Armored Vehicle Market Size, Share & Trends Analysis growing at a CAGR of 5.4% from 2025 to 2030

The global armored vehicle market size was estimated at USD 32.41 billion in 2024 and is projected to reach USD 44.56 billion by 2030, growing at a CAGR of 5.4% from 2025 to 2030. Increasing geopolitical tensions and ongoing conflicts across various regions lead countries to allocate substantial budgets to defense, focusing on upgrading and expanding armored vehicle fleets to enhance border security and military capabilities.

Key Market Trends & Insights

• Asia Pacific armored vehicle industry dominated with a revenue share of 33.2% in 2024 due to rising defense expenditures and growing indigenous production capabilities.
• The armored vehicle industry in the U.S. is expected to grow in 2024, driven by ongoing modernization programs targeting legacy platforms such as the M1 Abrams tank.
• Based on product, combat vehicles dominated the market with the highest revenue share of over 63% in 2024.
• In terms of type, the conventional armored vehicles segment witnessed the highest market share in 2024.
• On the basis of mode of operation, the manned armored vehicles segment held the largest revenue share in 2024.

Market Size & Forecast

• 2024 Market Size: USD 32.41 billion
• 2030 Projected Market Size: USD 44.56 billion
• CAGR (2025-2030): 5.4%
• Asia Pacific: Largest market in 2024

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The rise in terrorism, insurgency, and asymmetric warfare further drives demand for armored vehicles that provide protection in hostile environments. In addition, technological advancements such as composite armors, active protection systems, and improved weaponry contribute to market growth by enhancing vehicle survivability and operational effectiveness. The market growth is further supported by evolving defense strategies and emerging technological trends. Increasing investments in urban warfare capabilities, counter-terrorism operations, and peacekeeping missions sustain demand for versatile, multi-role armored vehicles. Innovations in modular armor, lighter materials, autonomous and unmanned vehicle features, and hybrid propulsion systems are anticipated to expand the market by improving crew safety, vehicle performance, and operational flexibility. The growing emphasis on cybersecurity and data protection in military vehicles also shapes future market dynamics.

The armored vehicle industry also benefits from ongoing collaborations between defense manufacturers and technology providers, driving the development of next-generation platforms. Rising interest in unmanned and remotely operated vehicles expands the market by introducing new capabilities and reducing risks to personnel. In addition, the demand for specialized vehicles for VIP protection and law enforcement continues to support market growth. These combined factors contribute to a steady market expansion over the coming years.

Product Insights

Combat vehicles dominated the market with the highest revenue share of over 63% in 2024. As the threat environment evolves, combat vehicles become more critical in military and security operations. It includes the development of new technologies and capabilities, such as advanced armor, weapons systems, and electronic warfare capabilities. Combat vehicles are also becoming increasingly versatile, with the ability to perform various missions and tasks. It includes the development of vehicles that can operate in multiple environments, such as amphibious vehicles that can operate on land and in water.

The combat support vehicles segment is estimated to grow significantly over the forecast period. Combat support vehicles include a wide range of vehicles, such as transport vehicles, fuel tankers, ammunition carriers, recovery vehicles, and medical evacuation vehicles. These vehicles are designed to operate in various environments, from harsh desert conditions to rugged mountain terrain. The growth of combat support vehicles is driven by the need to support modern military operations, technological advances, the expansion of military operations, and the replacement of aging fleets. As technology evolves, combat support vehicles will likely become even more advanced, providing troops with the support they need to carry out their missions effectively.

Armored Vehicle Market Report Scope

Report Attribute	Details
Market size value in 2025	USD 34.21 billion
Revenue forecast in 2030	USD 44.56 billion
Growth rate	CAGR of 5.4% from 2025 to 2030
Actual data	2017 – 2023
Forecast period	2025 – 2030
Quantitative units	Revenue in USD million/billion and CAGR from 2025 to 2030
Report coverage	Revenue forecast, company ranking, competitive landscape, growth factors, and trends
Segments covered	Mode of operation, system, mobility, point of sale, product, type, region
Regional scope	North America; Europe; Asia Pacific; Latin America; MEA
Country scope	U.S.; Canada; Mexico; Germany; UK; France; China; India; Japan; Australia; South Korea; Brazil; UAE; South Africa; KSA
Key companies profiled	BAE Systems; BMW AG; Daimler AG; Elbit Systems; Ford Motor Company; General Dynamics Corporation; INKAS Armored Vehicle OEM; International Armored Group; IVECO; Krauss-Maffei Wegmann GmbH & Co. (KMW); Lenco Industries, Inc.; Lockheed Martin Corporation; Navistar, Inc.; Oshkosh Defense, LLC; Rheinmetall AG; STAT, Inc.; Textron, Inc.; Thales Group
Customization scope	Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope.
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