Degaussing Systems Market Size and Share
Degaussing Systems Market Analysis by Mordor Intelligence
The degaussing systems market size is estimated at USD 0.87 billion in 2025 and is forecasted to reach USD 1.13 billion by 2030, advancing at a 5.3% CAGR. Rising naval expenditure, the growing sophistication of magnetic-influence sea mines, and the steady pace of fleet-life-extension programs underpin this expansion. North American destroyer and cruiser upgrades, European mine-hunter procurement, and expanding Asia-Pacific submarine fleets ensure a broad customer base for electromagnetic signature control. High-temperature superconducting (HTS) coils and software-defined control units foster technology refresh cycles, while artificial-intelligence (AI) algorithms push performance thresholds by moderating coil currents in real time. Retrofit demand governs contract activity because navies view signature management as a cost-effective path to stretching ship life without new-build outlays. Supply-chain pressure around HTS tape and rare-earth magnetic sensors tempers short-term growth, yet tier-one vendors with vertically integrated component lines mitigate most disruption.
Key Report Takeaways
- By vessel type, submarines led with 29.65% revenue share of the degaussing systems market in 2024; mine counter-measure vessels are projected to expand fastest at a 7.89% CAGR to 2030.
- By solution, degaussing captured 60.90% of the market share of degaussing systems in 2024, whereas deperming recorded the highest forecasted CAGR of 6.12% through 2030.
- By component, coils and cabling accounted for 32.21% of the degaussing systems market size in 2024, while software and analytics will grow quickest at an 8.17% CAGR between 2025 and 2030.
- By installation type, retrofit programs held 54.59% of the degaussing systems market share in 2024 and are anticipated to increase at an 8.7% CAGR through 2030.
- By geography, North America dominated with 34.17% of 2024 revenue; Asia-Pacific is the most dynamic region at an 8.80% CAGR over the forecast horizon.
Global Degaussing Systems Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Rising naval modernization budgets accelerating investment in degaussing systems | +1.2% | North America, Europe, Asia-Pacific | Medium term (2-4 years) |
| Increased deployment of magnetic-influence sea mines driving demand for magnetic signature control | +0.9% | South China Sea, Persian Gulf | Short term (≤ 2 years) |
| Expansion of retrofit initiatives targeting older surface vessels for degaussing upgrades | +0.8% | North America, Europe | Medium term (2-4 years) |
| Emergence of high-temperature superconducting (HTS) coil technology enabling compact and efficient systems | +0.7% | US, UK, France, Germany, Japan | Long term (≥ 4 years) |
| Integration of AI-powered adaptive algorithms for real-time signature management | +0.6% | Technology-leading navies | Long term (≥ 4 years) |
| Growing requirement for micro-degaussing systems in stealthy unmanned surface and underwater vehicles | +0.4% | Asia-Pacific, North America | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Rising Naval Modernization Budgets Accelerating Investment in Degaussing Systems
Steady growth in defense allocations keeps multi-year ship-upgrade pipelines active. The US Navy’s destroyer life-extension package earmarks signature-management retrofits as core electronic-warfare enhancements.[1]U.S. Navy, “Destroyer Modernization Overview 2025,” navy.mil Italy’s mine-hunter program embeds low-magneto-acoustic technologies as a baseline fit. Similar procurement blueprints in the Philippines and Canada cement a long runway for the degaussing systems market.
Increased Deployment of Magnetic-Influence Sea Mines Driving Demand for Magnetic Signature Control
Modern mines combine magnetic, acoustic, and pressure sensors, elevating precise field suppression requirements. The validation of India’s multi-influence ground mine exemplifies the rising lethality that naval planners must counter. Historical loss figures reveal that mines remain the most cost-effective anti-surface weapon, anchoring the need for robust degaussing across blue-water and littoral vessels.
Expansion of Retrofit Initiatives Targeting Older Surface Vessels for Degaussing Upgrades
Budgetary realities push navies toward in-service upgrades rather than new hulls. The United States is refurbishing 21 Ticonderoga-class cruisers, each receiving refreshed degaussing arrays. South Korean yards have started hosting US Military Sealift Command dry-dockings, widening the global maintenance footprint and opening fresh bid opportunities for coil-package suppliers.
