Military Vehicle Sustainment Market Size, Share, Trends & Growth

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Military Vehicle Sustainment Market Size & Growth

[211 Pages Report] The Military Vehicle Sustainment market is projected to grow from USD 16.8 billion in 2023 to USD 23.5 billion by 2028, at a CAGR of 7.0%. The need of sustainment services for the old military vehicles rises.  The Sustainment services keeps the military vehicle operational. Government support and growing investments are propelling the development of Military vehicles , further boosting the growth of the Military Vehicle Sustainment market. The Military Vehicle Sustainment services enhances the vehicle efficiency and increase the life of military vehicles.  The various types of maintenance like condition based maintenance and predictive maintenance are used to maintain the military vehicles.

Military Vehicle Sustainment Market Forecast to 2028

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Military Vehicle Sustainment Market Trends

Driver: Increased adoption of data-driven and predictive maintenance

The rising technology integration and upgrades in military vehicles are transforming the military vehicle sustainment market. Modernizing and enhancing existing military platforms have become vital for maintaining competitiveness on the battlefield. Integration and upgrades include the installation of advanced sensors, communication systems, and AI-driven analytics to enhance situational awareness and decision-making capabilities. The integration of unmanned aerial systems (UAS) with ground vehicles offers better reconnaissance and surveillance capabilities, reducing the risk to human operators and providing real-time intelligence. One of the key trends in military vehicle sustainment is the integration of advanced technology to improve vehicle performance, efficiency, and overall survivability. These integration and upgrades for military vehicle sustainment offers benefits like Improved reliability and availability of vehicles, reduced time and cost of repairs, improved safety of personnel, increased readiness of forces, and enhanced mission effectiveness.

Restraints: High cost and Maintenance time for Fleet modernization

Fleet modernization is crucial for enhancing military vehicle capabilities, extending service life, and meeting evolving operational requirements. It involves upgrading, retrofitting, and, in some cases, replacing vehicles in a fleet to ensure they remain effective, reliable, and mission-ready. Fleet modernization also involves replacing outdated military vehicles with new ones. Fleet modernization includes proper availability of spare parts and maintenance support as new vehicles may use different parts and systems than older vehicles, which can make it difficult to find spare parts and maintenance support. The process of modernization can be complex and expensive, making it difficult for the military to afford the modernization of their entire fleet. This leads to delays in repairs and can increase the cost of sustainment. The transition from old to new vehicles can also be troublesome to military operations as for new vehicles it may require training and stimulation for military personnel. This can take time and resources, and it can impact the readiness of forces. It is important to modernize the fleet to ensure that the military has the most capable and reliable vehicles. Fleet modernization includes the integration of advanced technologies. It involves incorporating communication systems, sensors, and data analytics tools to improve situational awareness, communication capabilities, and overall vehicle performance.

Opportunities: Use of autonomous systems

The military vehicle sustainment market is growing due to increased research and development in fully autonomous systems   by leading service providers and system developers worldwide. The increased use of autonomous systems in military vehicle will significantly transform the technological shift   in military organizations, allowing for more efficient fleet operation and maintenance. The integration of autonomous systems in military vehicle sustainment enhances mission readiness and improves maintenance processes. Autonomous systems are streamlining the process of spare parts provisioning for the logistics and supply chain aspect of military vehicle sustainment. Autonomous drones and robots are being utilized to deliver critical spare parts to military units in remote or challenging environments, reducing lead times and improving logistics efficiency. The increased use of autonomous systems in military vehicle sustainment represents a technological advancement that is revolutionizing military vehicle upkeep. Autonomous hardware systems and autonomous software solutions   play a prominent role in enhancing the efficiency, effectiveness, and safety of military vehicle sustainment activities. By leveraging predictive maintenance, autonomous inspections, and streamlined logistics, these systems contribute to improving readiness, cost savings, and overall effectiveness in maintaining military vehicles. Autonomous systems will likely play an increasingly integral role in military vehicle sustainment for enhancing the capabilities of modern armed forces.

