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    Submarine Launched Missile Market

    ID: MRFR/A&D/3196-HCR
    100 Pages
    Sejal Akre
    October 2025

    Submarine-Launched Missile Market Research Report By Type (Ballistic Missiles, Cruise Missiles, Hypersonic Missiles), By Launch Platform (Nuclear Submarines, Diesel-Electric Submarines, Multi-Role Submarines), By Target Type (Land Targets, Sea-Based Targets, Airborne Targets), By Payload (Conventional Warheads, Nuclear Warheads, Multiple Independently Targetable Reentry Vehicles) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2035.

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    Submarine Launched Missile Market Infographic
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    Submarine Launched Missile Market Summary

    As per MRFR analysis, the Submarine-Launched Missile Market Size was estimated at 33.06 USD Billion in 2024. The Submarine-Launched Missile industry is projected to grow from 33.86 USD Billion in 2025 to 43.1 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 2.44 during the forecast period 2025 - 2035.

    Key Market Trends & Highlights

    The Submarine-Launched Missile Market is poised for growth driven by technological advancements and geopolitical dynamics.

    • North America remains the largest market for submarine-launched missiles, reflecting its robust defense infrastructure.
    • The Asia-Pacific region is emerging as the fastest-growing market, driven by increasing military investments and regional tensions.
    • Ballistic missiles dominate the market, while cruise missiles are experiencing rapid growth due to their versatility and precision.
    • Rising defense budgets and emerging threats are key drivers propelling advancements in submarine-launched missile technology.

    Market Size & Forecast

    2024 Market Size 33.06 (USD Billion)
    2035 Market Size 43.1 (USD Billion)
    CAGR (2025 - 2035) 2.44%

    Major Players

    Lockheed Martin (US), Northrop Grumman (US), Raytheon Technologies (US), Thales Group (FR), BAE Systems (GB), Kongsberg Gruppen (NO), Mitsubishi Heavy Industries (JP), Navantia (ES), Hindustan Aeronautics Limited (IN)

    Submarine Launched Missile Market Trends

    The Submarine-Launched Missile Market is currently experiencing a notable evolution, driven by advancements in technology and shifting geopolitical dynamics. Nations are increasingly recognizing the strategic advantages offered by submarine-launched systems, which provide stealth and flexibility in military operations. This market is characterized by a growing emphasis on developing more sophisticated missile systems that can engage a variety of targets with enhanced precision. Furthermore, the integration of advanced guidance systems and improved propulsion technologies appears to be a focal point for manufacturers, as they seek to enhance the operational capabilities of these platforms. In addition to technological advancements, the Submarine-Launched Missile Market is influenced by the changing landscape of international relations. Countries are investing in their naval capabilities to ensure deterrence and maintain a competitive edge. This trend suggests a potential increase in defense budgets allocated to submarine warfare systems, as nations strive to modernize their fleets. Moreover, collaborations between defense contractors and government entities are likely to intensify, fostering innovation and ensuring that emerging threats are adequately addressed. Overall, the market seems poised for growth, with a clear trajectory towards more advanced and capable submarine-launched missile systems.

    Technological Advancements

    The Submarine-Launched Missile Market is witnessing rapid technological progress, particularly in missile guidance and propulsion systems. Innovations in these areas are enhancing the accuracy and range of missile systems, making them more effective in various operational scenarios.

    Geopolitical Dynamics

    Shifting geopolitical landscapes are prompting nations to bolster their naval capabilities. The need for deterrence and strategic positioning is driving investments in submarine-launched systems, as countries seek to adapt to evolving security challenges.

    Increased Collaboration

    There is a growing trend of collaboration between defense contractors and government agencies. This partnership aims to accelerate the development of advanced submarine-launched missile systems, ensuring that military forces remain equipped to address contemporary threats.

    The ongoing advancements in submarine-launched missile technology are poised to enhance naval deterrence capabilities, reflecting a strategic shift in maritime defense priorities.

    U.S. Department of Defense

    Submarine Launched Missile Market Drivers

    Emerging Threats

    Emerging threats, including asymmetric warfare and regional conflicts, are propelling the demand for advanced submarine-launched missile systems within the Submarine-Launched Missile Market. As non-state actors and rogue states develop advanced military capabilities, traditional defense strategies are being reevaluated. Submarine-launched missiles offer a strategic advantage, allowing for covert operations and precision strikes against high-value targets. The proliferation of missile technology among adversaries is likely to compel nations to enhance their deterrence strategies, further driving the demand for submarine-launched missiles. Analysts suggest that the market could expand significantly, with projections indicating a potential market size of USD 25 billion by 2028.

