US Torpedo Market Research Report: By Operation (Autonomous, Guided), By Launch Platform (Aerial, Naval) and By Propulsion (Thermal Powered, Electric Powered) - Forecast to 2035

US Torpedo Market Overview

US Torpedo Market Size was estimated at 286.75 (USD Million) in 2023. The US Torpedo Market Industry is expected to grow from 300(USD Million) in 2024 to 600 (USD Million) by 2035. The US Torpedo Market CAGR (growth rate) is expected to be around 6.504% during the forecast period (2025 - 2035).

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Key US Torpedo Market Trends Highlighted

The US Torpedo Market is experiencing notable trends driven by advancements in technology and increasing defense budgets. Government initiatives are emphasizing modernization of naval forces, which leads to a greater demand for sophisticated torpedo systems, particularly those with enhanced stealth, guidance, and targeting capabilities. The ongoing focus on naval warfare tactics and asymmetric threats has propelled the US Navy to prioritize the integration of high-tech solutions into its torpedo arsenal. Furthermore, there is a growing emphasis on research and development, enabling manufacturers to innovate and produce next-generation torpedoes that can meet evolving military requirements.Opportunities within the US market are ripe for businesses willing to invest in emerging technologies, such as artificial intelligence and improved propulsion systems. With the global emphasis on enhancing maritime security, companies that specialize in maritime defense are well-positioned to collaborate with government contracts, fostering partnerships that could lead to expanded product offerings. The requirement for joint operations among allied forces presents another avenue for capturing market share, as interoperability becomes increasingly vital. In recent times, the US has ramped up its focus on anti-submarine warfare due to rising geopolitical tensions and regional threats.This shift has spurred innovation and demand for advanced torpedoes that can be integrated with unmanned systems and advanced naval platforms. As environmental considerations gain traction, there is also a growing trend towards the development of greener torpedo technologies. The combination of these drivers and opportunities is shaping a dynamic market landscape for torpedo systems in the US, making it essential for stakeholders to stay ahead of technological and strategic developments.

US Torpedo Market Drivers

Rising Defense Expenditure in the United States

The US Torpedo Market Industry is significantly influenced by the increasing government defense budget, which has seen a consistent rise over the past few years. In the fiscal year 2023, the United States Department of Defense announced a budget exceeding 800 billion USD dedicated to national defense. This increase supports the development and procurement of advanced military technologies, including torpedoes, which are essential for naval combat readiness.The National Defense Strategy emphasizes the importance of modernizing and maintaining a competitive edge in undersea warfare capabilities. With recent geopolitical tensions and rising threats, the United States remains committed to investing in its naval force, which experts believe will contribute to substantial growth in the US Torpedo Market. Moreover, these investments are projected to create opportunities for both established companies and emerging players within the industry.

Technological Advancements in Torpedo Systems

Continuous Research and Development (R&D) in the field of torpedo technology is a key driver for the US Torpedo Market Industry. Recent innovations focus on improving the stealth, speed, and guidance systems of torpedoes, making them more effective against sophisticated underwater threats. The Navy’s adoption of cutting-edge technologies, such as artificial intelligence (AI) and enhanced sensor systems, is driving the demand for advanced torpedo solutions.For instance, the introduction of the new Mark 48 Advanced Capability (ACAP) torpedo showcases technology enhancements that meet evolving combat requirements. Such advancements are essential for maintaining the effectiveness of the naval fleet, with organizations like the United States Navy influencing these developments significantly.

Increased Naval Warfare Activities

The rise in naval warfare activities globally, particularly in contested regions, has contributed to increased demand for advanced torpedoes within the US Torpedo Market Industry. The United States Navy's expanded focus on operations in contested maritime environments, particularly in the Indo-Pacific region, underscores the need for improved submarine warfare capabilities that rely on torpedo systems. According to reports from the Department of Defense, the US is engaging more frequently in naval exercises and training missions, directly correlating with heightened procurement and deployment of torpedo systems to enhance combat effectiveness.As threats evolve, so does the requirement for superior torpedo technologies to ensure national security.

Growing Focus on Undersea Warfare Preparedness

As global threats increase, the emphasis on undersea warfare preparedness has intensified, catalyzing the US Torpedo Market Industry growth. The United States is a pioneer in underwater warfare strategy, and recent Defense strategies highlight a thorough focus on strengthening undersea capabilities through advanced torpedoes. Reports indicate that undersea warfare represents a critical aspect of the US Navy’s operational strategy, influencing budget allocations and technology development.Furthermore, the growing presence of submarine fleets and the integration of unmanned systems are driving demand for torpedoes with advanced tracking and targeting capabilities. Organizations such as the Center for Strategic and Budgetary Assessments emphasize the need for strategic readiness in undersea operations, which is a critical consideration for future market expansion.

