Ammunition Market

Global Ammunition Market:

The global ammunition market size reached USD 25.8 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 36.1 Billion by 2033, exhibiting a growth rate (CAGR) of 3.44% during 2025-2033. The growing investments by government bodies in self-defense are fueling the market growth. At present, North America holds the largest market share owing to a significant surge in military investments and a robust presence of ammunition manufacturers.

Ammunition Market Analysis:

• Major Market Drivers: Regulatory bodies are focusing on ensuring safety as well as security and enhancing their firepower capabilities, which is bolstering the ammunition market demand.
• Competitive Landscape: Some of the prominent companies in the market include Ammo Inc., Arsenal 2000 AD, BAE Systems PLC, CBC Ammo LLC, Denel SOC Ltd, Hanwha Corporation, Herstal Group, Hornady Manufacturing Company, Nammo AS, Nexter group KNDS, Northrop Grumman Corporation, Nosler Inc., Remington Outdoor Company Inc, Rheinmetall AG, and Sierra Bullets (Clarus Corporation), among many others.
• Key Market Trends: The introduction of lightweight polymer-based bullets is projected to stimulate growth as per the ammunition market forecast.
• Geographical Trends: The wide presence of defense contractors and research facilities is propelling the market in North America.
• Challenges and Opportunities: The fluctuating availability is hampering the market. However, the introduction of advanced technologies is expected to fuel the market over the forecasted period.
   

Ammunition Market Trends:

Technological Advancements

Smart ammunition, equipped with cutting-edge technologies including GPS, sensors, and data links is revolutionizing battlefield solutions. These munitions can communicate with launch platforms and other systems, allowing them to modify their trajectory mid-flight, thereby ensuring greater adaptability and accuracy in dynamic combat situations. Integration of automation and digitalization in ammunition management is further projected to create new growth opportunities for the market participants. For instance, in August 2024, police in Odisha, India, launched an e-module for inventory management of ammunition and munitions. The e-module enables the senior officers to monitor the stock levels of arms across all the police districts in the state.

Escalating Demand for Precision-Guided Munitions (PGMs)

As military forces prioritize accuracy and the reduction of collateral damage in combat operations, the demand for precision-guided munitions (PGMs) is witnessing a significant uptrend. PGMs include missiles and guided bombs that are equipped with advanced targeting systems. In July 2024, the Israel Ministry of Defense signed an order worth over US$ 220 Million for precision-guided mortar munitions from Elbit Systems. These munitions are designed to accurately destroy targets, utilizing both immune GPS and laser guidance technology. Such developments highlight the proliferating reliance on PGMs for effective and accurate military operations.                

Increasing R&D Investments

Significant investments made by key manufacturers in R&D initiatives are opportunistic for the market growth. These investments are driven by the increasing need to attain a competitive edge in technological advancements, meet fluctuating demands, and ensure product preciseness. For instance, In February 2024, Adani unveiled South Asia's largest ammunition and missiles complex in Kanpur, India to cater to domestic demand, augment defense capabilities, and boost economic growth and employment. The inflating need for lighter weight, improved performance, and better lethality in military and law enforcement applications is contributing to the market demand. Besides this, extensive investments in R&D activities by key players will continue to stimulate market growth in the upcoming years.

Global Ammunition Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with the ammunition market forecast at the global, regional, and country levels for 2025-2033. Our report has categorized the market based on the product type, caliber, guidance, lethality, and application.

Breakup by Product:

• Bullets
• Aerial Bombs
• Grenades
• Mortars
• Artillery Shells
• Others
   

Bullets accounted for the largest ammunition market outlook

The report has provided a detailed breakup and analysis of the market based on the product type. This includes bullets, aerial bombs, grenades, mortars, artillery shells, and others. According to the report, bullets represented the largest market segmentation.

Bullets represent the largest segment in the market due to their rising use across numerous sectors, including law enforcement, military, and civilian shooting sports. The demand for bullets is driven by their essential role in a wide range of firearms, from rifles to shotguns, making them a critical component of the global ammunition supply. Companies like Federal Premium and Winchester Ammunition are key players in this segmentation.

