Infrared Countermeasures (IRCM) Systems Market - By Technology, By Component (Sensors, Laser Jammer, Control Systems, Decoy Flares), By Platform, By Application, By End-use Industry & Forecast, 2024 - 2032

Infrared Countermeasures Systems Market Size

Infrared Countermeasures Systems Market was valued at USD 5.17 billion in 2023 and is estimated to register a CAGR of over 7.2% over the forecast period.
 

Globally increasing defense budgets significantly impact the IRCM systems market. This fosters investments in advanced technologies to enhance military capabilities including modernization of defense equipment including IRCM systems. Modernizing defense capabilities often involves upgrading or acquiring new technologies that are necessary to gain improves survivability and operational effectiveness. For instance, per database of Stockholm International Peace Research Institute (SIPRI), the military and defense expenses have increased from USD 2.16 trillion in 2021 to USD 2.39 trillion in 2023 globally. Due to this increase in investments.
 

The growing use of airborne platforms for military and commercial applications such as helicopters fixed-wing aircraft and UAVs fuels need for infrared countermeasures systems. These platforms are increasingly deployed in various roles, from combat and surveillance to transportation and logistics, making them prime targets for infrared-guided missile threats. As the operational environments of these airborne platforms become more complex and hostile need for effective protection mechanisms becomes paramount. IRCM systems are critical in safeguarding these airborne assets by providing advanced threat detection and neutralization capabilities. According to, ArmedForces.eu reports that there are over 1,200 armed drones deployed worldwide. The U.S. has the most armed drones (444), followed by Turkey (171) and China (151).
 

IRCM systems involve sophisticated technologies including infrared sensors and laser-based countermeasures. They also entail complex algorithms for threat detection and response. Integrating these systems into existing or new airborne platforms can be technically challenging and time-consuming. Technical complexities may delay deployment schedules and increase development costs, as it requires extensive testing and validation processes. Compatibility issues between IRCM systems and diverse aircraft types can further complicate integration efforts and affect operational environments. This situation potentially limits market adoption and deployment rates.
 

Infrared Countermeasures Systems Market Trends

The integration of infrared countermeasure systems in commercial aviation focuses on protecting aircraft from infrared threats during passenger and cargo flights. This involves integrating IRCM technologies into commercial planes to enhance safety and security. The integration of IRCM systems aligns with global aviation security standards and demonstrates a proactive approach to addressing emerging threats in the commercial aviation sector. As a result, the adoption of IRCM technologies in commercial aviation not only enhances flight security. For example, in January 2022, FedEx requested permission to equip certain cargo planes with laser-based anti-missile system, from the Federal Aviation Administration (FAA). This system would use infrared lasers. They would disrupt incoming missiles' tracking of the aircraft’s heat signature.
 

The modernization of defense capabilities is key trend driving the growth of the IRCM systems market. These modernization efforts focus on upgrading defense systems with state-of-the-art IRCM systems, to counter increasingly advanced threats. It ensures the effectiveness and survivability of aircraft against modern threats. For instance, in February 2024, Leonardo DRS delivered its 1000th Solaris ruggedized laser system. This system protects U.S. Army rotary-wing. It also protects small fixed-wing aircraft from infrared missile threats. Upgraded IRCM systems offer improved detection. They also provide tracking. And they offer countermeasure capabilities.
 

Infrared Countermeasures Systems Market Analysis

Based on technology the market is divided into directional infrared countermeasures (DIRCM), man-portable air defense systems (MANPADS) countermeasures, self-protection suite (SPS) and laser-based systems. In 2023, the DIRCM segment accounted for the largest market share with over 30% of the market.
 

• The significant market share of DIRCM is attributed to its effectiveness in countering infrared threats as compared to traditional countermeasures. DIRCM systems are highly advanced specialized technologies designed to protect aircraft from infrared-guided missile threats, by using directed laser energy to disrupt the missile's guidance system. This effectiveness is achieved through precise targeting and neutralization of incoming missiles by significantly enhances the survivability of military and commercial aircraft.
   
• The dominance of DIRCM systems in the market is driven by several factors including their adoption in modern defense strategies and integration into various aircraft platforms. The raising deployment of advanced missile threats necessitates the use of advanced countermeasures such as DIRCM to ensure aircraft safety. Defense modernization programs globally prioritize the procurement and integration of DIRCM systems due to their proven performance and reliability. The trend toward multi-role and autonomous platforms also supports the demand for DIRCM.
   

Based on platform, the infrared countermeasures systems market is divided into airborne, ground-based, and naval. In 2023, the naval segment was the fastest growing segment with a CAGR of over 7%. the market value of the naval segment is projected to surpass USD 1.8 billion, driven by its substantial growth rate.
 

• The naval segment grew fastest in IRCM systems market driven by the need to protect naval assets from infrared-guided threats. Modern naval ships face advanced threats such as infrared-guided missiles and advanced weaponry. This necessitates a focus on enhancing their defensive capabilities.
   
• Naval platforms such as frigates, destroyers and aircraft carriers require robust & reliable IRCM systems to ensure operational continuity and protect critical missions. The growth of the naval segment is driven by expansion of naval fleets. Modernization of existing vessels, investment in upgrading naval capabilities and geopolitical tensions also contribute to the demand for enhanced infrared countermeasures on naval.
   

