The small caliber ammunition market was valued at US$ 5,923.61 million in 2020 and is projected to reach US$ 10,241.57 million by 2028; it is expected to grow at a CAGR of 7.5% from 2021 to 2028.
Analyst Perspective:
The small caliber ammunition market refers to the industry involved in producing and selling ammunition for firearms with smaller bore diameters. These firearms typically include pistols, rifles, and certain types of shotguns. Small caliber ammunition is used by military forces, law enforcement agencies, and civilian shooters for various purposes such as self-defense, target shooting, hunting, and sport shooting competitions. One of the essential drivers is the increasing demand for firearms for personal safety and protection. Rising concerns about personal security and the need for self-defense have led to higher adoption of firearms, fueling the demand for small caliber ammunition. In addition to personal use, the military and law enforcement sectors are major consumers of small caliber ammunition. These organizations require constant ammunition for training exercises, operational purposes, and combat situations. As a result, government contracts play a crucial role in the small caliber ammunition market
Furthermore, the popularity of shooting sports and recreational shooting activities has contributed to the growth of the small caliber ammunition market. Competitive shooting events, such as IPSC (International Practical Shooting Confederation) and USPSA (United States Practical Shooting Association), have gained significant traction, driving the demand for high-quality ammunition. Technological advancements have also played a function in shaping the small caliber ammunition market. Innovations in bullet design, propellant technology, and manufacturing processes have led to the development of more accurate, reliable, and efficient ammunition. Manufacturers continually strive to improve the performance characteristics of their ammunition, catering to the evolving needs of shooters. However, it is important to note that the small caliber ammunition market is subject to various regulations and legal frameworks in different countries. These regulations govern the production, sale, and possession of firearms and ammunition, and they vary significantly worldwide.
Market Overview:
Small caliber ammunition is used in firearms with barrels smaller than 20mm in diameter. The military, law enforcement, hunting, and sporting activities use small-caliber ammunition. Small-caliber ammunition is often produced in massive quantities and can be used in various weapons, including pistols, rifles, and machine guns. It is also used by automatic weapons, which must shoot quickly and precisely. Production of small-caliber ammunition requires precision engineering and high-quality components.
Customize Research To Suit Your Requirement
We can optimize and tailor the analysis and scope which is unmet through our standard offerings. This flexibility will help you gain the exact information needed for your business planning and decision making.
Small Caliber Ammunition Market: Strategic Insights
Market Size Value in US$ 5,923.61 Million in 2020 Market Size Value by US$ 10,241.57 Million by 2028 Growth rate CAGR of 7.5% from 2021-2028 Forecast Period 2021-2028 Base Year 2021
Naveen
Have a question?
Naveen will walk you through a 15-minute call to present the report’s content and answer all queries if you have any.
Speak to Analyst
Customize Research To Suit Your Requirement
We can optimize and tailor the analysis and scope which is unmet through our standard offerings. This flexibility will help you gain the exact information needed for your business planning and decision making.
Small Caliber Ammunition Market: Strategic Insights
| Market Size Value in | US$ 5,923.61 Million in 2020 |
| Market Size Value by | US$ 10,241.57 Million by 2028 |
| Growth rate | CAGR of 7.5% from 2021-2028 |
| Forecast Period | 2021-2028 |
| Base Year | 2021 |
Naveen
Have a question?
Naveen will walk you through a 15-minute call to present the report’s content and answer all queries if you have any.
Speak to Analyst
Market Driver:
Increase in Adoption of Guns for Safety Purposes to Drive Growth of Small Caliber Ammunition Market
The increasing adoption of guns for safety purposes has significantly contributed to the growth of the small caliber ammunition market. In recent years, there has been a rise in concerns about personal safety and a growing desire among individuals to protect themselves and their families. As a result, more people are turning to firearms for self-defense. The decision to acquire a firearm for personal safety creates a demand for small caliber ammunition. Firearms require ammunition to function effectively, and individuals who purchase guns for protection need a steady supply of ammunition to ensure their firearms are ready for use in potential self-defense situations. This surge in demand for small caliber ammunition from individuals seeking safety and protection has created a substantial market opportunity for ammunition manufacturers and suppliers. As more people enter the market as firearm owners, the need for small caliber ammunition grows, driving the overall market growth. Furthermore, adopting guns for safety purposes extends beyond individuals to businesses, institutions, and organizations concerned with security. This includes private security firms, retail establishments, educational institutions, and more. These entities often require firearms and ammunition to enhance their security measures, contributing to the demand for small caliber ammunition. The market growth driven by the adoption of guns for safety purposes is not limited to just ammunition sales. It also ripple effect on related sectors, such as firearm manufacturing, firearm accessories, shooting ranges, training facilities, and safety equipment. As more individuals and organizations embrace firearms for safety, these sectors experience increased demand and growth, creating a positive market environment. However, it's important to note that various factors, including legal regulations, social perceptions, and safety training initiatives, also influence the growth in the small caliber ammunition market. The market growth is intricately connected to the complex dynamics of firearms ownership and usage, which can vary significantly across different regions and countries.