    Geopolitical Dynamics

    Geopolitical dynamics play a crucial role in shaping the Submarine-Launched Missile Market. Heightened tensions among nations, particularly in regions such as the South China Sea and Eastern Europe, have led to increased military spending and modernization of naval forces. Countries are prioritizing the development of submarine-launched missile systems to enhance their deterrence capabilities. For example, the ongoing arms race in Asia has prompted nations to invest heavily in their submarine fleets, with estimates suggesting that defense budgets in the Asia-Pacific region could reach USD 500 billion by 2025. This geopolitical landscape is likely to drive demand for advanced submarine-launched missiles, as nations seek to maintain strategic advantages.

    Rising Defense Budgets

    Rising defense budgets across various nations are significantly influencing the Submarine-Launched Missile Market. Governments are increasingly allocating substantial resources to enhance their military capabilities, particularly in naval warfare. For instance, defense spending in Europe is projected to increase by 10% in the coming years, driven by security concerns and the need for modernization. This trend is likely to result in increased procurement of advanced submarine-launched missile systems, as nations seek to bolster their deterrent capabilities. The market could witness a compound annual growth rate (CAGR) of approximately 6% as countries prioritize investments in their submarine fleets and associated missile technologies.

    Increased Collaboration

    Increased collaboration among nations is emerging as a significant driver in the Submarine-Launched Missile Market. Joint military exercises and defense agreements are fostering partnerships that enhance technological sharing and operational capabilities. For instance, the AUKUS pact between Australia, the United Kingdom, and the United States aims to bolster submarine capabilities in the Indo-Pacific region. Such collaborations not only facilitate the development of advanced missile systems but also promote interoperability among allied forces. As countries recognize the importance of collective security, the demand for submarine-launched missiles is expected to rise, potentially leading to a market growth rate of over 5% annually through the next decade.

    Technological Advancements

    The Submarine-Launched Missile Market is experiencing a surge in technological advancements, particularly in missile guidance systems and stealth capabilities. Innovations such as advanced navigation systems and precision targeting are enhancing the effectiveness of submarine-launched missiles. For instance, the integration of artificial intelligence and machine learning is likely to improve decision-making processes during missions. Furthermore, the development of hypersonic missiles is expected to revolutionize the market, as these weapons can travel at speeds exceeding Mach 5, making them difficult to intercept. As nations invest in modernizing their naval capabilities, the demand for advanced submarine-launched missiles is anticipated to grow, potentially leading to a market valuation exceeding USD 30 billion by 2030.

    Market Segment Insights

    By Type: Ballistic Missiles (Largest) vs. Cruise Missiles (Fastest-Growing)

    In the Submarine-Launched Missile Market, ballistic missiles hold the largest share, reflecting their extensive adoption for strategic deterrence across various militaries. These systems are designed for long-range engagements, making them crucial assets for countries focusing on maintaining defense capabilities. Conversely, cruise missiles are witnessing a rapid increase in market share, attributed to their versatility, precision, and ability to target specific threats effectively. This shift highlights a change in military strategies favoring real-time response and varied mission profiles.

    Ballistic Missiles (Dominant) vs. Hypersonic Missiles (Emerging)

    Ballistic missiles are the dominant force in the submarine-launched missile segment, characterized by their ability to deliver nuclear or conventional warheads over extensive distances with high reliability. Their established integration into military arsenals worldwide underscores their strategic importance. On the other hand, hypersonic missiles, though emerging, represent a significant technological advancement, designed to travel at speeds exceeding Mach 5. This capability creates challenges for current defense systems, leading to heightened interest and rapid development within this segment. The competitive landscape is evolving as militaries recognize the tactical advantages of hypersonic systems, maintaining an edge over adversaries.

    By Launch Platform: Nuclear Submarines (Largest) vs. Diesel-Electric Submarines (Fastest-Growing)

    The Submarine-Launched Missile Market is primarily dominated by Nuclear Submarines, which hold a significant portion of the market share due to their extended range and ability to carry larger payloads. In contrast, Diesel-Electric Submarines are gaining traction, accounting for a smaller but rapidly increasing share, largely driven by advancements in battery technology and the rising demand for cost-effective defense solutions. Multi-Role Submarines also contribute to the market but remain less prominent compared to their nuclear counterparts.

    Nuclear Submarines (Dominant) vs. Diesel-Electric Submarines (Emerging)

    Nuclear Submarines are favored for their ability to remain submerged for extended periods and their strategic advantage in deterrence. They are equipped with advanced missile systems and offer superior operational flexibility. On the other hand, Diesel-Electric Submarines are emerging as a viable alternative, especially for nations with budget constraints. They are quieter and can be deployed in shallow waters, making them effective for specific tactical missions. The increasing focus on stealth and the rising defense budgets of emerging economies are propelling the growth of both these segments in the Submarine-Launched Missile Market.

