Technavio has been monitoring the defense logistics market size and it is expected to post an incremental growth of USD 3.89 billion, accelerating at a CAGR of 2.03% during the forecast period. The adoption of multidimensional defense logistics is one of the key trends which will positively impact the defense logistics market share. The growth trajectory of the market is traced through a detailed analysis of the prevalent market forces, trends, and drivers along with competitive benchmarking. Unlock Sample Analysis Report
Defense Logistics Market: Market segmentation and Key Trends
The defense logistics market is segmented by solution (military infrastructure, military logistics services, and military FMS) and geography (North America, Europe, APAC, South America, and MEA). The increasing number of military vehicles will boost the demand for the defense logistics market during the forecast period.
The market growth in the military infrastructure segment will be significant during 2021-2025. Military organizations are adopting numerous technologies to optimize the performance of infrastructure to maximize security. By geography, 35% of the market’s growth will originate from North America. The US spending on the procurement of arms is enormous due to its extensive military operations within and outside the country which in turn will drive the defense logistics market growth in North America over the forecast period.
The adoption of the multidimensional defense logistics model helps in maintaining a military base in other countries. In the multidimensional defense logistics model, the base country gets logistics support from the domestic defense logistics player in the host country. This will significantly drive the growth of the defense logistics market.
Defense Logistics Market: Vendor Analysis
The market is concentrated due to the presence of several players and the degree of concentration will accelerate during the forecast period.
AECOM, Amentum Services Inc., Anham Fzco LLC, ASELSAN AS, BAE Systems Plc, Crowley Maritime Corp., Fluor Corp., GEFCO Group, Honeywell International Inc., and KBR Inc. are some of the major market participants. To make the most of the opportunities, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their position in the slow-growing segments.
Download the PDF Sample Report for a detailed analysis of all the trends that are likely to influence the growth of individual segments within the market as well as the overall market in focus. These analyses will enable clients to assess their play in the market and plan for growth opportunities.
