Taiwan Defense Market - Size and trends, budget allocation, regulations, key acquisitions, competitive landscape and forecast, 2025-2030

Taiwan Defense Market - Size and trends, budget allocation, regulations, key acquisitions, competitive landscape and forecast, 2025-2030 report provides the market size forecast and the projected growth rate for the next five years. The report covers industry analysis including the key market drivers, emerging technology trends, and major challenges faced by market participants. It also offers insights regarding key factors and government programs that are expected to influence the demand for military platforms over the forecast period.

Taiwan faces nearly constant challenges from China’s armed forces in the waters and airspace near the island, including regular Chinese air force missions into the Taiwanese air defense identification zone. In order to mitigate this threat, the country plans to increase its defense expenditure, with significant and steady investments in defense procurements. Some of its current key defense procurements are 56 F-16V aircraft, 108 M1A2 Abrams tanks, and stinger missiles, along with other equipment. The Taiwanese defense budget valued $20.3 billion in 2025 and registered a CAGR of 9.8% during the historic period. Over the forecast period, Taiwanese defense expenditure is anticipated to register a CAGR of 2.8% to value $23.5 billion in 2030 due to the People's Republic of China's (PRC) assertiveness with regards to its 'One China Policy'.

Key Highlights

• Drivers of Threats posed by terrorist organizations such as Significant military modernization of Taiwan’s armed forces, Aggravation of dispute between China and Taiwan,Military modernization of neighboring countries poses a security threat to Taiwan
• Major ongoing procurement program include procurement of F-16V, Hai Kun-class (Indigenous Defense Submarine (IDS)), and Harpoon Coastal Defense Systems (HCDS)

Scope

This report offers a detailed analysis of Taiwan's defense market, with market size forecasts covering the next five years. It also offers insights into the strategy, security environment and defense market dynamics of the country. Various sections covered in the report are as follows:

• Defense Budget Assessment: This chapter covers the defense budgeting process, market size forecasts, drivers of expenditure, and allocation analysis. It also examines key market trends and insights.
• Military Doctrine and Security Environment: Detailed analysis of military doctrine, strategic alliances, geopolitical dynamics, and the political, social, and economic factors influencing the security environment.
• Market Entry Strategy and Regulations: This section elaborates on essential aspects of procurement policy and market regulations, market entry routes, key defense procurement bodies and major deals.
• Market attractiveness and emerging opportunities: It evaluates the attractiveness of various defense sectors, indicating cumulative market value, and highlights the top sectors and defense segments by value in the country.
• Defense Platform Acquisitions: It offers an overview of defense platform acquisitions by value. It lists current defense procurement schedules for the major ongoing and planned military platforms that have been formulated in the country and elaborates on the reasons leading to the procurement of the same.
• Fleet Size: Outlines the current fleet sizes of the Army, Air Force, and Navy, detailing the year of acquisition, units in service, and the prime contractor for the equipment.
• Competitive Landscape: Profiles the main defense companies operating in the country, offering insights into their business overviews, latest contracts, and financial results.

Reasons to Buy

• Determine prospective investment areas based on a detailed trend analysis of the Taiwan defense market over the next five years
• Gain in-depth understanding about the underlying factors driving demand for different defense and internal security segments in the Taiwan market and identify the opportunities offered.
• Strengthen your understanding of the market in terms of demand drivers, market trends, and the latest technological developments, among others
• Identify the major threats that are driving the Taiwan defense market providing a clear picture about future opportunities that can be tapped, resulting in revenue expansion
• Channel resources by focusing on the ongoing programs that are being undertaken by the Taiwan government
• Make correct business decisions based on in-depth analysis of the competitive landscape consisting of detailed profiles of the top defense equipment providers in the country. The company profiles also includes information about the key products, alliances, recent contract awarded, and financial analysis, wherever available