Emergence of High-Temperature Superconducting Coil Technology Enabling Compact and Efficient Systems
HTS coils demonstrated 50-80% weight reductions during US Navy sea trials while sustaining required field strengths. Contract awards on amphibious transport docks LPD-28 and LPD-30 confirm the shift from laboratory proof to shipboard deployment. Supply depth for coated conductors remains thin, but early movers with secured tape sourcing gain a strategic advantage.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Elevated capital expenditure and long-term maintenance costs limit broader adoption | -0.8% | Globally affects smaller navies | Short term (≤ 2 years) |
| Extended acquisition timelines due to complex defense procurement procedures | -0.6% | Western nations | Medium term (2-4 years) |
| Resource reallocation toward emerging railgun and directed-energy weapon systems reduces funding availability | -0.5% | Advanced navies | Long term (≥ 4 years) |
| Supply-chain vulnerabilities for HTS tape and rare-earth-based magnetic sensors hinder production scalability | -0.4% | Global | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Elevated Capital Expenditure and Long-Term Maintenance Costs Limit Broader Adoption
The substantial upfront investment and ongoing operational expenses associated with advanced degaussing systems create adoption barriers, particularly for smaller naval forces with constrained budgets. Comprehensive degaussing installations can represent 2-5% of total vessel construction costs, and HTS-based packages command premiums that exceed copper-coil alternatives by 40-60%. Specialized lifecycle support—including cryogenic cooling plants, helium logistics, and certified technicians—adds USD 2–4 million over a 10-year maintenance horizon for a mid-sized combatant. These financial realities often force navies to confine full-spectrum signature management to aircraft carriers, submarines, and frontline destroyers while accepting residual magnetic footprints on lower-priority hulls. Consequently, market penetration among emerging maritime nations lags because capital charges crowd out other combat-system upgrades.
Supply-Chain Vulnerabilities for HTS Tape and Rare-Earth-Based Magnetic Sensors Hinder Production Scalability
Critical material dependencies create bottlenecks that threaten schedule adherence and price stability as demand for advanced degaussing solutions rises. The US Department of Energy estimates that China controls 70-80% of global rare-earth magnet processing capacity, leaving fluxgate and Overhauser sensor makers exposed to single-country risk. HTS tape output is limited to fewer than five high-volume producers worldwide, and order-book visibility beyond 18 months remains thin, prompting integrators to hold buffer stocks that inflate working capital by up to 15%. Geopolitical tensions or export-quota shifts could push neodymium and dysprosium spot prices above the USD 350-per-kilogram threshold seen during 2022 spikes, eroding project margins and delaying shipyard installs. Although US and European initiatives under the Defense Production Act and Critical Raw Materials Act aim to diversify supply chains, green-field processing plants require three to five years to reach commercial scale.
Segment Analysis
By Vessel Type: Submarines Drive Stealth Imperatives
The segment totals underline how covert platforms anchor spending. The submarines category accounted for 29.65% of degaussing systems market revenue in 2024, while mine counter-measure ships will expand fastest at 7.89% CAGR. This performance differential mirrors the pronounced threat from influence mines and the strategic premium on under-ice and littoral concealment. Submarine programmes in Australia, India, and South Korea integrate full-hull coil sets at the design stage, contrasting with surface ships where retrofitting is the norm. Mine-hunter hulls already built with low-ferrite composites still add distributed micro-loops to crush residual magnetism. Destroyers and frigates maintain sizeable demand because mid-life upgrades coincide with radar and sonar refresh cycles, creating a multiplier effect for degaussing work scopes.
Navies weigh vessel-specific risk exposure when allocating budgets. Submarines face continuous passive detection risk and thus justify high-spec proprietary materials. Conversely, corvettes adopt modular architectures that spread costs using standardized coil modules rated for regional magnetic conditions. The nuanced mix obliges suppliers to field configurable systems ranging from 30-meter unmanned craft to 100,000-ton carriers without rewriting control code.
Note: Segment shares of all individual segments available upon report purchase
By Solution: Degaussing Dominance Faces Deperming Growth
Continuous degaussing systems cornered 60.90% of 2024 revenue, highlighting their status as a baseline fit. Though degaussing remains core, deperming has re-emerged because modern steels retain higher remanence after repeated polar transits. A 6.12% CAGR through 2030 underscores how navies view periodic demagnetization as vital insurance before deployment into mined chokepoints. Contemporary pierside deperming cages employ pulsed direct current techniques capable of 95.5% flux-density reduction in half the legacy processing time. Additionally, portable deperming mats allow frigates to reset signatures during patrols without returning to home dock, raising operational readiness and underpinning a positive outlook for the deperming slice of the degaussing systems market.
Although a smaller niche, ranging facilities close the feedback loop by providing empirical magnetic-field data. Software analytics extrapolate these readings into coil-current setpoints, demonstrating that even lower-revenue segments create pull-through for higher-margin digital services.
