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Add to CartGlobal Close-in Weapon Systems Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Type;
Gun-Based and Missile-based.By Platform;
Terrestrial and Naval.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa and Latin America - Report Timeline (2021 - 2031).Introduction
Global Close-in Weapon Systems Market (USD Million), 2021 - 2031
In the year 2024, the Global Close-in Weapon Systems Market was valued at USD 7,450.73 million. The size of this market is expected to increase to USD 14,335.58 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 9.8%.
Close-in weapon system (CIWS) is a weapon system specifically designed to identify and neutralize incoming short-range missiles and enemy aircraft that have successfully penetrated the outer defense mechanisms. These systems are commonly utilized on naval vessels. It should be noted that CIWS devices are present on a wide range of modern warships. Experts have pointed out that high-energy lasers now provide a cost-effective solution for targeting asymmetric threats such as unmanned aircraft and small attack boats, accomplishing this task at the speed of light and with an exceptional level of accuracy.
Close-in weapon systems market is anticipated to be driven by a consistent increase in the global military fleet, internal and external security threats, technological innovations, aging global military fleet, joint ventures, and strategic alliances formed to address the specific requirements of the modernization initiatives undertaken by the global armed forces. Moreover, the growing instances of asymmetric warfare and the emphasis on developing advanced warfare systems are the main drivers for the market. However, the design and operational issues regarding the use of automated weaponry including CIWS may challenge the industry in the short term.
Global Close-in Weapon Systems Market Recent Developments
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In November 2023, BAE Systems unveiled an autonomous close-in weapon system prototype to integrate with naval defense networks, highlighting the shift toward AI-driven solutions.
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In June 2020, Raytheon Technologies upgraded its Phalanx system with enhanced radar tracking capabilities to improve defense against low-altitude threats, aligning with evolving combat needs.
Segment Analysis
The market is segmented by type into gun-based and missile-based systems. Gun-based systems are widely used for their rapid-fire capabilities and effectiveness in engaging multiple targets at shorter ranges. These systems are essential for ground-based and naval defense, offering flexibility and quick response against incoming threats. Missile-based systems, on the other hand, are designed for long-range engagements, providing precision targeting and enhanced destructive power. Their advanced guidance systems and ability to neutralize high-speed threats make them a critical component of modern defense strategies.
By platform, the market is divided into terrestrial and naval systems. Terrestrial platforms include ground-based installations designed for land defense, often deployed to protect key infrastructure and provide battlefield support. These platforms are integral to securing borders and countering aerial threats. Naval platforms are equipped on ships and submarines, enabling maritime forces to defend against enemy aircraft, missiles, and surface threats. The adaptability of these platforms to various environments ensures comprehensive protection in both land and sea operations.
The combination of gun-based and missile-based systems across terrestrial and naval platforms highlights the importance of integrated defense solutions. These systems work in synergy to provide layered protection, addressing a wide range of operational scenarios. Continuous advancements in targeting accuracy, response speed, and automation are driving the development of next-generation systems, ensuring their relevance in evolving threat environments.
Global Close-in Weapon Systems Market, Segmentation by Type
The Global Close-in Weapon Systems Market, Segmented by Type into Gun-based and Missile-based.
Gun-based CIWS systems are designed to intercept and destroy incoming threats using rapid-fire guns, typically 20mm to 30mm caliber. These systems are effective against a variety of threats, including missiles, aircraft, and small boats, making them a versatile option for close-range defense. Gun-based CIWS systems are known for their high rate of fire and quick response times, making them ideal for protecting naval vessels and other high-value assets.On the other hand, missile-based CIWS systems are designed to intercept and destroy incoming threats using guided missiles. These systems offer longer ranges and higher engagement altitudes compared to gun-based systems, making them suitable for countering more advanced threats, such as anti-ship missiles and aircraft.
Missile-based CIWS systems are often equipped with advanced sensors and target-tracking capabilities, allowing them to engage multiple targets simultaneously and with high precision.Both gun-based and missile-based CIWS systems play a crucial role in modern defense systems, providing a layered approach to close-range defense. The choice between these two types of systems depends on various factors, including the specific threats faced, operational requirements, and budget constraints. As the global CIWS market continues to grow, both gun-based and missile-based systems are expected to remain key components of naval and ground-based defense systems.
