Rising Geopolitical Tensions Fueling The Growth Of The Market Due To Increasing Military Investments Emerges as a Core Driver of the Automatic Grenade Launcher Market in 2025

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What Is the Expected CAGR for the Automatic Grenade Launcher Market Through 2025?
The market for automatic grenade launchers has experienced substantial growth over the recent years. It is projected to surge from $1.18 billion in 2024 to $1.26 billion in 2025, recording a compound annual growth rate (CAGR) of 7.0%. This surge during the historic period can be traced back to factors such as the modernization of military forces, escalating geopolitical conflicts, augmentation of defense budgets, enhanced counter-terrorism operations, and a heightened demand for infantry firepower.

What's the Projected Size of the Global Automatic Grenade Launcher Market by 2029?
Expectations are high for the automatic grenade launcher market, with robust growth projected over the coming years. The market is predicted to swell to $1.63 billion by 2029, boasting a compound annual growth rate (CAGR) of 6.7%. The anticipated growth in this period is linked to a combination of factors such as the amalgamation with unmanned platforms, a shift toward domestic manufacturing, the embrace of intelligent ammunition, the broadening of defense export markets, and the increasing demand for swift deployment weapons. The forecast period also signals several key trends such as the progression of vehicle-anchored systems, breakthroughs in automation and targeting systems, the advancement of light materials, the employment of programmable airburst munitions, and the progression of modular and customizable launcher designs.

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Top Growth Drivers in the Automatic Grenade Launcher Industry: What's Accelerating the Market?
The escalating geopolitical conflicts are likely to drive the expansion of the automatic grenade launcher market moving forward. This term refers to the various rivalries, conflicts, or tense relations among nations or political factions, typically fueled by disagreements regarding territory, resources, ideology, or military power. It's the territorial conflicts that catalyze geopolitical tensions, with countries in dispute over land or sea boundaries and often resulting in military clashes and increased regional volatility. In these geopolitical disputes, automatic grenade launchers are utilized to provide swift, plentiful firepower, aiding in border security initiatives, urban warfare, and the restraint of adversary positions in disputed regions. To illustrate, the Armed Conflict Location & Event Data Project (ACLED), a US nonprofit research institution specializing in conflict data examination, reported in July 2024 that there were over 165,273 recorded instances of political violence worldwide from July 2023 to June 2024, a 15% surge from the prior year. Consequently, the intensifying geopolitical tensions are fueling the expansion of the automatic grenade launcher market.

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What Trends Will Shape the Automatic Grenade Launcher Market Through 2029 and Beyond?
Leading companies involved in the automatic grenade launcher market are turning their attention towards innovative technologies like next-gen grenade launchers to boost precision, lethality, and operational flexibility for contemporary infantry forces. These future-generation grenade launchers combine semi-automatic firing, programmable airburst ammunition, and intelligent fire-control optics to offer soldiers enhanced efficacy against both visible and concealed opponents. For instance, in October 2024, US-based firearms manufacturer Barrett Firearms debuted a 30mm semi-automatic grenade launcher as part of the U.S. Army's Precision Grenadier System (PGS) initiative. This compact, magazine-loaded system boasts a 305-millimeter (mm) barrel, a central five-round magazine, and a total weight of 6.3 kilograms (kg), being both powerful and easily portable. Its key attributes encompass advanced fire-control mechanisms for programming a variety of ammunition types, including counter-defilade and anti-drone rounds, facilitating effective engagement at distances ranging from 35 to beyond 500 meters. It also features an advanced optical sighting system akin to the XM-157, which enhances targeting precision in rapidly changing combat scenarios. This future-generation grenade launcher is poised to revolutionize infantry capabilities, aligning with the military's momentum toward more intelligent, adaptable weaponry platforms.

What Are the Main Segments in the Automatic Grenade Launcher Market?
The automatic grenade launcher market covered in this report is segmented -

1) By Product Type: Single Barrel Grenade Launchers, Multi-Barrel Grenade Launchers, Recoil-Operated Grenade Launchers, Gas-Operated Grenade Launchers
2) By Caliber Type: Below 40 Millimeters, 40 Millimeters, Above 40 Millimeters
3) By Platform: Ground, Naval, Airbone
4) By Application: Combat Operations, Counter-Terrorism, Urban Warfare, Training Purposes
5) By End User: Military, Law Enforcement, Other End Users

Subsegments:
1) By Single Barrel Grenade Launchers: Lightweight Launchers, Heavyweight Launchers, Man-Portable Launchers
2) By Multi-Barrel Grenade Launchers: Dual-Barrel Launchers, Rotary-Barrel Launchers, Electrically Powered Launchers
3) By Recoil-Operated Grenade Launchers: Blowback System, Short Recoil System, Long Recoil System
4) By Gas-Operated Grenade Launchers: Direct Impingement, Piston-Driven Systems, Adjustable Gas Systems

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Which Top Companies are Driving Growth in the Automatic Grenade Launcher Market?
Major companies operating in the automatic grenade launcher market are China Ordnance Industry Group Corporation Limited, Northrop Grumman Corporation, Thales Group, Ukroboronprom, Leonardo S.p.A, Singapore Technologies Engineering Ltd, Rheinmetall AG, ST Kinetics Ltd, Elbit Systems Ltd., Saab AB, China North Industries Corporation, Moog Inc., China South Industries Grup Corporation, General Dynamics Ordnance and Tactical Systems Inc., FN Herstal S.A., Denel Land Systems (Pty) Ltd, Rosoboronexport JSC, Arsenal JSCo, KBP Instrument Design Bureau, Krauss-Maffei Wegmann GmbH & Co. KG., Zastava Arms JSC.

Which Regions Will Dominate the Automatic Grenade Launcher Market Through 2029?
North America was the largest region in the automatic grenade launcher market in 2024. The regions covered in the automatic grenade launcher market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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