In 2023, North American market held the largest market share with an approximate share of 30% and it is predicted that to hold its dominant position over the forecast period. The North American market dominates the IRCM systems market due to significant investments in advanced defense technologies and strong defense infrastructure. The U.S. Department of Defense makes significant investments in modernization initiatives, including integrating advanced IRCM technology across multiple platforms. The region's robust defense industry characterized by leading contractors and technology innovators, plays a crucial role in establishing its market leadership. Companies such as Northrop Grumman Lockheed Martin and Raytheon Technologies are at the forefront of developing & supplying advanced IRCM systems. The strategic focus on countering evolving threats, including infrared-guided missiles drives continued growth and development in this sector.
 

China is a major market for IRCM systems due to its significant investments in military modernization and technological advancements. The Chinese government is prioritizing defense capabilities. With geopolitical tensions and strategic interests, China is investing heavily in countermeasure systems. Domestic defense companies are also making significant progress in developing and manufacturing IRCM solutions. This contributes to market growth and technological innovations in the country.
 

Germany's infrared countermeasures systems market is experiencing steady growth supported by the country's commitment to modernizing its defense forces. Germany invests in advanced IRCM technologies to ensure the protection of its military assets and fulfill strategic defense obligations. The German defense industry renowned for its engineering excellence and technological innovation, which plays crucial role in developing sophisticated IRCM systems. Moreover, Germany focuses on integrating these systems into its modernized aircraft, naval vessels, and ground vehicles. This highlights its dedication to maintaining a strong and resilient defense posture amid evolving security challenges.
 

Japan's IRCM systems market is marked by significant growth, driven by the country's strategic emphasis on strengthening its defense capabilities in response to regional security threats. Japan's government allocates substantial resources toward modernization of its Self-Defense Forces. This includes integration of advanced IRCM systems to protect against infrared-guided missile threats. Collaborations between Japanese defense firms and international partners enhances the development and deployment of state-of-the-art countermeasure technologies. Japan's strategic location and commitment to maintaining regional stability drives demand for cutting-edge IRCM solutions. This ensures protection of its military assets and defense infrastructure.
 

South Korea's IRCM systems market is expanding rapidly, because of the nation's efforts to enhance military capabilities and address security challenges posed by regional adversaries. The South Korean government prioritizes development & procurement of advanced IRCM technologies. Collaborations between domestic defense companies and international partners foster innovation & technological advancements in IRCM systems. South Korea's focus on defense modernization and strong defense budget drive growth and adoption of sophisticated countermeasure solutions.
 

Infrared Countermeasures Systems Market Share

Northrop Grumman Corporation and BAE Systems are leading players in the global IRCM systems market. They together account for over 15% of the market share. The market is dominated by top defense contractors and technology firms including Northrop Grumman Corporation, Lockheed Martin Corporation, Raytheon Technologies Corporation, and other companies. These companies are renowned for their expertise, R&D capabilities, and customer relationships. They invest significantly in the development of advanced IRCM systems, such as DIRCM, to offer superior protection against infrared-guided threats. Their strategic partnerships with defense agencies and international collaborators further bolster their market positions.
 

Companies like Elbit Systems, Saab AB, and L3Harris Technologies are expanding their market presence through mergers, acquisitions and partnerships. The competitive landscape remains dynamic and drives continuous advancements in IRCM technology. With increasing global geopolitical tensions, defense modernization efforts are increasing as well. This prompts companies to focus on innovation and differentiation.
 

Infrared Countermeasures Systems Market Companies

Major players operating in the IRCM systems market are:

• Northrop Grumman Corporation
• BAE Systems
• Raytheon Technologies Corporation
• Leonardo DRS
• Elbit Systems
• Saab AB
• L3Harris Technologies
   

Infrared Countermeasures Systems Industry News

• In January 2024, the Department of Defense of the United States has announced a contract award to Northrop Grumman for KC-135 Large Aircraft Infrared Countermeasures (LAIRCM) Generation 3 pods. The company will install LAIRCM systems on KC-135 aerial refueling aircraft.
   
• In January 2024, Rheinmetall received a contract from the German military. The contract was from Bundeswehr in the amount of around USD 53 million. It is for the delivery of over 470000 Birdie infrared decoy flares to protect aircraft. This order has been in effect since December 2023 until December 2029.
   

The infrared countermeasures systems market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD million) from 2021 to 2032, for the following segments:

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Market, By Technology

• Directional Infrared Countermeasures (DIRCM)
• Man-Portable Air Defense Systems (MANPADS) countermeasures
• Self-Protection Suite (SPS)
• Laser-based systems

Market, By Component

• Sensors
• Laser jammer
• Control systems
• Decoy flares

Market, By Platform

• Airborne
  • Fixed-wing aircraft
  • Rotary-wing aircraft
  • UAVs
• Ground-based
  • Vehicles
  • Stationary installations
• Naval
  • Ships
  • Submarines

Market, By Application

• Jamming
• Missile defense
• Counter countermeasure

Market, By End-use Industry

• Military & defense
• Commercial

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • ANZ
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• MEA
  • UAE
  • Saudi Arabia
  • South Africa
  • Rest of MEA