significant monetary resources in support of Ukraine, which is driving the defense market in the region.
• On the other hand, the growth in regulations is hampering the procurement and production of advanced weapons for some European countries, and this will lead to market growth witnessing restraint during the forecast period. Moreover, technological advancements for defense weapons, such as the usage of artificial intelligence, are expected to increase market growth opportunities shortly.

Europe Defense Industry Segmentation

The European defense industry report includes an analysis of different defense equipment used to maintain the region's military strength.

The European defense industry is segmented based on equipment type, platform, and country. By equipment type, the market is segmented into personnel training and protection, communication, armament, and transport. By platform, the market is segmented into terrestrial, aerial, and naval. The report also offers the market size and forecasts for seven countries across the region. For each segment, the market sizing and forecasts have been done based on value (USD).