US Accounted for Almost 35% of the Global Intercontinental Ballistic Missile Market
Market Summary
With the rising defense budgets of different countries, the demand for different defense equipment and weapons is increasing, including intercontinental ballistic missiles. The size of the global intercontinental ballistic missile market is likely to grow from USD 25.9 billion in 2024 to USD 38.5 billion by 2035 at a steady CAGR of 3.67% through 2035.
The US is the only country in the North American region that is actively developing intercontinental ballistic missiles. According to the Stockholm International Peace Research Institute (SIPRI), the country has spent more than USD 40 billion on missile defense projects over the past 15 years.
Replacement of ageing intercontinental ballistic missile systems and modernization of nuclear force capabilities are the prime factors contributing to the market growth in this country.
For instance, in 2017, the US Air Force awarded separate contracts to Boeing and Northrop Grumman to work on the replacement of the ageing Minuteman III intercontinental ballistic missile system.
The Middle East and Africa: Promising Growth Avenue
Israel is believed to have one of the most advanced missile arsenals in the Middle East. It has approximately 50 long-range strategic nuclear warheads. Its Jericho 3 missile can supposedly cover a range of 4,800-6,500 km.
Countries in the Middle East region are currently facing conflict and political unrest, a challenging security situation, and other issues. Hence, countries such as Iran, Saudi Arabia, and others are also focusing on strengthening their defense capabilities.
Asia Pacific: Development of missile detection technologies
In recent years, countries in the Asia Pacific region have become more involved in territorial disputes and maritime conflicts.
In an attempt to augment the combat capabilities and with the changing nature of conventional warfare, some of the countries in this region, such as North Korea and China, are keen on developing intercontinental ballistic missiles.
For instance, in 2017, China unveiled DF-41, its new intercontinental ballistic missile, which can carry up to 10 manoeuvrable warheads and has a range between 12,000 km and 15,000 km.
Similarly, in the same year, North Korea claimed to have developed an intercontinental ballistic missile, Hwasong-15, which has a range of more than 10,000 km and is capable of striking the US. Furthermore, in 2018, India successfully test-fired a long-range nuclear-capable intercontinental ballistic missile Agni-V.
Single Warhead: The Fastest Growing Payload Type Market Segment
The single warhead segment or unitary warhead contains only one warhead on a single intercontinental ballistic missile. It usually comprises a single thermonuclear warhead. The major advantage of a single warhead over multiple ones is that it limits collateral damage.
So, it is well-suited for urban warfare as it helps ensure the target is taken out with limited or no damage to the surrounding area. Moreover, it allows targeting flexibility and is relatively easy to de-alert.
Above 10,000 km: The Largest Range Market Segment
This segment covers the intercontinental ballistic missiles that can hit targets beyond the range of 10,000 km. Countries such as the US and Russia, among others, are pioneers in long-range missiles, while countries in the Asia Pacific region, such as North Korea and China, are recently developing such missiles.
Evolution of 3D printing Concept: Tremendous Opportunity for Market Growth
3D printing is an evolving technology that assists users in creating and designing things in an innovative way and surpasses conventional methods, such as mold manufacturing, Computerized Numerical Control (CNC) cutting, or canvas printing.
In addition, 3D printing can print electronics directly onto 3D surfaces, such as on rocket engines, missile fins, and missile guidance systems. It also reduces the size and weight of the missile system.
This innovative printing method allows cost-efficient and just-in-time (JIT) manufacturing of parts. It also permits quick design and rapid changes of internal features in the missile, unlike traditional manufacturing methods.
It has been anticipated that over the next 15 years, 3D printing technology will be adopted by the naval forces around the world to build their submarine-launched missile systems. In addition, a few projects have already accepted this technology and have shown tremendous success.