DUBLIN--(BUSINESS WIRE)--The "Military Truck Market by Application (Cargo/logistics, Troop, Utility), Axle (4x4, 6x6, 8x8), propulsion (Electric, Gasoline, Diesel), Truck (Light, Medium, Heavy), Transmission (Automatic, Semi-Automatic, Manual), and Region - Global Forecast to 2027" report has been added to ResearchAndMarkets.com's offering.
The Military Truck Market is Projected to Grow from 15,677 Units in 2019 to 20,171 Units by 2027, at a CAGR of 3.2%
Countries investment in the defense budget, rising incidences of civil unrest & political disputes, and increasing investments for the procurement of military equipment are driving the growth of the military truck market.
Factors such as the increasing investments for the militarization of law enforcement agencies, a government initiative to strengthen military power, the use of advanced technologies, incorporation of advanced sensors, and electrification are expected to boost the market. However, raw material price fluctuation and increasing competition are the key challenges in the military truck market.
Increasing emphasis on custom made military trucks is likely to propel the growth of the market during the forecast period.
Military trucks are used to carry out combat operations and transportation of soldiers, ammunition, fuel, water, and other utility supplies. These trucks are designed to travel in on/off-road terrains. The development of advanced military trucks by various leading companies such as Mercedes-Benz Defence Vehicles, General Dynamics, Rheinmetall, Tatra, Oshkosh Corporation, Nexter Systems, and Hanhwa.
Defense fulfills the role of all applications in the military truck market globally. Countries such as the US, the UK, France, China, and India, are focusing on the development of the ground military vehicle, including high-tech military trucks. Such measures are likely to drive the military truck market during the forecast period.
North America is expected to register the highest growth during the forecast period.
The growth of the military truck market in North America can be attributed to the military modernization programs being carried out in the region. For example, the Department of Public Works and Government Services Canada on behalf of the Department of National Defense selected Mack Defense to deliver 1,500 8x8 trucks to the country's army. In 2016, Canada selected Polaris Industries for the contract of delivering 78 DAGOR off-road at USD 20 million.
Military trucks in the US are projected to witness significant growth during the forecast period due to the increased budget in R&D for the US Army. Cargo/Logistics Carrier trucks are expected to increase in the US due to the occurrence of army contracts recently. For instance, Oshkosh Defense LLC received a contract worth 23.5 USD million to recapitalize U.S. army trucks in 2019 as per the US Department of Defense.
Mexico intends to use defense products and services to expand its existing army to combat advanced force. The country aims to fulfill its military goal by updated technologies while aligning with the US and other allies. The Government of Mexico purchased M1152 High Mobility Multi-Purpose Wheeled Vehicles (HMMWVs) and associated equipment, parts, training, and logistical support for an estimated cost of USD 556 million in 2014.
Asia Pacific is expected to dominate the market during the forecast period.
The Asia Pacific will have the largest market share for military trucks during the forecast period. This is due to the increasing demand for military trucks in China, India, Japan, South Korea, and Australia. The growth of the market in the Asia Pacific is attributed to the increased investments being made by countries of the region to strengthen their defense forces and homeland security.
The military truck market comprises major manufacturers such as Oshkosh Corporation (US), Rheinmetall AG (Germany), IVECO S.p.A., (Italy), TATRA TRUCKS A.S., (Czech Republic), Arquus (France), Textron Inc., (US), General Dynamics (US), and Mitsubishi Heavy Industries (Japan), and many others.
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