Missile Decoy Launcher System Market Report 2026

The missile decoy launcher system market size has grown strongly in recent years. It will grow from $2.57 billion in 2025 to $2.79 billion in 2026 at a compound annual growth rate (CAGR) of 8.6%. The growth in the historic period can be attributed to increasing missile threats to naval and air platforms, development of flares and chaff countermeasures, integration of electronic decoy technologies, modernization of military defense systems, rising defense budgets for survivability solutions.

The missile decoy launcher system market size is expected to see strong growth in the next few years. It will grow to $3.82 billion in 2030 at a compound annual growth rate (CAGR) of 8.2%. The growth in the forecast period can be attributed to adoption of advanced integrated control modules, development of multi-spectrum decoys, expansion of launcher systems for unmanned platforms, growth in electronic warfare countermeasure programs, enhancement of automated missile threat response systems. Major trends in the forecast period include enhanced survivability systems, multi-spectral decoy integration, rapid deployment launchers, platform-specific countermeasure optimization, real-time threat detection & response.

The rising geopolitical tensions are expected to drive growth in the missile decoy launcher system market in the coming years. Geopolitical tensions arise from conflicts or strained relations between nations due to political, economic, or territorial disputes. Territorial disagreements, in particular, threaten national sovereignty and access to strategically important regions. Missile decoy launcher systems support defense strategies by providing adaptable protection against evolving missile threats, strengthening national security and strategic resilience. For example, in October 2024, the U.S. Department of Homeland Security reported that migrant encounters at the US-Canada border exceeded 181,000, a 6.5% increase from 170,000 in 2023, illustrating broader security challenges that can coincide with geopolitical tensions.

Companies in the missile decoy launcher system market are developing advanced trainable decoy systems to improve naval defense against modern missile threats. Trainable decoy launcher systems can aim and launch decoys at specific threats, enhancing defensive capabilities. For instance, in September 2023, Sea Limited, a UK-based provider of ship and fleet protection, introduced the Ancilia system. This high-performance trainable decoy launcher protects naval vessels from advanced threats, including hypersonic and ballistic missiles. Its rotating base allows rapid deployment of multiple decoys without maneuvering the ship, increasing responsiveness and operational flexibility, while providing a compact and reliable solution for modern naval platforms.

In November 2024, Terma A/S, a Denmark-based aerospace and defense company, partnered with SEA Ltd. to develop advanced naval defense solutions. The collaboration focuses on creating a next-generation soft-kill decoy system that combines rapid threat evaluation with trainable launch technology to enhance protection against missile and torpedo threats. SEA Ltd., based in the UK, specializes in missile decoy launcher systems, and the partnership aims to provide integrated, intelligent countermeasure solutions for global naval fleets.

Major companies operating in the missile decoy launcher system market are Lockheed Martin Corporation, BAE Systems plc, Safran S.A., Thales Group, L3Harris Technologies Inc., Leonardo S.p.A., Systems Engineering & Assessment Ltd. (SEA), Rheinmetall AG, Elbit Systems Ltd., MBDA, Naval Group S.A., Saab AB, Indra Sistemas S.A., Rafael Advanced Defense Systems Ltd., Aselsan A.S., Ultra Electronics Holdings Limited, QinetiQ Group plc, Terma A/S, Bharat Dynamics Limited, Lacroix Defense.

North America was the largest region in the missile decoy launcher system market in 2025. The regions covered in the missile decoy launcher system market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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.

Tariffs have affected the mobile high-power microwave weapon market by increasing costs of imported components such as HPM generators, pulse forming networks, and microwave antennas, particularly impacting production in Asia-Pacific hubs like China and Taiwan. Vehicle-mounted and fixed installation systems are most affected due to reliance on specialized electronic components. While tariffs raise production costs they also drive local manufacturing initiatives, innovation, and development of domestic HPM solutions, supporting self-reliance in defense technology.

The missile decoy launcher system market research report is one of a series of new reports that provides missile decoy launcher system market statistics, including missile decoy launcher system industry global market size, regional shares, competitors with a missile decoy launcher system market share, detailed missile decoy launcher system market segments, market trends and opportunities, and any further data you may need to thrive in the missile decoy launcher system industry. This missile decoy launcher system 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.

A missile decoy launcher system is a defensive mechanism employed on military platforms, including ships, aircraft, and vehicles, to counter incoming missile threats. It operates by deploying decoys that replicate the target’s radar or heat signature, thereby deceiving enemy missiles. This system enhances survivability and mission success by diverting hostile missiles away from the actual target.

The main types of missile decoy launcher systems include infrared decoys, radar decoys, acoustic decoys, and others. An infrared decoy emits heat to mislead infrared-guided missiles away from their intended target. These systems are deployed across various platforms, airborne, naval, and land-based, and have applications in the navy and research sectors, with key end users including defense agencies, homeland security, and related organizations.

The countries covered in the missile decoy launcher system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The missile decoy launcher system market consists of sales of flares, chaff cartridges, electronic decoys, and integrated control modules. 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 that 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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