The Rising Investments In Defence Industry To Elevate The Military Infrastructure Market
The military infrastructure involves the buildings, military centers and permanent installations needed to assist the military activities. The military infrastructure is also popular for the processes of planning and controlling of activities of transport and goods supply to the military base. The military the well-established military infrastructure is a crucial part of nations defense strategies. The regional and global conflicts along with rising tensions on national borders are major market drivers for the military infrastructure market.
The military infrastructure market has witnessed a rapid growth in the last decade owing to the upsurge in the security threats, global conflicts and increases terrorist activities. The leading economies are focusing on strengthening their military infrastructure and this is leading to the increased investments in the defense sector. The rising government initiatives for the procurement plans, platform development and soldier modernization programs are majorly driving the military infrastructure market. The rise in activities like upgradation of existing military bases and advancements of the defense assets are propelling the market growth for the military infrastructure market.
Military Infrastructure Market Dynamics
The Global Military Infrastructure Market was valued at USD 8.65 Billion in 2020 and is expected to grow at a Compound Annual Growth Rate (CAGR) of 3.8% between 2021 to 2028. The market is broadly classified based on the services and the region. The services segment is further divided into infrastructure construction, facilities management and logistics. Among these the infrastructure construction segment. The temporary installations like barracks, military bases, secure communication facilities, inland command centers and airfields are majorly contributing to the growth of the segment.
The prominent market players are AECOM, Aselsan A.S., Claxton Logistics Services, Anham FZCO, DynCorp International LL, Klinge Corporation, Lockheed Martin Corporation, Fluor Corporation, KBR Inc., ManTech, International Corporation, One Network Enterprises Inc. and Minrav Holdings Ltd among others.
The higher defense expenditure capacities are driving the dominance of the North America in the military infrastructure market. The countries in the region such as Germany, the U.S., France, and the U.K. among others are majorly contributing to the growth of the military infrastructure market in the region. The Asia-Pacific region is also estimated to provide promising growth opportunities for the military infrastructure market owing to the presence of developing economies such as China and India.