    By Target Type: Land Targets (Largest) vs. Sea-Based Targets (Fastest-Growing)

    The Submarine-Launched Missile Market demonstrates a clear market share distribution favoring land targets, which dominate the segment due to their strategic importance and extensive military applications. In contrast, sea-based targets are witnessing rapid adoption, driven by advancements in naval capabilities and the increasing emphasis on maritime security. The airborne targets segment, while significant, remains smaller in share compared to its land and sea counterparts.

    Land Targets: Dominant vs. Sea-Based Targets: Emerging

    Land targets represent the dominant force in the Submarine-Launched Missile Market, characterized by their vital role in land warfare and strategic deterrence. Their extensive integration with ground forces bolsters their market position, reflecting a broad range of operational applications. On the other hand, sea-based targets are emerging rapidly, empowered by advancements in naval warfare technologies. Their growth is fueled by the increasing necessity for naval dominance and the capability to target enemy vessels effectively. This dynamic creates a competitive environment where land targets retain their superiority, while sea-based targets are quickly adapting and evolving to meet new challenges.

    By Payload: Conventional Warheads (Largest) vs. Nuclear Warheads (Fastest-Growing)

    In the Submarine-Launched Missile market, the payload segment is categorized into Conventional Warheads, Nuclear Warheads, and Multiple Independently Targetable Reentry Vehicles (MIRVs). Conventional Warheads currently hold the largest market share due to their versatility and the increasing demand for precision strike capabilities. In contrast, Nuclear Warheads have been gaining traction as global tensions rise, increasing their share in the market as militaries prioritize strategic deterrence.

    Payload: Conventional Warheads (Dominant) vs. Nuclear Warheads (Emerging)

    Conventional Warheads are characterized by their ability to deliver a significant explosive impact without the long-term radioactive fallout associated with nuclear options. As conventional arms technology continues to advance, these warheads are becoming more accurate and reliable, catering to the modern warfare landscape. On the other hand, Nuclear Warheads, while traditionally viewed as strategic deterrents, are experiencing a resurgence in focus due to geopolitical tensions and arms race dynamics among nations. Their emerging status highlights an adaptive shift in defense strategies, pushing countries to modernize and enhance their nuclear arsenals while adhering to international treaties.

    Get more detailed insights about Submarine Launched Missile Market

    Regional Insights

    The  Submarine-Launched Missile Market demonstrated a robust diversity across regional markets, reflecting unique defense strategies and demands ly. In 2023, North America held a majority share with a valuation of 12.5 USD Billion, expected to rise to 15.0 USD Billion by 2032, showcasing its dominance and significant investment in defense capabilities.

    Europe followed with 8.0 USD Billion in 2023 and an anticipated increase to 9.5 USD Billion in 2032, indicating a strong commitment to enhancing military readiness. Meanwhile, the APAC region contributed 6.0 USD Billion in 2023, with growth to 7.5 USD Billion by 2032, driven by increasing regional tensions and military modernization efforts.

    South America, with a value of 3.5 USD Billion in 2023, is projected to modestly grow to 4.0 USD Billion, reflecting a smaller yet emerging interest in submarine-launched capabilities. The Middle East and Africa (MEA) market began at 2.27 USD Billion in 2023 and had the potential to reach 4.1 USD Billion by 2032, showing significant growth opportunities arising from geopolitical shifts.

    These insights illustrated the intricate landscape of the  Submarine-Launched Missile Market revenue and highlighted the shifting dynamics across key regions, with North America maintaining a leading position against a backdrop of evolving  security initiatives.

     Submarine-Launched Missile Market

    Source Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Key Players and Competitive Insights

    The  Submarine-Launched Missile Market has been witnessing an upward trajectory due to various geopolitical dynamics and the growing need for advanced military capabilities. The competitive landscape of this market is influenced by the increasing investment in naval warfare technology, with countries aiming to enhance their deterrent capabilities through submarine-launched systems.

    As nations seek to modernize their fleets and safeguard their maritime security interests, the competition among key players has intensified. Factors such as technological advancements, partnerships, and defense spending play pivotal roles in shaping the competitive environment, where companies must consistently innovate and adapt to meet the evolving demands of militaries around the world.

    International Submarine Engineering has established itself as a notable player within the  Submarine-Launched Missile Market, leveraging its expertise in submarine design and engineering solutions. The company excels in producing innovative technologies that enhance submarine capabilities, contributing to more effective missile systems.

