With a focus on securing maritime interests by employing advanced and multi-role vessels among modern naval forces, the global naval vessels and surface combatants market is set to continue strong growth over the next decade. In fact, this market is anticipated to reach $48.1bn by 2031, which is approximately 41% higher compared to 2021 estimates, according to GlobalData, a leading data and analytics company.

GlobalData’s report, ‘Global Naval Vessels and Surface Combatants Market 2021-2031’, notes that major military forces around the globe such as Russia, China, India, the UK, France and Canada are presently undertaking modernization efforts to replace legacy vessels to deal with emerging threats, which will drive naval vessels and combatants market growth over the next decade. As per GlobalData’s estimations, the frigate segment will dominate the overall market. This is one of the fastest-growing segments in major countries such as India (at 6.4% growth rate), South Korea (5.5%), and Germany (4.9%).

Chandan Nayak, Defense Analyst at GlobalData, comments: “By focusing on the indigenous development and maintenance of naval vessels, this will reduce dependency on imports. Indigenously built ships can be customized, maintained, repaired and overhauled in a domestic facility without depending on a foreign supplier for spare parts and other accessories. The indigenous shipbuilding initiatives also facilitate the advent of a strong industrial ecosystem. This also enables the local enterprises to integrate new functionality and weapons systems throughout the entire life span of the vessels.”

Between 2021 and 2031, the aircraft carrier segment is expected to have the fastest growth with a compound annual growth rate (CAGR) of 6.40%. Growth will be driven by the procurement programs undertaken by various navies such as the US’s Gerald R. Ford-class program, India’s INS Vishal (IAC-II), Russia’s Project 23000E (Shtorm-class) Carrier program, France’s PANG (Porte Avion Nouvelle Generation, or Next-generation Aircraft Carrier) program and China’s Indigenous Aircraft Carriers (001A, 002 and 003).

Nayak adds: “While the aircraft carrier will be the fastest-growing segment, frigates will be the largest in terms of actual spending owing to their multi-tasking capabilities. Frigates will account for 32.7% of the worldwide investment on acquisitions of naval vessels and combatants market over the next ten years, while registering a significant growth, according to GlobalData estimations.”