Loitering Munition Global Market Report 2025

The loitering munition market size has grown rapidly in recent years. It will grow from $1.75 billion in 2024 to $1.97 billion in 2025 at a compound annual growth rate (CAGR) of 12.5%. The growth during the historic period can be attributed to rising cross-border conflicts, increasing demand for precision strike capabilities, greater use of asymmetric warfare, growing military expenditure by emerging economies, and wider adoption of unmanned aerial systems.

The loitering munition market size is expected to see rapid growth in the next few years. It will grow to $3.12 billion in 2029 at a compound annual growth rate (CAGR) of 12.1%. The growth in the forecast period is expected to result from increasing border security challenges, greater focus on autonomous weapons systems, rising investments in defense modernization programs, and growing demand for cost-effective alternatives to missiles. Key trends in the forecast period include the development of lightweight and portable loitering munitions, creation of long-endurance and extended-range systems, integration into network-centric warfare platforms, incorporation of electronic warfare features, and innovations in stealth and low-observable designs.

The rising geopolitical tensions are expected to drive growth in the loitering munition market. Geopolitical tensions refer to strain or conflict between countries or regions arising from political, economic, territorial, or strategic interests that affect international relations and global stability. Territorial disputes and competing claims over land or maritime boundaries increase political and military friction, which in turn elevates demand for systems that enhance military readiness and deterrence. Loitering munitions provide precision strike capabilities that can influence the balance of power and shape responses during such tensions. In January 2025 Euronews SA reported that conflicts intensified in 2024, with political violence rising by 25 percent compared with 2023, affecting one in eight people and causing about 223,000 deaths, alongside a 37 percent increase in overall fatalities. Consequently, rising geopolitical tensions are fueling demand for loitering munitions.

Major companies in the loitering munition market are developing aerial launch capable precision strike systems to improve operational flexibility and beyond line of sight targeting. These systems can be launched from aircraft such as helicopters and are designed to engage targets at long ranges with high accuracy and minimal collateral damage. In June 2025 UVision Air Ltd., an Israeli defense technology firm, partnered with Fulcrum Concepts LLC and Mistral Inc., both US based, to introduce aerial launch capability for the Hero 120 loitering munition, enhancing rapid, flexible, and precise strike operations. The system is intended to give frontline forces independent intelligence, surveillance, and reconnaissance and beyond line of sight strike capability without reliance on other units. It features a pneumatically launched low signature design with a gimbaled electro optic infrared camera for target tracking, the ability to abort or reengage missions mid air, and adaptable precision strikes using multiple interchangeable warhead types across platforms including man portable, vehicle mounted, naval, and helicopter based launches.

In April 2025, UVision Air Ltd. acquired Trim Robotics for an undisclosed sum. The acquisition is intended to expand and diversify UVision’s loitering munition offerings by incorporating Trim Robotics’ QuadiKaze missile to boost versatility and operational effectiveness. Trim Robotics Ltd. is an Israel based manufacturer of loitering munition systems.

Major players in the loitering munition market are Raytheon Technologies Corporation, Lockheed Martin Corporation, WB Group, Northrop Grumman Corporation, BAE Systems plc, L3 Technologies Inc., Leonardo S.p.A., STM Savunma Teknolojileri Mühendislik ve Ticaret A.Ş., Elbit Systems Ltd., Israel Aerospace Industries (IAI), EDGE Group (HALCON), Rafael Advanced Defense Systems Ltd., Matra BAE Dynamics Alenia, Thales Group, General Atomics Aeronautical Systems Inc., Hanwha Group, Teledyne FLIR LLC, AeroVironment Inc., Baykar Technologies, and UVision Air Ltd.

North America was the largest region in the loitering munition market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in loitering munition report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and 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.

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.

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

Loitering munition is a type of weapon system that combines characteristics of a drone and a missile, designed to remain over a designated area for a prolonged period before engaging a target. It enables operators to identify, track, and strike targets with greater precision and flexibility than traditional guided missiles.

The primary types of loitering munition are recoverable and expendable. Recoverable loitering munition is an unmanned aerial weapon that can hover over a target area for extended periods and be retrieved for reuse after the mission, rather than being destroyed upon impact. These munitions can be launched using various methods, including air launch, vertical take-off, canister launch, catapult launch, and hand launch. They are available in different operational ranges, including short range, medium range, and long range, and are used in a variety of applications such as military, homeland security, and commercial operations. They serve multiple end users across land, air, and sea domains.

The countries covered in the loitering munition market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The loitering munition market consists of sales of complete loitering munition systems, warheads and payloads, modular payload bays and integration kits, airframe components and manufacturing kits, and seeker heads and sensor suites. 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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