    With a robust portfolio that focuses on underwater vehicles and systems integration, International Submarine Engineering has successfully positioned itself to respond to the critical needs of contemporary naval forces.

    Its strengths lie in its adaptability to evolving technological trends, a proven track record in project delivery, and an emphasis on safety and performance, which ensures that its products can meet the rigorous standards demanded by military applications.

    General Dynamics is another significant entity in the  Submarine-Launched Missile Market, renowned for its comprehensive range of defense products and services. The firm benefits from a strong reputation in the field of military technology, particularly within the realm of submarines and related launch systems.

    General Dynamics has made significant investments in research and development, leading to advancements in missile technology and submarine warfare strategies. Its solid foundation in engineering excellence, coupled with a focus on customer collaboration, allows General Dynamics to deliver highly effective, reliable, and state-of-the-art missile systems.

    This positions the company as a vital contributor to modern naval capabilities, enabling the enhancement of strategic deterrence and operational effectiveness for its clients.

    Key Companies in the Submarine Launched Missile Market market include

    Industry Developments

    Recent developments in the  Submarine-Launched Missile Market reflect an enhanced focus on defense capabilities among various nations. Companies such as Boeing, Lockheed Martin, and Northrop Grumman have been actively involved in advancing their submarine-launched missile technologies, particularly in response to rising geopolitical tensions.

    Additionally, Saab AB and Kongsberg Gruppen have been collaborating on innovative systems to bolster their offerings in this competitive landscape. The market has also seen significant valuations, influenced by greater defense budgets aimed at enhancing maritime security.

    Moreover, there has been notable activity in mergers and acquisitions; for instance, Raytheon Technologies has been involved in strategic partnerships aimed at expanding its missile capabilities. Other key players like Thales Group and MBDA continue to pursue technological advancements and collaboration, reflecting the growing demand for advanced submarine-launched systems.

    The ongoing defense transformation and budget allocations are expected to drive market growth, further emphasizing the importance of strategic alliances and technological innovation among leading corporations in this sector.

    Submarine Launched Missile Market Size is expected to reach USD 500.1 Million by 2030, registering a CAGR of 5.5% during 2024-2030.

    A submarine-launched missile can be launched from a submarine, water to air, or water to the ground. Submarine-launched missiles are categorized into ballistic missiles (SLBMs) and cruise missiles (SLCMs). SLCMs can be launched in a low-altitude trajectory, whereas SLBMs are launched vertically. The global submarine-launched missile market is anticipated to register a CAGR of about 7% during the forecast period. The major driver for the market is the rising focus of countries on fortifying security measures while developing modified versions of military weaponry and hardware.

    There is a rising need for the defense authorities of various countries, to engage in combat capabilities, and to exercise enhanced control over the country’s border or neighboring countries.

    Segmentation of the Submarine Launched Missile Market

    MRFR segments the global submarine launched missile market based on type, application, and region. Based on type, submarine-launched cruise missile (SLCM) segment accounted for the largest market share of 67.36% in 2018 and is projected to show a CAGR of 8.69% during the forecast period. Based on application, national defense segment is anticipated to register the highest CAGR  2018 due to rising territorial dispute among the countries. Based on region, Asia-Pacific has the largest demand for the submarine launched missile market.

    The aircraft turbofan engine market is emerging China, India, and Japan, among other countries, and is projected to grow at a high rate due to the rising naval spending during the forecast period. North America leads the global submarine-launched missile market in terms of government spending and technological advancements, thereby generating a very high demand for submarine-launched missiles. Although Canada invests significantly in the development of such missiles, the market is primarily driven by the US.

    Recent Development

    On September 27, 2023, Lockheed Martin successfully launched an unarmed Trident II D5 Life Extension Fleet Ballistic Missile (FBM) as part of Demonstration and Shakedown Operation-32 (DASO-32) with the U.S. Navy.

    Key Players

    The key players in the submarine launched missile market are Airbus Defense and Space (Germany), Boeing Defense (US), BrahMos Aerospace Limited (India), Lockheed Martin Corporation (US), Raytheon Company (US), BAE Systems (UK), General Dynamics (UK), MBDA (France), and Moscow Institute of Thermal Technology (Russia).

    Research Methodology

    The market values and forecast are derived using the Market Research Future (MRFR) research methodology, which includes secondary research, primary interviews, data triangulation, and validation from an in-house data repository and statistical modeling tools.

    Secondary Research

    In this process, data is collected from various secondary sources, including annual reports, SEC filings, journals, government associations, aerospace & defense magazines, white papers, corporate presentations, company websites, and paid databases.

