Coastal Surveillance Market Report 2025

The coastal surveillance market size has grown strongly in recent years. It will grow from $33.6 billion in 2024 to $36.32 billion in 2025 at a compound annual growth rate (CAGR) of 8.1%. The increase observed during the past years is driven by escalating maritime piracy and smuggling activities, the expansion of global maritime trade, territorial disputes and naval tensions, reforms in maritime security following 9/11, and various government modernization initiatives.

The coastal surveillance market size is expected to see strong growth in the next few years. It will grow to $48.91 billion in 2029 at a compound annual growth rate (CAGR) of 7.7%. This growth will be supported by rising defense budgets in coastal countries, increasing challenges from gray-zone maritime activities, the need for monitoring coastal disasters and climate change effects, global efforts to combat illegal, unreported, and unregulated (IUU) fishing, and the development of critical coastal infrastructure. Key trends projected include AI-powered surveillance and decision-making tools, implementation of quantum-resistant cybersecurity measures, adoption of edge AI and fog computing technologies, and the combination of hybrid electro-optical with radar sensor systems.

Increasing defense spending driven by escalating geopolitical tensions and regional security issues worldwide is expected to significantly boost the coastal surveillance market. Defense expenditure, which comprises a country's financial allocation for military personnel, equipment, operations, and research, plays a crucial role in enhancing coastal monitoring capabilities. This funding supports the acquisition of advanced technology and equipment, strengthening maritime security efforts and enabling swift responses to coastal threats. For example, according to the Stockholm International Peace Research Institute (SIPRI), global military spending reached $2.44 trillion in 2023, reflecting a 6.8% rise compared to 2022. Consequently, this rise in defense expenditure is poised to drive growth in the coastal surveillance market.

Leading companies in the coastal surveillance market are concentrating on developing cutting-edge solutions to improve maritime security and situational awareness. Advanced coastal surveillance systems refer to complex technological setups designed to monitor, detect, and control activities along coastal areas and maritime borders. For instance, in November 2024, Thales S.A., a French aerospace firm, introduced CoastShield, which offers real-time monitoring and detection of coastal activities from shore to open sea and within lower-altitude airspace. CoastShield features modular and scalable design, integration of advanced sensors such as the CoastWatcher 100 radar, AI-driven situational awareness in real-time, and the capacity to monitor and detect coastal activities up to 100 nautical miles away in all weather conditions.

In September 2023, CLS Group, a US-based financial infrastructure firm, acquired SAT ONE, an Australian low Earth orbit (LEO) satellite company, for an undisclosed sum. This acquisition aims to bolster CLS Group’s technological capabilities and broaden its services in foreign exchange and fintech sectors by leveraging SAT ONE’s satellite communication technology to enhance coastal surveillance.

Major players in the coastal surveillance market are RTX Corporation, Lockheed Martin Corporation, Northrop Grumman Corporation, Thales S.A., L3Harris Technologies Inc., Wärtsilä Corporation, Elbit Systems Ltd., SAAB Aktiebolag, Indra Sistemas S.A., Kongsberg Gruppen ASA, Leonardo S.p.A., HENSOLDT AG, Frequentis AG, HAVELSAN Inc., Terma A/S, Tokyo Keiki Inc., Selex ES S.p.A., HGH Systèmes Infrarouges SAS, Controp Precision Technologies Ltd., Kelvin Hughes Ltd.

North America was the largest region in the coastal surveillance market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in coastal surveillance report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the coastal surveillance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp hike in U.S. tariffs and the associated trade disputes in spring 2025 are notably impacting the aerospace and defense sector by raising costs for titanium, carbon fiber composites, and avionics materials largely sourced from global suppliers. Defense contractors, locked into fixed-price government contracts, absorb these added costs, while commercial aerospace firms face airline pushback on higher aircraft prices. Delays in component shipments due to customs bottlenecks further disrupt tight production schedules for jets and satellites. The industry is responding by stockpiling critical materials, seeking waivers for defense-related imports, and collaborating with allied nations to diversify supply chain.

Coastal surveillance involves monitoring and observing coastal zones to identify and address potential threats or unlawful activities, such as smuggling, unauthorized vessel movements, or environmental dangers. It plays a critical role in enhancing maritime security by detecting suspicious behaviors, preventing illegal trafficking, and safeguarding coastal borders along with maritime resources.

The main types of coastal surveillance are X-band, S-band, X-band and S-band, and other types. X-band refers to a segment of the microwave radio spectrum in the frequency range of approximately 8 to 12 GHz. These are used for various components, including command and control, intelligence, reconnaissance, and electronic warfare. They encompass large-scale and moderate-scale surveillance system platforms used for applications such as command and control (C2), computers, communication, intelligence, surveillance, reconnaissance (ISR), and others. These systems serve multiple end users, including ports, harbors, oil and gas, and maritime protection agencies.

The coastal surveillance market research report is one of a series of new reports that provides coastal surveillance market statistics, including coastal surveillance industry global market size, regional shares, competitors with a coastal surveillance market share, coastal surveillance market segments, market trends and opportunities, and any further data you may need to thrive in the coastal surveillance industry. This coastal surveillance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The coastal surveillance market consists of revenues earned by entities by providing services such as maritime patrol, radar monitoring, vessel tracking, threat detection, and coastal area monitoring. The market value includes the value of related goods sold by the service provider or included within the service offering. The coastal surveillance market also includes sales of radar systems, electro-optic sensors, automatic identification systems (AIS), unmanned aerial vehicles (UAVs) and surveillance cameras. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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