By Component: Software Analytics Accelerate Intelligence Integration
Coils and cabling retained the largest share at 32.21% in 2024, but software modules will climb fastest, charting an 8.17% CAGR. This swing reflects the migration from hardware-centric differentiation toward code-based performance tuning. Linear neural network predictors refine control-unit outputs by as much as 20 nanoTesla, allowing vessels to stay within stringent residual-field limits even when maneuvering at high speed. Magnetometer clusters blend fluxgate, optically pumped, and Overhauser sensors to build redundancy, each feeding data lakes that improve model training.
Meanwhile, HTS coils promise dramatic size and power savings. The degaussing systems market size for superconducting hardware alone is slated to rise disproportionately after 2027 as coated-conductor prices fall. Vendors combine HTS with conventional copper in hybrid layouts to protect against single-point cryo-plant failures, a design nuance aimed at cautious operators.
Note: Segment shares of all individual segments available upon report purchase
By Installation Type: Retrofit Modernization Dominates Market
Retrofit held 54.59% of 2024 revenue and projects the steepest 8.7% CAGR. Most major navies maintain deeper backlogs of hulls awaiting mid-life overhaul than new vessels on order, locking in stable retrofit volumes. Integrators package coil sets into prefabricated rack modules that slide through missile hatches to circumvent confined machinery spaces. Digital twin models of legacy hulls accelerate design cycles and de-risk shock qualification.
New-build installations still matter because early design consideration enables optimal coil geometry and lower conductor mass. HTS solutions are more easily justified at the build stage since chilled-water capacity and power distribution can be factored into the layout. In amphibious and carrier programs, degaussing teams now coordinate with electromagnetic aircraft-launch groups to harmonize power budgets and interference mitigation from the outset.
Geography Analysis
North America commanded 34.17% of 2024 revenue. The US Navy’s destroyer and cruiser service-life-extension contracts alone sustain a multi-billion-dollar pipeline that favors domestically produced coils, magnetometers, and control units. Canada’s Kingston-class degaussing refits and allied Foreign Military Sales (FMS) cases further reinforce the region’s standing.[2]Naval Technology, “Canada Kingston-Class Life Extension,” naval-technology.com With three qualified HTS testbeds, North American yards host the most advanced superconducting deployment programmes worldwide.
Asia-Pacific will post the highest 8.80% CAGR through 2030. Rising defense budgets and contested sea lanes propel demand. Japan extends HTS trials to its Mogami-class frigates, while Australia’s AUKUS submarine endeavour integrates magnetic-signature management standards that exceed legacy benchmarks. India’s mine programme, coupled with Southeast Asian littoral fleet expansion, accelerates the adoption of micro-degaussing solutions for unmanned platforms. Chinese shipyards embed AI-driven field-tuning software across new Type 054B builds, setting regional technology pace and prompting peers to keep up.
Europe remains pivotal, galvanized by NATO’s Baltic and High North posture. Italy’s mine-hunter initiative and France’s FDI frigate series incorporate deperming and ranging combinations that drive systems-of-systems procurement. The United Kingdom’s Type 31 programme specifies digital-twin-validated coil layouts as standard, underscoring regional commitment to magnetic hygiene. Parallel investments in polar research icebreakers introduce civil maritime niches for degaussing vendors, diversifying revenue streams beyond combatants.
Competitive Landscape
The degaussing systems market is moderately consolidated, with the top five suppliers controlling over 55% of annual revenue. L3Harris Technologies, ESCO Technologies Inc., Wärtsilä Corporation, Polyamp AB, and American Superconductor Corporation dominate through patent portfolios and embedded naval-yard relationships. ESCO’s USD 550 million takeover of Ultra Maritime’s business lines raised its installed-base footprint on UK and Australian vessels.[3]ESCO Technologies, “Acquisition of Ultra Maritime,” escotechnologies.com This signaled a consolidation trend that trades higher volume for narrower vendor rosters.
Technology differentiation has shifted to software. L3Harris bundles predictive maintenance analytics that flag sensor drift before tolerance breaches occur. Wärtsilä links magnetic signature data to integrated platform-management systems, granting bridge crews consolidated situational pictures. American Superconductor supplies HTS coils and cryogenic hardware under a single warranty, lowering interface risk for yards.
Entrants exploit niches. Scandinavian specialists deliver 3-dimensional coil architectures, achieving up to 95% field attenuation, carving a share in patrol-craft and auxiliary fleets where large multi-loop systems are impractical. Asian suppliers leverage cost advantages but still depend on Western software for high-fidelity field modelling, leading to strategic partnerships rather than outright displacement of incumbents.
