- Global conflicts, upgrading technology encourages spending
- Orbital ATK delivers 10,000 kits to U.S. Army
- China decreases defense spending while U.S. makes increases
By 2026, the artillery and systems market is forecasted to be valued at $9.7 billion globally, according to a report by Strategic Defence Intelligence.
The market is forecasted to grow primarily because of an increase in defense spending in the nations involved in conflicts, territorial disputes in emerging economies, and countering insurgencies. The increasing demand for training systems and the need to maintain a sufficient inventory of a second line of fire artillery systems for militaries also have fueled market growth.
Nations also are modernizing their militaries which is forecasted to encourage defense spending. The focus has been on upgrading existing firearms as well as the induction of new advanced models. New models include Towed Artillery Gun System (ATAGS) and the self-propelled howitzer – XM 2001.
10,000 Kits Delivered
Orbital ATK has delivered 10,000 precision-guidance kits for artillery projectiles to the U.S. Army. The kits combine fuse and guidance system into one unit, increasing accuracy and safety while reducing collateral damage.
The kits are reliable within 98 feet of the target, the company says. They will replace the army’s current fuses.
“PGK is a great success story and tremendous capability for our artillery,” said Army Product Manager, Lt. Col. Anthony Gibbs, told UPI. “Not only have we reached a milestone in production, our soldiers have now fired it more than 1,000 times during recent operations — and it’s really giving them an unfair advantage.”
Orbital ATK will produce kits for the U.S. Army until 2020.
Changes in Global Defense Spending
Chinese defense spending will increase at the lowest level since 1991, according to Bloomberg Politics. China’s Ministry of Finance says spending will increase 7% this year to $151 billion.
In 2015, spending increased 7.6% to $147 billion.
However, other nations doubt these figures because China does have a history of being transparent about its military spending. The Stockholm International Peace Research Institute believes China’s spending is 55% more than what the Ministry of Finance released.
Meanwhile, U.S. President Donald Trump wants to increase defense spending by $54 billion by cutting foreign aid and spending on domestic agencies and programs.
If the increase is approved, the nation’s defense budget would be $603 billion, according to White House Budget Director Mike Mulvaney, excluding overseas military operations.
The increase would be spent on upgrading weapons, law enforcement and securing the border.
Opponents say military spending is less important than military strategy and stockpiling weapons is a layover from the Cold War.
The U.S. spends more in military spending than the next seven nations with high defense budgets combined.
Global Artillery and Systems Market
- There are five segments in the artillery and systems market: mortars, other artillery systems, self propelled-artillery systems, towed-artillery systems, and turret systems.
- The largest region in the artillery and systems market is Asia-Pacific with a 40% market share followed by North America and Europe.