Main Battle Tank Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 6.72 Billion |
| Market Size (2029) | USD 7.94 Billion |
| CAGR (2024 - 2029) | 3.38 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Europe |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Main Battle Tank Market Analysis
The Main Battle Tank Market size is estimated at USD 6.72 billion in 2024, and is expected to reach USD 7.94 billion by 2029, growing at a CAGR of 3.38% during the forecast period (2024-2029).
Procurements of main battle tanks (MBTs) are expected to be high during the forecast period. The growing geopolitical tensions and border issues between various countries in Asia-Pacific, Europe, the Middle East, and Africa are generating demand for the procurement of new battle tanks to enhance the combat capabilities of the ground forces. An increase in investments in the MBTs is also due to the aging fleet of the MBTs. In this regard, countries invest more in procuring new-generation MBTs to replace older ones.
Main battle tanks are known for their high fuel consumption and emissions. As environmental concerns gain prominence worldwide, governments and defense organizations are under pressure to reduce their carbon footprint. It may lead to a shift towards alternative technologies or lighter armored vehicles, impacting the growth of the main battle tank market.
Emerging nations are carrying out an upgrade program for the existing fleet of tanks. The program includes the upgrading of the engine, weaponry systems, situational awareness systems, and so on. The older systems need to be upgraded to match advanced lethality and combat capabilities. Hence, this market is anticipated to grow significantly during the forecast period.
Main Battle Tank Market Trends
Light Battle Tanks to Witness Highest Growth in the Market During the Forecast Period
- Light tanks are the most maneuverable and fastest of all tank types. They were intended to be deployed in large numbers, typically for frontal breakthroughs that other units could exploit. Light tanks include excellent cross-country mobility, but depending on their design goals, they may sacrifice armor protection or armament firing power. Many countries are developing advanced new-generation main battle tanks to equip their militaries.
- Additionally, many countries are also planning to manufacture indigenous new-generation tanks, like India, which is manufacturing the Arjun Tanks. Research is also in progress to develop and deploy unmanned battle tanks by countries like Russia and China. For instance, in October 2022, General Dynamics Land Systems (GDLS) started assembling the US Army's Mobile Protected Firepower system, the first new combat vehicle to enter the force in nearly four decades.
- For instance, in June 2022, the US Army selected GDLS to build a light tank to improve mobility, protection, and direct-fire capabilities for infantry brigade combat teams. All these next-generation battle tanks may cater to the modernization needs of the militaries, thereby helping the market's growth in the years to come.
Europe to Dominate Market Share During the Forecast Period
- Unlike most countries, which focus on procuring other types of armored vehicles, excluding the main battle tanks, European countries focus on procuring new main battle tanks and modernizing their existing MBT fleet.
- Countries in the region, like France and Germany, are collaborating to produce the next generation of MBTs. Moreover, the ongoing war between Russia and Ukraine is one of the driving factors for procuring more combat vehicles. In the coming years, countries like the United Kingdom, Italy, Finland, France, Germany, Croatia, Poland, Sweden, and Turkey are expected to generate demand.
- For instance, in March 2022, Germany started testing their first action-ready models of Leopard 2 A7V two years ago. In February 2022, the first 30-unit group of the most advanced main battle tanks developed in this country joined the military ranks.
- In addition, the Russia/Ukraine war is crucial in anticipating the demand for MBTs near both countries' borders. For instance, in June 2022, the State Department of Poland announced the procurement of the M1A2SEPv3 Abrams battle tank with direct fire and maneuver. The government approved a contract worth USD 6 billion. Under this agreement, Poland will procure 250 tanks and other military equipment as tensions on the eastern flank of Europe remain high over Russian aggression aimed at Ukraine. All these factors are expected to help the market's growth in the region during the forecast period.
Main Battle Tank Industry Overview
The main battle tank market is consolidated, with the market needing to be catered to by defense manufacturers like General Dynamics Corporation, BAE Systems plc, Hyundai Rotem, Rostec, and Nexter group KNDS.
Strategic partnerships between the players may enable the transfer of technology between them and help them gain a higher market share by attracting new customers. For instance, in December 2023, KNDS and LEONARDO formed a strategic alliance. The companies will collaborate in the development, manufacturing, and maintenance of the LEOPARD 2 A8 solution for the Italian Army, as well as the support platforms. This alliance supports the strategy defined by the Italian MoD in the Documento Programmatico Difesa 2023-2025 and in the Action Plan of the Agreement recently signed by the Governments of Italy and Germany.