Breakup by Caliber:

• Small
• Medium
• Large
   

Small exhibits a dominance in the ammunition market share

The report has provided a detailed breakup and analysis of the market based on the caliber. This includes small, medium, and large. According to the report, small represented the largest market segmentation.

Small caliber ammunition represents the largest segment in the market due to its extensive use across multiple sectors, including law enforcement, military, and civilian applications like sport shooting, hunting, personal defense, etc. Some of the product launches include Winchester’s .308 Winchester and Remington’s .223 Remington.

Breakup by Guidance:

• Guided
• Non-Guided
   

Non-guided accounted for the largest market share

The report has provided a detailed breakup and analysis of the market based on the guidance. This includes guided and non-guided. According to the ammunition market statistics, non-guided represented the largest market segmentation.

Non-guided ammunition includes traditional shells, bullets, and bombs. Companies like General Dynamics and Northrop Grumman have recently launched new non-guided ammunition products to meet evolving military needs.

Breakup by Lethality:

• Less-Lethal
• Lethal
   

Lethal accounted for the largest ammunition market demand

The report has provided a detailed breakup and analysis of the market based on lethality. This includes less-lethal and lethal. According to the report, lethal represented the largest market segmentation.

Lethal ammunition remains a core focus in the defense sector, driven by the need for effective and reliable munitions in both military and law enforcement applications. For example, BAE Systems launched its new family of 7.62mm and 5.56mm rounds, optimized for enhanced lethality and reduced environmental impact.

Breakup by Application:

• Defense
  • Military
  • Homeland Security
• Civil and Commercial
  • Sporting
  • Hunting
  • Self-Defense
  • Others
     

Defense accounted for the largest ammunition market revenue

The report has provided a detailed breakup and analysis of the market based on the application. This includes defense (military and homeland security) and civil and commercial (sporting, hunting, self-defense, and others). According to the report, defense represented the largest market segmentation.

Ammunition for defense continues to be a critical area of innovation, as nations seek to equip their armed forces with reliable munitions capable of addressing modern security threats. This is positively influencing the ammunition market outlook.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

North America exhibits a clear dominance in the market

The ammunition market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada), Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others), Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others), Latin America (Brazil, Mexico, and others), and the Middle East and Africa. According to the report, North America accounted for the largest market share.

North America exhibits a clear dominance in the market, driven by high ammunition market demand from the military sector. The region is home to several leading ammunition manufacturers who continue to innovate and launch new products to meet the diverse needs of the market. In July 2024, the regulatory authority in the U.S. introduced vending machines for bullets to make ammunition more available.

Competitive Landscape:

The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major market ammunition companies have also been provided. Some of the key players in the market include:

• Ammo Inc.
• Arsenal 2000 AD
• BAE Systems PLC
• CBC Ammo LLC
• Denel SOC Ltd
• Hanwha Corporation
• Herstal Group
• Hornady Manufacturing Company
• Nammo AS
• Nexter group KNDS
• Northrop Grumman Corporation
• Nosler Inc.
• Remington Outdoor Company Inc
• Rheinmetall AG
• Sierra Bullets (Clarus Corporation)
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report)

Ammunition Market Recent Developments:

• August 2024: Police in Odisha, India, launched an e-module for inventory management of its ammunition and munitions. The e-module will help the senior officers monitor the stock of arms of all the police districts in the state.
• July 2024: The Israel Ministry of Defense signed an order worth over USD 220 Million for precision-guided mortar munitions from Elbit Systems. They are designed to accurately destroy objectives, utilizing both immune GPS and laser guidance technology.
• February 2024: Adani unveiled South Asia's largest ammunition and missiles complex in Kanpur, India, to add jobs.

Ammunition Market Report Scope:

Key Benefits for Stakeholders:

• IMARC's industry report offers a comprehensive quantitative analysis of various market segments, historical and current ammunition market statistics, market forecasts, trends, and market dynamics from 2019-2033.
• The research report provides the latest information on the ammunition market overview, market drivers, challenges, and opportunities.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region in the global ammunition market.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the ammunition industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.