Military Infrastructure and Logistics Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 8.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Military Infrastructure and Logistics Market Analysis
The military infrastructure and logistics market is anticipated to grow with a CAGR of more than 8% during the forecast period.
The global military expenditure has experienced solid growth over the last decade to reach over USD 2 trillion in 2021 despite the COVID-19 pandemic. The defense expenditure is driven by ongoing regional and global conflicts, external and internal security threats, and the growing influence of radicalism leading to violence. Thus, several countries are investing in the construction of new military bases and the provisional upgrade and maintenance of defense assets, driving the military infrastructure and logistics sector.
The military infrastructure is driven by the need to establish well-connected strongholds across the borders of a country to effectively protect against several types of imminent and unknown threats, while the logistics segment is driven by the need to effectively manage the military supply chain for food, weapons, and other essential and non-essential requirements. Furthermore, increasing warfare situations, political disputes among neighbouring countries, and cross-border conflicts lead to growing spending on defense forces. The ongoing war between Russia and Ukraine and tensions between China and Taiwan and other conflicts creates demand for enhanced military infrastructure and logistics thus driving the growth of the market.
Military Infrastructure and Logistics Market Trends
This section covers the major market trends shaping the Military Infrastructure & Logistics Market according to our research experts:
Infrastructure Construction Segment to Witness the Highest CAGR During the Forecast Period
The infrastructure construction segment is projected to show remarkable growth during the forecast period. The growth is attributed to the increasing expenditure in the defense sector, rising military infrastructure projects, and expansion of military forces. Furthermore, on account of the profound changes in the international strategic landscape, the configuration of the international security system has been undermined by the growing hegemonism, unilateralism, and power politics that have fuelled several ongoing regional conflicts. The defense expenditure was directly influenced by the ongoing geopolitical rift in the region and was majorly driven by the race for achieving technological superiority over other countries. To address the evolving threats, major countries in the region are realigning their military strategies and organizational structures.
Hence, several countries are actively constructing new military bases to maximize their extent of control over a strategically viable area. For instance, in April 2022, the Naval Facilities Engineering Systems Command (NAVFAC) signed a contract worth USD 106 million to a Black Construction-Tutor Perini joint venture for the construction of a bachelor officer quarters. The project is expected to complete in 2024. Such developments are envisioned to bolster the growth prospects of the infrastructure segment during the forecast period.
North America is Expected to Lead the Market During the Forecast Period
The United States, one of the leading defense spenders, globally, is focusing on increasing its defense expenditure every year. The United States spend nearly USD 801 billion on the defense sector in 2021. Increasing expenditure on enhancing military capabilities and construction of advanced military bases for defense forces drive the growth of the market. In the 2022 United States defense budget, the Marine Corps proposed USD 2.4 billion in support of infrastructure funding that includes USD 1.1 billion in Military Construction (MILCON) for operational facilities, training facilities, Guam relocation, and design of other minor construction projects. In addition to that, USD 1.3 billion is requested for restoration, facilities sustainment, and modernization.
Several contracts have been awarded lately to develop an effective and efficient military infrastructure layout and logistics system. For instance, in May 2022, the United States Air Force awarded the largest military construction contract for F-35 facilities at Tyndall. The contract was worth USD 604 million for the rebuild of Tyndall Air Force Base. The rebuild includes more than 40 military construction projects at Tyndall. It will support the F-35s including a maintenance complex, hangars, a headquarters, an equipment storage facility, and a training facility. Thus, increasing investments in constructing new military bases for various platforms drive the growth of the market.
Military Infrastructure and Logistics Industry Overview
The military infrastructure market is consolidated in nature with the presence of a few global players holding significant shares in the market. Some of the key players in the market are ANHM FZCO, DynCorp International LLC, KBR Inc., Lockheed Martin Corporation, ManTech International, and others. The stringent safety and regulatory policies in the defense sector are expected to restrict the entry of new players. Furthermore, the market is primarily influenced by the prevalent economic conditions in dominant markets like the United States. Rising expenditures from the defense forces for the military infrastructure and logistics and growing contracts with OEMs will create better opportunities in the coming years.
Military Infrastructure and Logistics Market Leaders
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ANHAM FZCO
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DynCorp International LLC
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KBR Inc.
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Lockheed Martin Corporation
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ManTech International Corporation
*Disclaimer: Major Players sorted in no particular order
Military Infrastructure and Logistics Market News
In September 2022, Conti Federal Services, a government construction, and engineering company specializing in military and secure construction in the United States signed a contract worth USD 140.9 million with the United States Army Corps of Engineers (USACE) to construct a new aircraft complex at Francis E. Warren Air Force Base in Cheyenne, Wyoming.
In May 2022, Hensel Phelps Construction Co. received a contract worth USD 531.7 million from the United States Army Corps of Engineers to build flightline area facilities at Tyndall Air Force Base in Florida. The Department of Defense announced that the 11-facility construction project includes site improvement detection and protection features, and security enhancements.
