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Future of the Global Loitering Munition Market: Trends, Innovations, and Key Forecasts Through 2034
Use code ONLINE20 to get 20% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.Loitering Munition Market Size Growth Forecast: What to Expect by 2025?
In recent years, there has been a swift expansion in the market size of loitering munition. Forecasts predict a surge from $1.75 billion in 2024 to $1.97 billion in 2025, aligning with a compound annual growth rate (CAGR) of 12.5%. The phenomenal growth during the historic period is tied to a multitude of factors including escalating cross-border conflicts, a rising demand for precision strike capabilities, a surge in the deployment of asymmetric warfare, burgeoning military expenditure in developing economies, and an intensified adoption of unmanned aerial systems.
How Will the Loitering Munition Market Size Evolve and Grow by 2029?
The market size for loitering munition is slated for remarkable expansion in the upcoming years, escalating to a size of $3.12 billion by 2029 with a compound annual growth rate (CAGR) of 12.1%. The growth during the projected period can be ascribed to escalating issues regarding border security, an increased emphasis on self-governing weapons systems, surging investments directed towards defense upgradation programs, and a growing demand for cost-effective substitutions for missiles. The forecast period also foresees some major trends such as the development of compact and mobile loitering munitions, creation of systems with long-endurance and extended-range, incorporation into network-centric warfare systems, the integration of electronic warfare (ew) capabilities, along with advancements in stealth and low-visibility designs.
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What Drivers Are Propelling the Growth of Loitering Munition Market Forward?
The growth of the loitering munition market is projected to be fueled by escalating geopolitical strains. Such tensions involve the conflict, or strain between countries or regions, stemming from differing political, economic, territorial or strategic interests that have a major impact on international relations and global stability. These growing tensions are primarily driven by territorial disagreements, where conflicts of interest arise from rival claims over land or maritime boundaries, thus escalating political and military disputes. Loitering munition holds the potential to boost military readiness and deterrence by offering precision strike capabilities. This can affect the balance of power and shape responses during geopolitical tensions. For example, Euronews SA, a French television network, reported in January 2025 that global conflicts had escalated in 2024, with a 25% increase in political violence compared to 2023. This impacted one in eight people and led to approximately 223,000 deaths, with a concurrent 37% rise in overall casualties. As a result, these mounting geopolitical tensions are propelling the expansion of the loitering munition market.
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Which Emerging Trends Are Transforming the Loitering Munition Market in 2025?
Leading players in the loitering munition industry are concentrating on creating novel solutions, like precision strike capabilities that can be aerially launched, to boost operational adaptability and targeting beyond visible range. Precision strike systems which can be aerially discharged are weapons discharged from flying vehicles, such as helicopters, which can precisely strike far-off targets with minimal unintended damage. For instance, in June 2025, UVision Air Ltd., a defense technology firm from Israel, formed an alliance with Fulcrum Concepts LLC, a defense tech firm from the US, and Mistral Inc., another US-based company, to initiate a revolutionary aerial launch function for its Hero-120 loitering munition in order to improve swift, flexible, and accurate strike activities. The system is constructed to provide front line units with self-reliant Intelligence, Surveillance, and Reconnaissance (ISR) and beyond-line-of-sight (BLOS) attack abilities without reliance on other units. It exhibits a pneumatically launched, unobtrusive design with a swiveling electro-optic/infrared camera, enabling target following, in-flight mission cancellations or reassignments, and adaptable precision attacks using multiple swappable warhead versions across diverse platforms, including handheld, vehicular, maritime, and helicopter-based launches.
What Are the Key Segments in the Loitering Munition Market?
The loitering munition market covered in this report is segmented as
1) By Type: Recoverable, Expendable
2) By Launch Mode: Air Launched Effect, Vertical Take-off, Canister Launched, Catapult Launched, Hand Launched
3) By Range: Short Range, Medium Range, Long Range
4) By Application: Military, Homeland Security, Commercial
5) By End User: Land, Air, Navy
Subsegments:
1) By Recoverable: Returnable Drone, Reusable Winged Missile, Retrievable Aerial System
2) By Expendable: Single Use Drone, Disposable Missile, One Time Aerial System
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Who Are the Key Players Shaping the Loitering Munition Market's Competitive Landscape?
Major companies operating in the loitering munition market are Raytheon Technologies Corporation, Lockheed Martin Corporation, WB Group, Northrop Grumman Corporation, BAE Systems plc, L3 Technologies Inc., Leonardo S.p.A., STM Savunma Teknolojileri Mühendislik ve Ticaret A.S., Elbit Systems Ltd., Israel Aerospace Industries (IAI), EDGE Group (HALCON), Rafael Advanced Defense Systems Ltd., Matra BAE Dynamics Alenia, Thales Group, General Atomics Aeronautical Systems Inc., Hanwha Group, Teledyne FLIR LLC, AeroVironment Inc., Baykar Technologies, UVision Air Ltd.
What Geographic Markets Are Powering Growth in the Loitering Munition Market?
North America was the largest region in the loitering munition market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in loitering munition report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
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