May 25, 2024
Amphibious Vehicle Market

Global Amphibious Vehicle Market Is In Trends By Increasing Defense Budgets

The global amphibious vehicle market offers multi-terrain vehicles capable of both land and water transport. These vehicles feature tracks or wheels for movement on land and a water jet propulsion system for navigation at sea. Amphibious vehicles find extensive usage in military operations for transporting troops and cargo across borders. They enable efficient mobilization in combat zones and provide tactical advantage during amphibious invasions. The growing need for military mobility in coastal regions and water territories has propelled the demand for amphibious vehicles.

The Global Amphibious Vehicle Market is estimated to be valued at US$ 10.50 Bn in 2024 and is expected to exhibit a CAGR of 10% over the forecast period from 2024 to 2031.

Key players operating in the global amphibious vehicle market are Hitachi Construction Machinery Co. Ltd, BAE System, Science Applications International Corporation (SAIC), Wetland Equipment Company, General Dynamics Corporation, Lockheed Martin Corporation, Wilco Manufacturing, L.L.C, EIK Engineering Sdn Bhd, Marsh Buggies Incorporated, Rheinmetall AG, EIK Engineering Sdn. Bhd., and Griffon Hoverwork Ltd. (GHL)

Key Takeaways

Key players: Key players in the amphibious vehicle market include Hitachi Construction Machinery Co. Ltd, BAE System, Science Applications International Corporation (SAIC), Wetland Equipment Company, General Dynamics Corporation, Lockheed Martin Corporation that collectively account for over 45% of the global market share.

Growing demand: Increasing defense budgets of nations and rising instances of cross-border tensions have fueled for Amphibious Vehicle Market Growth in military applications. They enable swift movement of troops and logistics during combat operations.

Global expansion: Leading manufacturers are focusing on international sales by participating in defense exhibitions, arms shows and by supplying amphibious vehicles to friendly foreign countries to expand their global footprint.

Market key trends

Increasing defense budgets: Growing defense allocations of countries especially in Asia Pacific and Middle East is a key trend driving investments in new generation amphibious vehicles by armed forces. Nations are procuring advanced amphibious combat vehicles to enhance defense capabilities. This is expected to propel the global market over the forecast period.

Porter’s Analysis

Threat of new entrants: High capital investment and costs required to enter amphibious vehicle manufacturing act as entry barriers.

Bargaining power of buyers: Large volume buyers such as naval forces can negotiate lower prices from established amphibious vehicle manufacturers.

Bargaining power of suppliers: Suppliers of specialized components and technologies have some bargaining power over manufacturers.

Threat of new substitutes: There are limited product/technology substitutes for amphibious vehicles that can operate on both land and water.

Competitive rivalry: Major players compete on the basis of product design and performance, along with strong distribution networks.

Geographical Regions

North America holds the largest share of the global amphibious vehicle market currently in terms of value. Major defense forces such as the US Army are consistently modernizing their fleets which is supporting demand.

Europe accounts for a substantial revenue share due to replacement of aging fleets by countries like UK, France and Germany. Amphibious vehicles are an integral part of their contingencies.

Asia Pacific is anticipated to register the highest CAGR over the forecast period in the global market. Countries like India and China are investing heavily in amphibious capabilities as part of their coastal defense strategies.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it