Military Land Vehicles Global Market Opportunities and Strategies to 2034

This report describes and explains the military land vehicles market and covers 2019-2024, termed the historic period, and 2024-2029, 2034F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global military land vehicles market reached a value of nearly $23.4 billion in 2024, having grown at a compound annual growth rate (CAGR) of 3.64% since 2019. The market is expected to grow from $23.4 billion in 2024 to $30.28 billion in 2029 at a rate of 5.29%. The market is then expected to grow at a CAGR of 4.57% from 2029 and reach $37.87 billion in 2034.

Growth in the historic period resulted from the expanding military modernization programs, rising geopolitical tensions, rise in urban unrest and riot situations and surge in cross-border smuggling and trans bordering. Factors that negatively affected growth in the historic period were high procurement costs and strict military standards and certifications.

Going forward, the expansion of military forces, rising homeland disaster and crisis response, rise in counter-terrorism operations and rising defense budgets will drive the growth. Factors that could hinder the growth of the military land vehicles market in the future include training and crew readiness gaps, maintenance challenges in harsh terrains and impact of trade war and tariff.

North America was the largest region in the military land vehicles market, accounting for 29.81% or $6.97 billion of the total in 2024. It was followed by Asia Pacific, Western Europe and then the other regions. Going forward, the fastest-growing regions in the military land vehicles market will be Asia Pacific and Eastern Europe where growth will be at CAGRs of 7.01% and 5.97% respectively. These will be followed by Western Europe and Middle East where the markets are expected to grow at CAGRs of 5.70% and 5.30% respectively.

The global military land vehicles market is concentrated, with large players operating in the market. The top 10 competitors in the market made up 37.75% of the total market in 2024. General Dynamics Corporation was the largest competitor with 7.69% share of the market, followed by Rheinmetall AG with 4.38%, KMW + Nexter Defense Systems (KNDS Group) with 4.22%, BAE Systems plc with 3.80%, Leonardo S.p.A. with 3.59%, Hanwha Defense with 3.29%, Rostec State Corporation with 3.08%, Oshkosh Corporation with 2.76%, Thales Group with 2.54% and China North Industries Group Corporation Limited (Norinco Group) with 2.41%.

The military land vehicles market is segmented by product type into infantry fighting vehicles, armored personnel carriers, main battle tanks, light multi-role vehicles, tactical trucks, and other product types. The infantry fighting vehicles market was the largest segment of the military land vehicles market segmented by product type, accounting for 28.41% % or $6.64 billion of the total in 2024. Going forward, the infantry fighting vehicles segment is expected to be the fastest growing segment in the military land vehicles market segmented by product type, at a CAGR of 6.36% during 2024-2029.

The military land vehicles market is segmented by offerings into platforms and services. The platforms market was the largest segment of the military land vehicles market segmented by offerings, accounting for 57.88% or $13.54 billion of the total in 2024. Going forward, the platforms segment is expected to be the fastest growing segment in the military land vehicles market segmented by offerings, at a CAGR of 5.44% during 2024-2029.

The military land vehicles market is segmented by application into defense, transportation and others. The defense market was the largest segment of the military land vehicles market segmented by application, accounting for 66.61% or $15.59 billion of the total in 2024. Going forward, the others segment is expected to be the fastest growing segment in the military land vehicles market segmented by application, at a CAGR of 5.40% during 2024-2029.

The top opportunities in the military land vehicles market segmented by product type will arise in the infantry fighting vehicles segment, which will gain $2.4 billion of global annual sales by 2029. The top opportunities in the military land vehicles market segmented by offering will arise in the platform segment, which will gain $4.1 billion of global annual sales by 2029. The top opportunities in the military land vehicles market segmented by application will arise in the defense segment, which will gain $4.63 billion of global annual sales by 2029. The military land vehicles market size will gain the most in the USA at $1.02 billion.

Market-trend-based strategies for the military land vehicles market include focus on the launch of all-terrain vehicles for extreme battlefield mobility, focus on increasingly developing amphibious and modular platforms that can be reconfigured for missions across water, urban and off-road terrain, boosting operational flexibility for mechanized forces, focus on next-generation designs that combine mobility, payload efficiency and modern connectivity features for improved operational support, focus on the development of autonomous and teleoperated ground platforms designed, focus on developing compact, NATO-compliant armored vehicles designed for rapid deployment and international export, focus on investing in the development of next-generation main battle tanks (MBTs) and armored platforms that integrate advanced C4ISR systems and digital battlefield management technologies, focus on enhancing blast protection and multi-role flexibility by designing APCs that meet stringent mine/IED resistance standards and focus on development of next-generation infantry fighting vehicle (IFV) to provide enhanced lethality, modularity and advanced digital integration.

Player-adopted strategies in the military land vehicles market include focus on strengthening its business operations through strategic partnerships, focus on expanding operational capabilities through securing new contracts and focus on enhancing its business operations through strategic acquisitions.

To take advantage of the opportunities, the analyst recommends the military land vehicles market companies to focus on developing all-terrain vehicles for extreme battlefield operations, focus on amphibious and modular infantry fighting vehicles for multi-terrain operations, focus on next-generation tactical trucks with enhanced mobility and connectivity, focus on autonomous and teleoperated military ground vehicles for logistics, focus on light armored multi-role vehicles for rapid deployment and export, focus on digital battlefield management integration in armored platforms, focus on MRAP-level protection and multi-role armored vehicles, focus on next-generation infantry fighting vehicles with digital integration, focus on platform development for multi-mission flexibility, expand in emerging markets, continue to focus on developed markets, provide competitively priced offerings, continue to use B2B promotions, participate in trade shows and events and focus on battlefield support and modular upgrades.