    Primary Research

    In this process, both the demand- and supply-side parties are interviewed to extract facts and insights into the market forecast, production, trends, and projected market growth. Industry stakeholders such as CEOs, VPs, directors, and marketing executives across the value chain are approached to obtain key information.

    Key Insights

      • Market Sizing, Forecast, and Analysis: Detailed coverage of the market segment and sub-segments

      • Regional/Country Trends and Forecast: Detailed analysis of the market in North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America, along with key countries in each region

      • Market Dynamics Intelligence: Market drivers, opportunities, trends, restraints, Porter’s five forces, supply chain, and value chain analysis

      • Technology Trends, Regulatory Landscape, and Patent Analysis Outlook

      • Competitive Intelligence: Market share analysis, financial analysis, product benchmarking, and strategic developments including joint ventures, product launches, and mergers & acquisitions

      • Regional attractiveness and related growth opportunities

    Report Customization

    MRFR offers report customization to valued customers. Below are the options available for customization:

    Company Profiles

    In-depth profiling of additional market players (3 to 4 companies)

    Country-Level Analysis

    Detailed analysis of a country-level market and related segments as per the report scope (subject to data availability)

    Intended Audience

      • OEMs

      • Equipment/system suppliers

      • Potential investors

      • Key executive and strategy growth manager

      • End users

      • Technology investors

      • Government institutions

      • Consultancy firms

    Future Outlook

    Submarine Launched Missile Market Future Outlook

    The Submarine-Launched Missile Market is projected to grow at a 2.44% CAGR from 2024 to 2035, driven by technological advancements and increasing defense budgets.

    New opportunities lie in:

    • Development of advanced stealth missile systems
    • Integration of AI for targeting and navigation
    • Expansion into emerging markets with naval capabilities

    By 2035, the market is expected to be robust, reflecting strategic advancements and increased global defense investments.

    Market Segmentation

    Submarine Launched Missile Market Type Outlook

    • Ballistic Missiles
    • Cruise Missiles
    • Hypersonic Missiles

    Submarine Launched Missile Market Payload Outlook

    • Conventional Warheads
    • Nuclear Warheads
    • Multiple Independently Targetable Reentry Vehicles

    Submarine Launched Missile Market Target Type Outlook

    • Land Targets
    • Sea-Based Targets
    • Airborne Targets

    Submarine Launched Missile Market Launch Platform Outlook

    • Nuclear Submarines
    • Diesel-Electric Submarines
    • Multi-Role Submarines

    Report Scope

    MARKET SIZE 202433.06(USD Billion)
    MARKET SIZE 202533.86(USD Billion)
    MARKET SIZE 203543.1(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR)2.44% (2024 - 2035)
    REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR2024
    Market Forecast Period2025 - 2035
    Historical Data2019 - 2024
    Market Forecast UnitsUSD Billion
    Key Companies ProfiledMarket analysis in progress
    Segments CoveredMarket segmentation analysis in progress
    Key Market OpportunitiesAdvancements in stealth technology enhance strategic capabilities in the Submarine-Launched Missile Market.
    Key Market DynamicsTechnological advancements and geopolitical tensions drive demand for enhanced submarine-launched missile capabilities and modernization efforts.
    Countries CoveredNorth America, Europe, APAC, South America, MEA

    Market Highlights

    Author
    Sejal Akre
    Senior Research Analyst

    She has over 5 years of rich experience, in market research and consulting providing valuable market insights to client. Hands on expertise in management consulting, and extensive knowledge in domain including ICT, Automotive & Transportation and Aerospace & Defense. She is skilled in Go-to market strategy, industry analysis, market sizing, in depth company profiling, competitive intelligence & benchmarking and value chain amongst others.

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    FAQs

    What is the expected market size of the Submarine-Launched Missile Market in 2032?

    The market is expected to be valued at 40.1 USD Billion in 2032.

    What was the market value of the Submarine-Launched Missile Market in 2023?

    In 2023, the market was valued at 32.27 USD Billion.

    What is the expected CAGR for the Submarine-Launched Missile Market from 2024 to 2032?

    The expected CAGR for the market during this period is 2.44%.

    Which region is projected to have the largest market share in 2032?

    North America is projected to hold the largest market share, valued at 15.0 USD Billion in 2032.

    What are the three main types of missiles in the Submarine-Launched Missile Market?

    The market is divided into Ballistic Missiles, Cruise Missiles, and Hypersonic Missiles.

    What will be the market value of Ballistic Missiles in 2032?

    The market for Ballistic Missiles is expected to be valued at 15.8 USD Billion in 2032.

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