Military Infrastructure and Logistics Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Market Drivers
- 4.3 Market Restraints
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4.4 Porter's Five Forces Analysis
- 4.4.1 Threat of New Entrants
- 4.4.2 Bargaining Power of Buyers/Consumers
- 4.4.3 Bargaining Power of Suppliers
- 4.4.4 Threat of Substitute Products
- 4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
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5.1 Solution
- 5.1.1 Infrastructure Construction
- 5.1.2 Facilities Management
- 5.1.3 Logistics
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5.2 Geography
- 5.2.1 North America
- 5.2.1.1 United States
- 5.2.1.2 Canada
- 5.2.2 Europe
- 5.2.2.1 United Kingdom
- 5.2.2.2 Germany
- 5.2.2.3 France
- 5.2.2.4 Russia
- 5.2.2.5 Rest of Europe
- 5.2.3 Asia-Pacific
- 5.2.3.1 China
- 5.2.3.2 India
- 5.2.3.3 Japan
- 5.2.3.4 South Korea
- 5.2.3.5 Rest of Asia-Pacific
- 5.2.4 Latin America
- 5.2.4.1 Brazil
- 5.2.4.2 Rest of Latin America
- 5.2.5 Middle East and Africa
- 5.2.5.1 Saudi Arabia
- 5.2.5.2 United Arab Emirates
- 5.2.5.3 South Africa
- 5.2.5.4 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
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6.1 Company Profiles
- 6.1.1 ANHAM FZCO
- 6.1.2 Claxton Logistics Services
- 6.1.3 DynCorp International LLC
- 6.1.4 FedEx Corporation
- 6.1.5 Fluor Corporation
- 6.1.6 KBR Inc.
- 6.1.7 Klinge Corporation
- 6.1.8 Lockheed Martin Corporation
- 6.1.9 ManTech International Corporation
- 6.1.10 One Network Enterprises
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablityMilitary Infrastructure and Logistics Industry Segmentation
Military infrastructure and logistics services are essential elements for the functioning of the armed forces as they facilitate the timely delivery and supply of essential materials such as ration, equipment, arms, and ammunition to the military bases for sustained operation. To depict a holistic overview, the various military infrastructure and logistics service providers are considered under the purview of the report. The report also takes into account the various research and development (R&D) initiatives undertaken by the defense forces and associated supply chain players to enhance the degree of responsiveness and visibility of in-transit items in the military logistics sector.
The military infrastructure and logistics market is segmented based on the solution and geography. By solution, the market is segmented into infrastructure construction, facilities management, and logistics. The market sizing and forecasts have been provided in value (USD billion).
| Solution | Infrastructure Construction | |
| Facilities Management | ||
| Logistics | ||
| Geography | North America | United States |
| Canada | ||
| Geography | Europe | United Kingdom |
| Germany | ||
| France | ||
| Russia | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| India | ||
| Japan | ||
| South Korea | ||
| Rest of Asia-Pacific | ||
| Geography | Latin America | Brazil |
| Rest of Latin America | ||
| Geography | Middle East and Africa | Saudi Arabia |
| United Arab Emirates | ||
| South Africa | ||
| Rest of Middle East and Africa |
Military Infrastructure and Logistics Market Research FAQs
What is the current Military Infrastructure and Logistics Market size?
The Military Infrastructure and Logistics Market is projected to register a CAGR of greater than 8% during the forecast period (2024-2029)
Who are the key players in Military Infrastructure and Logistics Market?
ANHAM FZCO, DynCorp International LLC, KBR Inc., Lockheed Martin Corporation and ManTech International Corporation are the major companies operating in the Military Infrastructure and Logistics Market.
Which is the fastest growing region in Military Infrastructure and Logistics Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Military Infrastructure and Logistics Market?
In 2024, the North America accounts for the largest market share in Military Infrastructure and Logistics Market.
What years does this Military Infrastructure and Logistics Market cover?
The report covers the Military Infrastructure and Logistics Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Military Infrastructure and Logistics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Military Logistics Industry Report
The global military logistics market is a crucial segment of the defense industry, encompassing various solutions such as infrastructure construction, facilities management, and logistics. The market is analyzed across different regions including North America, Europe, Asia-Pacific, Latin America, and the Middle-East and Africa. This report provides a comprehensive market analysis, offering insights into the market size, market share, and market forecast.
The industry analysis reveals significant trends and growth rates, highlighting the importance of efficient logistics in military operations. The industry overview and market outlook indicate a positive trajectory, driven by advancements in technology and increased defense budgets. The market segmentation covers various aspects of military logistics, providing detailed industry information and industry statistics to support strategic decision-making.
Key industry reports and industry research show that market leaders are focusing on enhancing their capabilities to meet the growing demands. The market review and market predictions suggest that the industry size will continue to expand, with substantial market growth expected in the coming years. The report example and report pdf offer a detailed examination of the market data, including market value and market trends.
The industry outlook emphasizes the need for continuous innovation and adaptation to changing geopolitical scenarios. Research companies play a pivotal role in providing market insights and supporting the development of effective logistics strategies. This report serves as an essential resource for understanding the dynamics of the military logistics market, offering valuable industry sales and market overview.
In conclusion, the global military logistics market is poised for significant growth, supported by comprehensive industry analysis and robust market forecast. The report provides a detailed examination of market segmentation, industry trends, and market leaders, ensuring that stakeholders have access to critical industry information and market data.