Challenges: Lack in resource allocation

The lack of resource allocation in military vehicle sustainment is a concern that can have comprehensive effects for a nation’s defense capabilities. Government and defense organizations are facing challenges when it comes to allocating sufficient resources to support the maintenance, repair, and modernization of their military vehicle fleets. Military vehicles, particularly advanced platforms like tanks, heavy tactical vehicles  , and other combat vehicles require specialized expertise, advanced technology, and high-quality spare parts for effective maintenance and upgrades. One of the primary issues contributing to this resource allocation shortfall is budget constraints. The funds available for sustainment activities may not be appropriate with the scale and complexity of modern military vehicles due to limited budget competing priorities, economic conditions, and political considerations. This can lead to delayed maintenance, reduced readiness levels, and increased operational risks.. These resources often come at a premium, and if budgets are not adjusted accordingly, the sustainment efforts can suffer for military vehicles. Defense organizations mostly focus on short-term objectives and immediate needs, neglecting the importance of long-term planning.

Military Vehicle Sustainment Market Ecosystem

Companies that provides services Military Vehicle Sustainment, includes government firms, industries as key stakeholders in Military Vehicle Sustainment Market. Investors, funders, academic researchers, integrators, service providers, and licensing authorities are the major influencers in this market. Prominent companies in this market include Rheinmetall AG (Germany), BAE Systesms (UK), Gneral Dynamics Corporation (US), Elbit Systems Ltd. (Israel), and Oshkosh Corporation (US).

Military Vehicle Sustainment Market Segmentation

Based on the Vehicle Type, the Armored Personnel Carrier segment is estimated to grow at highest rate during the forecast period.

Based on the Vehicle type, the Armored Personnel Carrier is estimated to grow at highest rate. To keep Armored Personnel Carriers operational regular maintenance is essential, including preventive maintenance to identify and address issues before they become major problems, and corrective maintenance to fix any damage. Armored personnel carriers (APCs) are used for transporting troops and providing protection in combat situations. Sustainment services for Armored Personnel Carriers are crucial to enhance the operational readiness, longevity, and effectiveness of military vehicle.

Based on End User, the Army is anticipated to dominate the market.

Based on the End User, the Army holds the largest market share. Army uses  ground vehicles like armored personnel carriers (APCs), tanks, and transport vehicles. The Army maintains huge fleet of these vehicles that require constant upkeep, maintenance, and logistical support. Military vehicle sustainment services includes maintenance, spare parts procurement, training for vehicle operators and maintainers, and upgradation. Due to more number of active fleet in operational the need for sustainment services rises in the Army to drive the military vehicle sustainment market.

Military Vehicle Sustainment Market Regional Analysis

The Asia Pacific market is projected to dominate Military Vehicle Sustainment market.

Asia Pacific is projected to dominate the Military Vehicle Sustainment market during the forecast period. India is projected to show highest growth rate  for the Military VehicleS Sustainment market in Asia Pacific. The domination of the Military VehicleS Sustainment market in Asia Pacific can be attributed by the rapid modernization of military vehicles in the region. The Military Vehicle Sustainment market in India is predicted to develop and evolve in future years, owing to the privatization in military vehicle sustainment services.

Military Vehicle Sustainment Markett by Region

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Top Military Vehicle Sustainment Companies: Key Market Players

The Military Vehicle Sustainment companies is dominated by a few globally established players such as The Rhienmetall AG (Germany), BAE Systems (UK), General Dynamics Corporation (US), Elbit Systems Ltd. (Israel), and Oshkosh Corporation (US) are some of the leading players operating in the Military Vehicle Sustainment market; they are the key service providers that secured Military Vehicle Sustainment contracts in the last few years. Major focus was given to the contracts and new product development due to the changing requirements of government and defense.

Military Vehicle Sustainment Market Report Scope

Military Vehicle Sustainment Market Highlights

The study categorizes Military Vehicle Sustainment market based on Forecast Type, Purpose, Industry,Organisation Size, and Region.

Recent Developments

• In June 2023,  Rheinmetall AG :- Rheinmetall AG  presented a new solution for the mobile production of spare parts for military vehicles. The Mobile Smart Factory (MSF) offers metal 3D printing and postprocessing capabilities and is fully integrated into Rheinmetall’s IRIS (Integrated Rheinmetall Information System) digital ecosystem.
• In June 2022, General Dynamics Corporation : - General Dynamics Corporation demonstrated Autonomous Vehicle System (AVS) at CANSEC 2022. The AVS solution will optimize equipment performance and increase operational readiness to reduce the military's cost of ownership of vehicle fleets.

Frequently Asked Questions (FAQs) Addressed by the Report

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