By
the end of 2021, the revenue share in the ammunitions market held by the
military sector is expected to be 57.14%. The military receives significant
financial aid and interest from the national governments, which allows the
military to create a consistent level of research and development efforts in
making efficient, precise, and tougher rounds. The military sectors is
currently showing a high demand in all types of bullets and in all calibers.
Law enforcement and civil sales of ammunition are primarily done in small
caliber rounds. The sale of commercial ammunitions, meanwhile, is reducing in
developed economies and is increasing in the emerging ones, primarily as a
source of self-defense.
Concerns over terrorism are
escalating in several regions across the world and especially in Europe.
Terrorist disturbances are growing in count and government bodies are doing
what they can to curb it. This includes increasing expenditure on ammunitions
of all types and calibers. Countries such as South Korea, Indian, China, and
Pakistan are also increasing their spending on ammunition due to disturbances
created by neighboring countries.
View exclusive Global strategic
Business report: http://www.transparencymarketresearch.com/ammunition-market.html
A related event is the growing
pace of the arms race in countries from the Middle East and Africa, and Asia
Pacific. Several countries from these regions are strengthening their troop
count as well as modernizing their military equipment. This growing arms race
is creating a very high demand for ammunitions, further driving its global
market.
However, the U.S. and several European countries are on their
way to steadily demilitarizing themselves, a move which started after the Iraq
and Afghanistan wars. The demilitarization, coupled with the recent economic
meltdown, have caused North America and Europe to lose share values in the
global ammunition market.
The resultant effect of all the above factors and more can be
seen in a predicted CAGR for the market’s revenue, which is 3.7% from 2015 to
2021. By the end of 2021, the revenue is expected to reach US$14.87 bn.
Download Free exclusive Sample of this report: http://www.transparencymarketresearch.com/sample/sample.php?flag=S&rep_id=1225
APAC
and MEA Demand for Ammunitions Increases Rapidly
Although North America and Europe currently hold leading
shares in the market value for ammunitions, their growth rate is expected
reduce over the coming years due to substantial reductions in overall demand.
At the same time, the demand for ammunitions is expected to increase rapidly in
Asia Pacific and the MEA region. By the end of 2021, the share of ammunitions
revenue held by Europe will be 31.78%.At the moment, most of the demand for ammunitions in Europe
is coming from the strengthening of national defense forces to combat the
rising waves of terrorism.
Both North America and Europe are currently focusing
more on the replacement and refurbishment of older weapons and ammunitions,
creating a moderate demand for new ammo. The current largest market for
ammunitions lies in Russia, a country which is expected to maintain its leading
position till 2021.