Global Mortar Ammunition Market

Global Mortar Ammunition Market Overview

• The Global Mortar Ammunition Market is valued at USD 3.8 billion, based on a five-year historical analysis. This growth is primarily driven by increasing military expenditures, modernization of armed forces, and rising geopolitical tensions across various regions. Elevated consumption and replenishment needs linked to recent conflicts have intensified procurement of mortar munitions across NATO, Europe, the Middle East, and Asia-Pacific .
• Key players in this market include the United States, Russia, and China, which dominate due to their substantial defense budgets and ongoing military modernization programs. The U.S. leads in technological advancements and innovation in mortar systems and precision-guided mortar munitions, while Russia and China continue expanding domestic production capacity to support sustained operations and export programs .
• In 2023, the U.S. government implemented the National Defense Authorization Act (NDAA), which authorized approximately USD 816.7 billion for the Department of Defense, encompassing procurement of munitions and industrial base investments that indirectly support mortar ammunition and related technologies; subsequent appropriations and supplemental funding have further emphasized ammunition production capacity and stockpile replenishment to enhance readiness .

Global Mortar Ammunition Market Segmentation

By Type:The market is segmented into various types of mortar ammunition, including High-Explosive (HE) Rounds, Smoke Rounds, Illumination Rounds, Training/Practice Rounds, and Precision-Guided Mortar Munitions (PGMM). Among these, High-Explosive (HE) Rounds dominate the market due to their effectiveness in combat scenarios and widespread use in military operations. The increasing focus on precision and effectiveness in warfare has also led to a rise in demand for Precision-Guided Mortar Munitions, which are gaining traction among armed forces globally .

By Caliber:The market is further segmented by caliber into 60 mm (Light), 81/82 mm (Medium), 120 mm (Heavy), and Other Calibers. The 81/82 mm caliber is currently the most popular choice among military forces due to its balance of firepower and portability, making it suitable for various combat scenarios. The demand for 120 mm mortars is also increasing, particularly for heavy artillery units, as they provide greater range and explosive power .

Global Mortar Ammunition Market Competitive Landscape

The Global Mortar Ammunition Market is characterized by a dynamic mix of regional and international players. Leading participants such as Rheinmetall AG, Nammo AS, BAE Systems plc, Elbit Systems Ltd., Thales Group, General Dynamics Ordnance and Tactical Systems (GD-OTS), Northrop Grumman (Alliant Techsystems legacy/PGMM), Nexter Arrowtech (KNDS), Hanwha Aerospace (Defense), Denel PMP (Denel Pretoria Metal Pressings), Poongsan Corporation, Aselsan A.?., Israel Aerospace Industries (IAI), Pakistan Ordnance Factories (POF), Fábrica Militar Fray Luis Beltrán (Argentina) contribute to innovation, geographic expansion, and service delivery in this space.

Global Mortar Ammunition Market Industry Analysis

Growth Drivers

• Increasing Defense Budgets:Global defense spending reached approximately USD 2.31 trillion, with the United States allocating about USD 916 billion, reflecting a rise from the prior period. This surge in defense budgets is driven by heightened security concerns and modernization efforts. Nations are prioritizing military capabilities, including mortar ammunition, to enhance their operational readiness. The U.S. and NATO allies are expected to continue increasing their budgets, further stimulating demand for advanced mortar systems and related ammunition technologies.
• Technological Advancements in Ammunition:Publicly verifiable global totals for “defense technology investment” cannot be confirmed as exceeding USD 100 billion for the latest period across authoritative public sources; however, multiple defense agencies and research programs continue to fund smart and precision-guided munitions, including GPS-guided mortar rounds that aim to improve accuracy and reduce collateral damage.
• Rising Geopolitical Tensions:Increased allied presence and deterrence measures in Eastern Europe have intensified procurement and readiness activities across artillery and munitions; however, a specific 20% rise in procurement activities for artillery and mortar systems cannot be confirmed from authoritative public sources.

Market Challenges

• Stringent Regulatory Compliance:The global arms trade is governed by international and national export controls, including the Arms Trade Treaty, which imposes strict guidelines on the export and import of conventional arms and ammunition; a global compliance cost figure of USD 15 billion annually for manufacturers could not be verified from authoritative sources.
• High Production Costs:A per-unit production cost “exceeding USD 10,000” for advanced mortar ammunition cannot be validated from authoritative open sources; cost data of this granularity are typically proprietary or classified.

Global Mortar Ammunition Market Future Outlook

The future of the mortar ammunition market appears promising, driven by ongoing technological advancements and increasing defense budgets. As nations prioritize modernization and operational efficiency, the demand for innovative ammunition solutions will likely rise. Additionally, the integration of artificial intelligence in ammunition systems is expected to enhance targeting accuracy and operational effectiveness. These trends indicate a robust growth trajectory for the market, with significant investments in research and development shaping the landscape.

Market Opportunities

• Expansion in Emerging Markets:A consolidated figure that emerging economies in Asia-Pacific and Africa are “projected to reach USD 500 billion” in defense spending in future cannot be verified from authoritative public datasets; while several countries have increased outlays, a single combined projection at this level is not confirmed.
• Development of Smart Ammunition:A global market value “expected to grow to USD 30 billion in future” for smart ammunition cannot be confirmed from primary or secondary authoritative sources; publicly available figures vary and are often proprietary.