Military Trucks Market size worth over $27 Bn by 2026

Military Trucks Market size is set to be over USD 27 billion by 2026, according to a new research report by Global Market Insights Inc.
 

Growing R&D initiatives to develop advanced military vehicles will fuel the military trucks industry growth. The potential integration of autonomous vehicle technologies and driver assistance systems in military trucks will provide new market opportunities. Initiatives such as the U.S. Army’s Next-Generation Combat Vehicle Program and the European Union’s Horizon Research Program will support industry expansion.
 

Steadily increasing defense spending of governments across the globe is anticipated to support the military trucks market revenues. Ongoing military conflicts among several countries are enforcing the military & defense sector to upgrade their capabilities, in terms of men and machines. For instance, South Korea allocated over USD 42.2 billion for defense expenditure in 2020, an increase of 7.4% compared to the previous year.
 

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Analyst view: “Increasing defense budgets and high inclination of governments to enhance their defense competencies are contributing to the growing demand for military trucks.”
 

Industry challenges, such as high operating costs in terms of fuel, maintenance, and repair, are restricting the proliferation of military trucks. These trucks are operational in harsh environmental conditions for a long duration, resulting in frequent wear and tear of critical parts & subsystems and high expenditure on spare parts. Timely maintenance and servicing are extremely crucial for these trucks to ensure proper operation during sensitive military operations. However, the impacts of these restraints are expected to reduce over time due to annual maintenance contracts provided by military truck market players.
 

The demand for military trucks is anticipated to slow down during the COVID-19 pandemic. The major market factor contributing to this sluggish growth is the diverted focus of government authorities to mitigating the social and economic impact of the pandemic. The market growth is also restricted by large-scale disruptions in the supply chain. Severe cuts in defense expenditures by several large economies will also restrict the military trucks market share in 2020. However, the industry will witness growing demand with rising defense budgets post-pandemic.
 

Growing demand for medium-duty military trucks due to fuel efficiency

The North America medium-duty military trucks market is projected to witness a growth rate of over 3.5% through 2026. High demand for these trucks can be attributed to several factors such as enhanced maneuverability and low body weight compared to heavy-duty trucks. The fuel efficiency of these trucks is significantly enhanced due to a lower-body weight. The upward market trend of integrating advanced technologies, such as navigation systems and automatic transmission, in medium-duty trucks is driving the market revenue.
 

Browse key industry insights spread across 170 pages with 161 market data tables & 21 figures & charts from the report, “Military Trucks Market Size By Type (Light-duty, Medium-duty, Heavy-duty), By Fuel (Diesel, Gasoline, Electric/Hybrid), By Application (Cargo & Troop Transportation, Utility), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/military-trucks-market
 

High power and torque output to drive the market for diesel trucks

The Europe diesel trucks segment is forecast to reach around USD 4.5 billion by 2026 owing to the enhanced power output and high torque offered by them. Technological advancements in diesel engines with automatic transmission systems have significantly reduced the fuel consumption of diesel trucks. However, with the emergence of battery-operated electric trucks, the market is anticipated to observe a rapid shift toward alternative fuels.
 

Demand for military trucks supported by utility applications

The North America utility application held more than 25% of the military trucks market share in 2019 and is expected to grow with the increasing demand for utilities at military camps. Utility military trucks are increasingly being used to supply oil to tanks, generators, and armored motorcars that are deployed on a mission. The growing adoption of water tankers with high insulation capabilities for supplying water in harsh climatic conditions is further improving market statistics. The high torque producing capability of 401 to 500hp engines will drive the adoption of heavy-duty trucks.
 

Stringent emission regulations driving the demand for alternative fuels in Europe

The Europe military trucks market is predicted to reach USD 5 billion revenue in 2026. The establishment of stringent emission regulations and incorporation of innovative technologies to shift to alternative fuels are encouraging the development of electric and hybrid military trucks in Europe. The European Commission (EC) is investing in R&D and developing innovative solutions to keep a check on emissions from heavy and medium-duty vehicles. In 2017, the EC developed a vehicle energy consumption calculation tool to continuously monitor emission levels from heavy vehicles.
 

Market leaders are investing in product development and introducing new models of trucks in the market. For instance, in June 2020, Arquus launched its new ARMIS range of trucks. The all-wheel-drive trucks are available in 6x6, 8x8, and 4x4 axle configurations designed specifically to cater to soldiers’ requirements. Companies are also engaged in establishing long-term partnerships and contracts with the defense ministries of various countries to maintain consistent revenues.
 

Key players active in the military trucks market include Daimler AG, Mitsubishi Heavy Industries Pvt. Ltd., Oshkosh Corporation, Mahindra Emirates Vehicle Armouring, IVECO Defense Vehicles, Krauss-Maffei Wegmann, NIMR Automotive, Arquus, and TATRA Trucks A.S.