Military Vehicle Sustainment Market Size and Quick Updates

Military Vehicle Sustainment Market Size, Trends and Companies

The military vehicle sustainment market is anticipated to grow from USD 25.83 billion in 2025 to USD 49.69 billion by 2034, with a compound annual growth rate (CAGR) of 7.74% during the forecast period from 2025 to 2034.

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Highlights of Military Vehicle Sustainment Market

• North America dominated the military vehicle sustainment market due to the rising defense expenditure along with technological developments in military sector.
• Asia Pacific is likely to grow with the highest CAGR due to the growing cases of geo-political issues leading to warfare.
• Armored fighting vehicles (AFVs) segment held the largest share of the market due to numerous military combats and rising cases of armed conflicts.
• Army segment led the industry due to the rising government investment in several countries such as India, U.S., Russia and some others to strengthen the armed sector.

Market Overview

The military vehicle sustainment market is a prominent branch of the aerospace and defense industry. This industry deals in providing repairing service to the military sector across the world. There are several types of services provided by this industry consisting of maintenance, repair, and overhaul, parts and components supply, training and support, upgrades and modernization and some others. These services are designed for repairing different types of vehicles including armored fighting vehicles, engineering and recovery vehicles, ground support vehicles, landing craft and amphibious vehicles, light tactical vehicles, military trucks, mine-resistant ambush protected (MRAP) vehicles, self-propelled artillery and some others. It finds application in numerous sectors consisting of air force, army, navy and some others. The rising military expenditures by government of different nations has contributed to the industrial development. This market is projected to rise significantly with the developments in the military equipment industry in different parts of the globe.

• According to the SIPRI, in 2023, the military expenditure of Americas was US$ 966.7 billion and US$ 608.8 billion in Asia and Oceania combined.

Defense Expenditure in Different Areas

• According to the Ministry of Defence, the government of India invested around Rs 6,21,940.85 crores for strengthening the defense sector in India.
• According to the UK Parliament, the government of UK invested around 53.9 billon euros for developing the military and defense sector across the nation.
• According to the Rusi organization, the government of Japan has planned to invest around 970 billion yen in defense sector of Japan during 2025.
• According to the Russian government, Vladimir Putin approved around US$ 126 billion for strengthening the defense sector in Russia.

Industry Leader’s Announcement

In June 2024, John Bishop, the CEO of Rheinmetall AG announced that, “It is a matter close to our hearts to provide Ukraine with effective and reliable support. When it comes to supplying spare parts, our top priority is to maximize availability and ensure rapid replenishment. To achieve this, we utilise existing channels via original manufacturers, process material ourselves and with partners. We are also reactivating original supply chains and integrating local production in Ukraine."

Competitive Landscape

The military vehicle sustainment market is a fragmented industry with numerous dominant market players. Some of the prominent players of this industry comprises of Rheinmetall AG, BAE Systems, General Dynamics Corporation, Elbit Systems Ltd, and some others. These market players are investing heavily to develop their research and development activities related to provide superior maintenance service of military vehicles.

• According to the Rheinmetall Group, in 2023, the annual revenue of the company from Germany segment was 1723 million euros, other Europe segmental revenue was 3399 million euros followed by other regions.

Military Vehicle Sustainment Market Segmentations

By Service

• Maintenance, Repair, and Overhaul
• Parts and Components Supply
• Training and Support
• Upgrades and Modernization

By Vehicle Type

• Armored Fighting Vehicles
• Engineering and Recovery Vehicles
• Ground Support Vehicles
• Landing Craft and Amphibious Vehicles
• Light Tactical Vehicles
• Military Trucks
• Mine-Resistant Ambush Protected (MRAP) Vehicles
• Self-Propelled Artillery

By Application

• Air Force
• Army
• Navy

By Region

• North America
  • US
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Thailand
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Sweden
  • Denmark
  • Norway
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East and Africa (MEA)
  • South Africa
  • UAE
  • Saudi Arabia
  • Kuwait