Global Close-in Weapon Systems Market, Segmentation by Platform
The Global Close-in Weapon Systems Market , Segmented by Platform into Terrestrial and Naval.
Terrestrial CIWS systems are designed to protect ground installations, such as military bases, airfields, and critical infrastructure, from a variety of threats, including rockets, artillery, mortars, and drones. These systems typically feature high-velocity guns or missile launchers and are integrated into the overall air defense network to provide a layered defense against incoming threats.Naval CIWS systems, on the other hand, are specifically designed to protect naval vessels from anti-ship missiles, aircraft, and other threats. These systems are critical for naval forces operating in contested environments, where the risk of missile and aircraft attacks is high.
Naval CIWS systems are often integrated into the ship's overall combat system and are capable of engaging multiple targets simultaneously, providing a critical layer of defense for naval assets.Both terrestrial and naval CIWS systems play a crucial role in modern defense strategies, providing close-range protection against a wide range of threats. As the global security landscape continues to evolve, the demand for CIWS systems is expected to grow, driven by the need to protect military and civilian assets from emerging threats.
Global Close-in Weapon Systems Market, Segmentation by Geography
In this report, the Global Close-in Weapon Systems Market ,Segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Close-in Weapon Systems Market Share (%), by Geographical Region, 2024
North America is expected to dominate the market, driven by the presence of key CIWS manufacturers, technological advancements, and high defense spending. The region is home to major defense contractors such as Raytheon Technologies Corporation, which develops the Phalanx CIWS, a widely used system in the U.S. Navy and allied navies.Europe is also a significant market for CIWS, with countries like the UK, France, and Germany investing in modernizing their defense capabilities. The region is witnessing an increasing focus on naval defense systems, driving the demand for CIWS.
The Asia Pacific region is expected to experience rapid growth in the CIWS market, driven by the increasing defense budgets of countries like China, India, and Japan. These countries are investing in naval modernization programs, including the procurement of advanced CIWS systems, to enhance their maritime security capabilities.The Middle East and Africa region is also expected to contribute to market growth, driven by geopolitical tensions and the need to protect critical infrastructure and assets. Countries in the region are investing in CIWS systems to enhance their air and missile defense capabilities. Latin America is a relatively smaller market for CIWS but is witnessing increasing investments in defense capabilities, particularly in countries like Brazil and Mexico, which could drive market growth in the region.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Close-in Weapon Systems Market. These factors include; Market Drivers, Restraints and Opportunities.
Drivers, Restraints and Opportunity Analysis
Drivers
- Increasing Threat of Asymmetric Warfare
- Modernization and Upgradation Programs
- Focus on Naval Warfare Systems
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Technological Advancements:- Technological advancements are driving significant developments in the global close-in weapon systems (CIWS) market. One key area of advancement is in sensor technology, with CIWS systems now incorporating advanced radar and electro-optical sensors for improved target detection and tracking. These sensors allow CIWS systems to quickly and accurately identify and engage threats, enhancing their effectiveness in defending against a wide range of targets, including missiles, aircraft, and small boats.Another area of advancement is in fire control systems, which have become more sophisticated and capable of integrating data from multiple sensors to provide a comprehensive picture of the battlefield. This enables CIWS systems to engage multiple threats simultaneously and with greater precision, reducing the risk of incoming threats penetrating the defense perimeter.
Advancements in ammunition technology have led to the development of more lethal and precise rounds, further enhancing the effectiveness of CIWS systems in neutralizing threats. Advancements in automation and artificial intelligence (AI) are revolutionizing CIWS operations, allowing for faster response times and more efficient use of resources. AI algorithms can analyze incoming threats in real-time and automatically initiate defensive actions, reducing the workload on human operators and improving overall system performance. These technological advancements are driving the evolution of CIWS systems, making them more capable, reliable, and effective in protecting against modern threats in a rapidly changing security environment.
