Market Trends of Main Battle Tank Industry
Light Battle Tanks are Expected to Witness the Highest Growth in the Market During the Forecast Period
Light tanks, known for their agility and speed, were primarily designed for large-scale deployment. They often led frontal assaults that other units capitalized on. While they boast exceptional cross-country mobility, their armor protection or armament may vary based on design priorities. Concurrently, several nations invest in advanced main battle tanks for their armed forces.
Countries like India are developing and manufacturing indigenous tanks, as is the case with the production of the Arjun Tanks. Furthermore, nations such as Russia and China are actively researching the deployment of crewless battle tanks. In October 2022, General Dynamics Land Systems (GDLS) initiated the assembly of the US Army's Mobile Protected Firepower system, marking the force's first new combat vehicle in nearly four decades.
Illustrating this shift, in June 2022, the US Army awarded GDLS the contract to construct a light tank to enhance mobility, protection, and direct-fire capabilities for infantry brigade combat teams. With these advancements, the market for next-generation battle tanks is poised for significant growth, aligning with the modernization strategies of various militaries.
Europe is Expected to Dominate the Market During the Forecast Period
Unlike many nations that prioritize other armored vehicles over main battle tanks, European countries, including France and Germany, focus on acquiring new main battle tanks and upgrading their existing fleet.
France and Germany, among others, are teaming up to develop the next wave of MBTs. The conflict between Russia and Ukraine boosted the demand for combat vehicles. The United Kingdom, Italy, Finland, Croatia, Poland, Sweden, Turkey, France, and Germany are poised to drive this demand.
Highlighting this trend, Germany initiated testing on its Leopard 2 A7V models in March 2022; the first batch of 30 cutting-edge tanks officially entered military service in February 2022.
The conflict between Russia and Ukraine significantly shaped the demand landscape, especially evident in actions like Poland's announcement in June 2022. Poland's State Department greenlit a USD 6 billion contract for 250 M1A2SEPv3 Abrams battle tanks, emphasizing the rising tensions in Eastern Europe due to Russian activities near Ukraine. These dynamics collectively underscore a promising growth trajectory for the region's MBT market in the upcoming years.