Degaussing Systems Industry Leaders
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L3Harris Technologies Inc.
-
Wärtsilä Corporation
-
Polyamp AB
-
ESCO Technologies Inc.
-
American Superconductor Corporation
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- February 2025: ESCO Technologies completed the USD 550 million acquisition of Ultra Maritime’s signature-management and power division, integrating degaussing, ranging and power-conditioning lines.
- February 2024: Babcock received a five-year contract from the UK Ministry of Defence to provide in-service support for the Royal Navy's Ships Protective System equipment, delivering degaussing, cathodic protection, and active shaft grounding services to reduce vessel vulnerability to magnetic mines.
Global Degaussing Systems Market Report Scope
Degaussing is the method of diminishing or reducing a redundant magnetic field induced in the ship due to the earth's magnetic field. The market study includes all the equipment required for degaussing of the ship, like degaussing systems, monitoring equipment to indicate the magnetic field, and control systems to control the current flowing through the conductors to demagnetize the ship.
The degaussing systems market is segmented by vessel type and geography. By vessel type, the market is segmented into aircraft carriers, destroyers, frigates, corvettes, submarines, and other vessel types. By geography, the market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. The market sizing and forecasts for all the above segments have been provided in value (USD).
| Aircraft Carriers |
| Destroyers |
| Frigates |
| Corvettes |
| Submarines |
| Mine Countermeasure Vessels |
| Other Vessel Types |
| Degaussing |
| Deperming |
| Ranging |
| Control Units (DCU) |
| Power Amplifiers |
| Coils and Cabling |
| Magnetometers and Sensors |
| Software and Analytics |
| New-Build Installation |
| Retrofit |
| North America | United States | |
| Canada | ||
| Mexico | ||
| Europe | United Kingdom | |
| Germany | ||
| France | ||
| Rest of Europe | ||
| South America | Brazil | |
| Rest of South America | ||
| Asia-Pacific | China | |
| Japan | ||
| India | ||
| South Korea | ||
| Rest of Asia-Pacific | ||
| Middle East and Africa | Middle East | United Arab Emirates |
| Saudi Arabia | ||
| Rest of Middle East | ||
| Africa | South Africa | |
| Rest of Africa | ||
| By Vessel Type | Aircraft Carriers | ||
| Destroyers | |||
| Frigates | |||
| Corvettes | |||
| Submarines | |||
| Mine Countermeasure Vessels | |||
| Other Vessel Types | |||
| By Solution | Degaussing | ||
| Deperming | |||
| Ranging | |||
| By Component | Control Units (DCU) | ||
| Power Amplifiers | |||
| Coils and Cabling | |||
| Magnetometers and Sensors | |||
| Software and Analytics | |||
| By Installation Type | New-Build Installation | ||
| Retrofit | |||
| By Geography | North America | United States | |
| Canada | |||
| Mexico | |||
| Europe | United Kingdom | ||
| Germany | |||
| France | |||
| Rest of Europe | |||
| South America | Brazil | ||
| Rest of South America | |||
| Asia-Pacific | China | ||
| Japan | |||
| India | |||
| South Korea | |||
| Rest of Asia-Pacific | |||
| Middle East and Africa | Middle East | United Arab Emirates | |
| Saudi Arabia | |||
| Rest of Middle East | |||
| Africa | South Africa | ||
| Rest of Africa | |||
Key Questions Answered in the Report
What is the current size of the degaussing systems market?
The market is valued at USD 0.87 billion in 2025 and is expected to reach USD 1.13 billion by 2030.
Which vessel class generates the most demand for degaussing solutions?
Submarines contribute 29.65% of 2024 revenue because their survivability relies heavily on magnetic stealth.
Why are retrofit projects growing faster than new-build installations?
Retrofit activity dominates since upgrading existing hulls is a cost-efficient way to extend service life and immediately enhance survivability without the timeline of new construction.
How do high-temperature superconducting coils benefit naval platforms?
HTS coils reduce system weight by up to 80% while maintaining field-generation capacity, freeing shipboard space and lowering power draw.
Which region will see the fastest growth through 2030?
Asia-Pacific is forecasted to expand at an 8.80% CAGR, driven by submarine acquisitions, mine-warfare investments and accelerating unmanned-vessel programs.
What is the main supply-chain risk facing the degaussing systems industry?
Dependence on rare-earth magnets and limited HTS tape production exposes programs to material shortages and price volatility, potentially slowing deployment schedules.
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