Market Size of Armored Vehicle Upgrade And Retrofit Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 9.92 % |
| Fastest Growing Market | North America |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Armored Vehicle Upgrade and Retrofit Market Analysis
The armored vehicle upgrade and retrofit market was valued at USD 6.51 billion in 2023 and is projected to reach USD 10.45 billion in 2028 with a CAGR of 9.92% during the forecast period.
Armored vehicles are land combat vehicles employed for the transportation of different offensive and defensive operations. These vehicles are usually employed for the transportation of military personnel and cargo as well as operations in active combat. Moreover, such vehicles are armed with weapons and shielded by armor against bullets, shell fragments, and other projectiles. Armored vehicles give significant strength to a country's army. They are utilized in great numbers by various defense forces worldwide.
The main factors which are driving this market can be attributed to the increasing defense budget of various countries leading to frequent upgradation of armored vehicles to make them more compliant with the changing battlefield scenario and the increasing demand for low-cost armor for military vehicles. According to the Stockholm International Peace Research Institute (SIPRI), global defense expenditure reached a record high of USD 2,240 billion in 2022.
Moreover, the rise in terrorism and hostile activities around the world has been increasing the demand for incorporating the latest technologies into land vehicles coupled with the aging fleet of armored vehicles, which has been forcing various countries to invest in upgrade programs to increase efficiency, lethality, and connectivity. Currently, several programs are being conducted to upgrade the equipment and systems in old armored vehicles across the globe. Additionally, the processes of upgrade and retrofit are comparatively less expensive than manufacturing a fully equipped vehicle.