US Torpedo Market Segment Insights

Torpedo Market Operation Insights

The Operation segment of the US Torpedo Market is witnessing notable developments as the demand for advanced maritime capabilities continues to rise. The market is characterized by a strong focus on enhancing the effectiveness and precision of torpedoes, significantly influenced by advancements in technology and the strategic objectives of the US Navy. The US government emphasizes the importance of maintaining a robust naval fleet, which consequently drives investments and innovations in the torpedo sector. Within the Operational landscape, the two primary domains are Autonomous and Guided systems. Autonomous torpedoes represent a crucial facet of modern maritime warfare, as they leverage sophisticated algorithms and sensors to operate independently, enhancing operational efficiency and reducing risks to crewed vessels. The implementation of Artificial Intelligence and machine learning methodologies within Autonomous systems contributes to improved targeting accuracy and decision-making capabilities, positioning this sub-segment at the forefront of the market evolution. On the other hand, Guided torpedoes continue to dominate due to their proven success in engagements. These systems are designed to remain on target and use guidance systems that enhance their ability to accurately hit designated targets, making them indispensable in both offensive and defensive operations.The US Torpedo Market has the potential for significant growth due to evolving geopolitics and the increasing importance of undersea warfare capabilities. Factors such as rising defense budgets, the modernization of naval fleets, and the need for enhanced maritime security propel the growth trajectory of the Operation segment. Furthermore, collaborations and partnerships between various defense contractors and government entities facilitate the rapid development of innovative solutions in torpedo operations. The market data indicates a clear trend toward increased research and development efforts, particularly within the Autonomous and Guided segments, as stakeholders aim to outpace emerging threats and adapt to the changing dynamics of naval warfare. With continuous advancements and the handling of emerging challenges, such as countermeasures against torpedo systems, the significance of both Autonomous and Guided categories within the US Torpedo Market cannot be overstated. Each segment plays a vital role in ensuring competitive advantages in naval operations and reflects broader trends within the defense industry. As the US seeks to maintain its naval superiority in an increasingly complex global environment, the insights noted emphasize the importance of both technological innovations and strategic enhancements within the Operation segment of the Torpedo Market.

 

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Torpedo Market Launch Platform Insights

 

The Launch Platform segment of the US Torpedo Market plays a crucial role in enhancing the operational capabilities of naval forces. The importance of this segment is underscored by the significant demand for advanced launch systems that can deploy torpedoes effectively from various platforms. The aerial segment is gaining traction due to the increasing integration of torpedo capabilities into unmanned aerial vehicles (UAVs), allowing for enhanced reach and strategic advantages in surveillance and strike operations. On the other hand, naval platforms remain vital as they provide the primary means of launching torpedoes from submarines and surface ships, reinforcing the US Navy's capabilities in anti-surface and anti-submarine warfare.The evolution of technology in these areas is driven by the need for improved accuracy, range, and versatility of torpedo systems. Moreover, defense spending in the US continues to support the development of advanced launch platforms, thus contributing effectively to the overall growth of the US Torpedo Market revenue. Increasing geopolitical tensions and the ongoing modernization of naval fleets are also significant growth drivers for this segment. As such, the Launch Platform segment within the US Torpedo Market presents both opportunities and challenges as it adapts to emerging technologies and evolving combat scenarios.

Torpedo Market Propulsion Insights

 

The Propulsion segment of the US Torpedo Market plays a vital role in enhancing underwater warfare capabilities. This segment is primarily divided into Thermal Powered and Electric Powered systems, both contributing significantly to operational efficiency. Thermal Powered systems are known for their high speed and range, making them a dominant choice for military applications where rapid deployment is critical. On the other hand, Electric Powered systems offer stealth and reduced acoustic signatures, which are essential for covert operations. The growing emphasis on advanced technologies and the development of hybrid propulsion systems are driving innovations in this segment.The increasing adoption of unmanned underwater vehicles (UUVs) also reflects this growth, as both propulsion types can be effectively integrated into these platforms. Furthermore, the US government continues to invest in Research and Development to advance propulsion technologies, ensuring that the military remains equipped with state-of-the-art capabilities. The evolving nature of underwater threats and the need for enhanced tactical advantages further reinforce the significance of the Propulsion segment within the broader US Torpedo Market landscape.

