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Active Protection Systems Market is driven by Growing Military Budgets
Active protection systems (APS) provide protection for armored vehicles from rocket-propelled grenades, anti-tank missiles, and kinetic energy rounds. APS uses sensors integrated with interceptors to detect, track, and intercept incoming projectiles with smart interceptor bullets to destroy threats before hitting the vehicle. APS enhances protection while maintaining high mobility and strategic advantage for military vehicles. With advancements in missile technology, APS has become an integral part of modern military vehicles providing critical defense capability.
The Global Active Protection Systems Market is estimated to be valued at US$ 4.30 Bn in 2024 and is expected to exhibit a CAGR of 5.6% over the forecast period 2024 To 2031.
Key Takeaways
Key players operating in the Active Protection Systems are Airbus SAS, Artis LLC, Aselsan AS, Israel Military Industries, KBM, Rafael Advanced Defense System Ltd., Raytheon Technologies Corporation, Rheinmetall AG, SAAB AB, Safran, IMI Systems, Krauss Maffei Wegmann, and General Dynamics. The rising instances of terrorism and asymmetric warfare have augmented the demand for advanced protection systems from key militaries globally. Ongoing modernization programs by armed forces of various countries is also driving the adoption of Active Protection Systems Market Demand.
The increasing defense spending of major economies such as the United States, China, India, and growing demand for protection against rocket-propelled grenades and anti-tank guided missiles is fueling Active Protection Systems Market Demand. Leading players are focusing on contracts to provide APS for combat vehicles and setting up manufacturing plants or partnerships to capitalize on opportunities. The proliferation of APS technologies has encouraged smaller players to invest in the development of advanced and affordable protection solutions utilizing artificial intelligence and robotics.
The adoption of APS is growing globally with military vehicles upgrade programs in European and Asian countries. With demand shifting from safety to combat effectiveness, APS suites integrated with simulation and training capabilities are gaining traction. Furthermore, applications are expanding from land vehicles to naval and air platforms. Ongoing R&D to counter evolving threats and make APS more responsive, networked, and autonomous will promote the market growth during the forecast period.
Market Drivers
One of the key drivers for the active protection systems market is the increasing defense budgets of countries. In the past few years, military spending has increased substantially with geopolitical tensions and security issues augmenting budgets for modern equipment and technologies. Countries are investing more in defense innovation to gain strategic and tactical advantage. This is positively impacting the demand for active protection systems as they enhance survivability of troops. Growing military budgets provide impetus to ongoing system upgradation programs incorporating advanced APS.
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