Main Battle Tank Market Leaders
General Dynamics Corporation
BAE Systems plc
Hyundai Rotem
Rostec
Nexter group KNDS
*Disclaimer: Major Players sorted in no particular order
Main Battle Tank Market News
- February 2024: Italy plans to acquire 132 Leopard 2A8IT main battle tanks for EUR 8.2 billion. The project’s timeframe is estimated at approximately 14 years.
- March 2022: India signed a contract to procure 350 light battle tanks (LBTs) with a total value of USD 1.9 billion. The operational difficulties associated with using heavy main battle tanks (MBTs) in mountain warfare pushed India's light tank program.
- March 2022: The British Army began working on its next-generation main battle tank (MBT), the Challenger 3 upgrade. The 148 Challenger 3s, to be upgraded from the existing Challenger 2s at a cost of around USD 1.3 billion, will be expected to ensure these capabilities remain intact until at least 2040.
Main Battle Tank Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Industry Attractiveness - Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Light
5.1.2 Medium
5.1.3 Heavy
5.2 Geography
5.2.1 North America
5.2.1.1 United States
5.2.1.2 Canada
5.2.2 Europe
5.2.2.1 Germany
5.2.2.2 United Kingdom
5.2.2.3 France
5.2.2.4 Russia
5.2.2.5 Rest of Europe
5.2.3 Asia-Pacific
5.2.3.1 China
5.2.3.2 Japan
5.2.3.3 India
5.2.3.4 South Korea
5.2.3.5 Rest of Asia-Pacific
5.2.4 Latin America
5.2.4.1 Brazil
5.2.4.2 Mexico
5.2.4.3 Rest of Latin America
5.2.5 Middle East and Africa
5.2.5.1 United Arab Emirates
5.2.5.2 Saudi Arabia
5.2.5.3 South Africa
5.2.5.4 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 General Dynamics Corporation
6.2.2 BAE Systems plc
6.2.3 BMC
6.2.4 Hyundai Rotem Co.
6.2.5 Nexter group KNDS
6.2.6 Rheinmetall AG
6.2.7 Israel Military Industries
6.2.8 Mitsubishi Heavy Industries Ltd.
6.2.9 Norinco Private Limited
6.2.10 DRDO
6.2.11 Rostec
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Main Battle Tank Industry Segmentation
Main battle tanks are regarded as one of the most important components of modern armies. The main battle tank is a tank that fills many modern armies' maneuver and armor-protected direct-fire roles. As national security concerns grow, nations are urged to strengthen their military forces by purchasing advanced battle tanks and upgrading their existing warfare equipment. Modern main battle tanks are organized into armored units that operate alongside the infantry. Furthermore, modern battle tanks are deployed in conflict zones and are supported by surveillance or ground aircraft.
The main battle tank market is segmented by type and geography. By type, it is divided into light, medium, and heavy. The report also covers the market sizes and forecasts for the main battle tank market in major countries across different regions. For each segment, the market size is provided in terms of value (USD).
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Main Battle Tank Market Research FAQs
How big is the Main Battle Tank Market?
The Main Battle Tank Market size is expected to reach USD 6.72 billion in 2024 and grow at a CAGR of 3.38% to reach USD 7.94 billion by 2029.
What is the current Main Battle Tank Market size?
In 2024, the Main Battle Tank Market size is expected to reach USD 6.72 billion.
Who are the key players in Main Battle Tank Market?
General Dynamics Corporation, BAE Systems plc, Hyundai Rotem, Rostec and Nexter group KNDS are the major companies operating in the Main Battle Tank Market.
Which is the fastest growing region in Main Battle Tank Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Main Battle Tank Market?
In 2024, the Europe accounts for the largest market share in Main Battle Tank Market.
What years does this Main Battle Tank Market cover, and what was the market size in 2023?
In 2023, the Main Battle Tank Market size was estimated at USD 6.49 billion. The report covers the Main Battle Tank Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Main Battle Tank Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Main Battle Tank Industry Report
Statistics for the 2024 Main Battle Tank market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Main Battle Tank analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