US Torpedo Market Key Players and Competitive Insights:

The US Torpedo Market is characterized by a complex competitive landscape driven by technological advancements, strategic partnerships, and an increasing focus on naval warfare capabilities. The market is dominated by a few key players that offer a range of torpedo systems designed for various platforms such as submarines, surface ships, and aircraft. As defense budgets in the United States continue to see incremental increases, the demand for modernized torpedo systems that can engage both traditional and asymmetrical threats is intensifying. This competitive environment pushes companies to innovate and expand their product portfolios to maintain or enhance market share, focusing on both performance and cost-effectiveness to meet the evolving demands of the US Navy and other defense agencies.Raytheon Technologies holds a significant position in the US Torpedo Market thanks to its robust research and development capabilities, allowing for cutting-edge technology and high-performance torpedo systems. The company's extensive experience in defense contracting and its history of providing reliable systems to the US military solidify its competitive advantage. Raytheon Technologies emphasizes advanced sonar and guidance systems in their torpedo offerings, enhancing target acquisition and engagement capabilities. Their strong market presence is supported by ongoing contracts and a commitment to meeting stringent military specifications, ensuring that they remain a go-to supplier for naval warfare solutions in the US market.Huntington Ingalls Industries is another major player in the US Torpedo Market, known for its comprehensive portfolio of products and services related to naval defense. The company specializes in the design and manufacturing of cutting-edge torpedoes and related systems, bolstering the capabilities of the US Navy. Their strengths lie in their proven track record of successful contracts and robust supply chain management, which allows them to deliver high-quality products efficiently. Huntington Ingalls Industries is also engaged in strategic mergers and acquisitions that enhance its technological prowess and market reach, positioning itself as a forward-thinking entity in the defense sector. Their commitment to innovation and adaptability in fulfilling the unique demands of the US defense landscape enables them to solidify their standing in the competitive arena of the torpedo market.

Key Companies in the US Torpedo Market Include

US Torpedo Market Industry Developments

Recent developments in the US Torpedo Market have seen significant advancements and collaborations among key players such as Raytheon Technologies, Lockheed Martin, and Northrop Grumman, driven by increasing defense budgets aimed at enhancing naval capabilities. Notably, in September 2023, Raytheon Technologies partnered with BAE Systems to develop the next-generation torpedo systems equipped with advanced guidance technology. Furthermore, mergers and acquisitions have impacted the landscape, with Huntington Ingalls Industries acquiring a submarine division to bolster its underwater warfare capabilities in August 2023. These strategic moves reflect the ongoing demand for enhanced maritime security solutions in the face of geopolitical tensions. Growth in the valuation of companies within the US Torpedo Market continues, with increased investments in Research and Development to innovate torpedo designs and enhance payload capabilities. Over the past two years, several government contracts have been awarded to firms like General Dynamics and Saab AB, specifically focusing on modernizing existing torpedo fleets while aiming for sustainability in military operations. The combined efforts of these companies ensure a robust and evolving market poised to meet emerging threats and technological challenges.

US Torpedo Market Segmentation Insights

Torpedo Market Operation Outlook

• Autonomous


• Guided

Torpedo Market Launch Platform Outlook

• Aerial


• Naval

Torpedo Market Propulsion Outlook

• Thermal Powered


• Electric Powered

Report Attribute/Metric Source:	Details
MARKET SIZE 2018	286.75(USD Million)
MARKET SIZE 2024	300.0(USD Million)
MARKET SIZE 2035	600.0(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)	6.504% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Million
KEY COMPANIES PROFILED	Raytheon Technologies, Huntington Ingalls Industries, Saab AB, Lockheed Martin, General Dynamics, ThyssenKrupp Marine Systems, Leonardo S.p.A., Atlas Elektronik GmbH, BAE Systems, Rheinmetall AG, Euronav, Torpedo Dynamics, Elbit Systems, Northrop Grumman, Kongsberg Gruppen
SEGMENTS COVERED	Operation, Launch Platform, Propulsion
KEY MARKET OPPORTUNITIES	Increased defense budgets, Emerging underwater threats, Advanced torpedo technologies, Upgrades for legacy systems, International collaboration on naval projects
KEY MARKET DYNAMICS	increased military spending, technological advancements, naval defense modernization, geopolitical tensions, demand for advanced armaments
COUNTRIES COVERED	US