Restraints
- High Costs
- Complexity of Integration
- Limited Effectiveness Against Emerging Threats
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Export Restrictions:- Export restrictions pose a significant restraint on the global close-in weapon systems (CIWS) market. Many countries impose strict controls on the export of military equipment, including CIWS systems, due to national security concerns. Exporting countries often require end-user certifications and adherence to specific usage restrictions to prevent the diversion of CIWS systems to unauthorized or hostile entities. These restrictions can limit the market opportunities for CIWS manufacturers, particularly in regions where there is a high demand for such systems but strict export controls are in place.Export restrictions can lead to delays and complexities in international trade agreements involving CIWS systems. Negotiating export licenses and complying with regulatory requirements can be time-consuming and costly for both manufacturers and buyers, potentially affecting the competitiveness of CIWS systems in the global market.
The uncertainty surrounding export regulations and the risk of changes in export policies can deter potential buyers from investing in CIWS systems, further limiting market growth.Export restrictions can also hinder collaboration and partnerships between CIWS manufacturers and foreign defense entities. Joint development projects and technology transfer agreements may be restricted or prohibited, limiting the ability of CIWS manufacturers to access new markets and technologies. Overall, export restrictions present a significant challenge for the global CIWS market, affecting market dynamics, trade relations, and the ability of manufacturers to expand their market presence.
Opportunities
- Rising Demand for Naval Defense Systems
- Technological Advancements
- Focus on Integrated Air and Missile Defense (IAMD)
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Emerging Markets:- Emerging markets present significant opportunities for the global close-in weapon systems (CIWS) market. Countries in regions such as Asia Pacific, Latin America, and the Middle East are experiencing rapid economic growth, leading to an increase in defense spending and the modernization of their armed forces. As these countries upgrade their military capabilities, there is a growing demand for CIWS systems to protect against a variety of threats, including missiles, aircraft, and drones. This presents an opportunity for CIWS manufacturers to expand their market presence in these regions and establish partnerships with local defense industries.Emerging markets offer opportunities for CIWS manufacturers to collaborate on joint development projects and technology transfer agreements.
By partnering with local defense companies, CIWS manufacturers can gain access to new markets and technologies, allowing them to develop tailored solutions that meet the specific requirements of these markets. This can lead to long-term partnerships and increased market share in emerging economies.The increasing focus on maritime security in emerging markets presents an opportunity for CIWS manufacturers to provide integrated solutions for naval defense. As countries in these regions seek to protect their maritime interests and secure critical sea lanes, there is a growing demand for CIWS systems for naval vessels. By offering comprehensive naval defense solutions, CIWS manufacturers can capitalize on the growing demand for maritime security in emerging markets and establish themselves as key players in the global CIWS market.
Competitive Landscape Analysis
Key players in Global Close-in Weapon Systems Market include
- RTX Corporation
- Leonardo S.p.A
- BAE Systems plc
- THALES
- ASELSAN A.S
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Type
- Market Snapshot, By Platform
- Market Snapshot, By Region
- Global Close-in Weapon Systems Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Increasing Thread of Asymmetric Welfare
- Modernization and Upgradation Programs
- Focus on Naval Warfare Systems
- Technological Advancements
- Restraints
- High Costs
- Complexity of Integration
- Limited Effectiveness Against Emerging Threats
- Export Restrictions
- Opportunities
- Rising Demand for Naval Defense Systems
- Technological Advancements
- Focus on Integrated Air and Missile Defense (IAMD)
- Emerging Markets
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Close-in Weapon Systems Market, By Type, 2021 - 2031 (USD Million)
- Gun-based
- Missile-based
- Global Close-in Weapon Systems Market, By Platform, 2021 - 2031 (USD Million)
- Terrestrial
- Naval
- Global Close-in Weapon Systems Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Close-in Weapon Systems Market, By Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- RTX Corporation
- Leonardo S.p.A
- BAE Systems plc
- THALES
- ASELSAN A.S
- Company Profiles
- Analyst Views
- Future Outlook of the Market