Segmental Analysis:
Based on ammunition size, the small caliber ammunition market is segmented 5.56mm, 7.62mm, 9mm, 12.7mm, 14.5mm, 45ACP, .338mm, .22LR, 223 REM, and .308 Winchester. The 9mm segment held the largest share of the market in 2020, whereas the 7.62 mm segment is anticipated to register the highest CAGR in the market during the forecast period. Due to several factors, the 9mm segment holds the largest share of the small caliber ammunition market. The 9mm cartridge is versatile and suitable for various applications, including self-defense, target shooting, and competition. It is widely used by military, law enforcement, and civilians. The availability of a wide range of handguns chambered in 9mm contributes to its dominance. The 9mm allows for higher magazine capacities and generates manageable recoil, making it popular among shooters. It is cost-effective and widely available, and industry standardization ensures compatibility. Advancements in performance have further solidified its market share. The 9mm segment's popularity and attributes have made it the leading choice in the small caliber ammunition market.
Regional Analysis:
The North America small caliber ammunition market was valued at US$ 2.29 billion in 2021 and is projected to reach US$ 3.68 billion by 2028; it is expected to grow at a CAGR of 7.0% during the forecast period. Due to various factors, North America has emerged as the dominant player in the small caliber ammunition market. Firstly, the region has a robust firearm culture, particularly in the United States, where owning firearms is deeply ingrained in society. This cultural affinity for firearms produces a substantial demand for small caliber ammunition. Furthermore, North America boasts one of the highest civilian gun ownership rates globally. Many people own firearms for self-defense, recreational shooting, and hunting purposes. This widespread ownership creates a consistent and substantial demand for small caliber ammunition to support the firearms owned by individuals. The region's military and law enforcement sectors also contribute significantly to its market dominance. North America has a large defense industry, and military and law enforcement agencies require a substantial supply of small caliber ammunition for training, operational activities, and law enforcement purposes. Government contracts and procurement programs further bolster the demand for ammunition.
Moreover, North America has many shooting competitions, sports events, and recreational shooting activities. These events attract participants from across the region and even internationally. The demand for small caliber ammunition rises as shooting enthusiasts and competitors require ammunition for practice and participation in these events. North America's strong manufacturing and technological capabilities further contribute to its dominance in the small caliber ammunition market. The region is home to prominent ammunition manufacturers and suppliers, ensuring a steady supply of high-quality products to meet the growing demand.
Key Player Analysis:
The small caliber ammunition market analysis consists of the players such as BAE Systems, CBC Global Ammunition, Denel Pretoria Metal Pressing, Elbit Systems Ltd., FN Herstel, General Dynamics OTS, Nammo AS, Northrop Grumman Corporation, Remington Arms Company LLC, and Winchester Ammunition. Among the players in the small caliber ammunition Northrop Grumman Corporation and Elbit Systems Ltd. are the top two players owing to the diversified product portfolio offered.
Recent Developments:
Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the small caliber ammunition market. A few recent key market developments are listed below:
- In April 2021, PT Pindad, the state-owned enterprise, received orders from Thailand for an undisclosed quantity of 5.56 mm caliber munitions.
- In January 2021, Philippines awarded a contract to Brazilian arms manufacturer Taurus Armas to fulfill a requirement for more than 12,000 new Taurus T4 5.56 x 45mm automatic rifles. In 2019, SIG Sauer USA was awarded a contract to deliver 2,702 SIGM400 rifles.
Report Coverage
Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends
Segment Covered
Ammunition Size , End User , Gun Type , and Geography
Regional Scope
North America, Europe, Asia Pacific, Middle East & Africa, South & Central America
Country Scope
Australia, Brazil, Canada, China, France, Germany, India, Italy, Japan, Mexico, Russian Federation, Saudi Arabia, South Africa, South Korea, United Arab Emirates, United Kingdom, United States
Frequently Asked Questions
The militaries of almost all major defense spending nations maintain an arsenal consisting of numerous self-propelled and towed howitzers and main battle tanks (MBTs). The armies are involved in regular training exercises with these weapon systems. Therefore, they need to stock significant quantities of tank, artillery, and training ammunition, depending on the number of launch platforms they possess. Small caliber ammunition is a part of artillery ammunition of various defense forces across the world is used in a range of weapon systems. Moreover, military professionals are focusing on calibers like 7.62mm for higher projectiles as the existing widely used calibers like the 5.56 mm are becoming ineffective in piercing the tougher armors. Therefore, the government and military forces are emphasizing on investing on ammunitions which is fostering the small caliber ammunition market.
The 9MM is leading the global Small Caliber Ammunition market. Due to the availability of lightweight handguns with wide magazine capacities that use the 9 mm Parabellum cartridge, it has become the most common caliber among law enforcement officers in the US as well as other countries
Presently, North America held the largest share of the global Small Caliber Ammunition market owing to rising investment in research and development for military modernization plans for procuring the latest ammunition assets to replace the existing ammunition assets.
The List of Companies - Small Caliber Ammunition Market
- BAE Systems
- CBC Global Ammunition
- Denel Pretoria Metal Pressing
- Elbit Systems Ltd.
- FN Herstel
- General Dynamics OTS
- Nammo AS
- Northrop Grumman Corporation
- Remington Arms Company LLC
- Winchester Ammunition
The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.
- Data Collection and Secondary Research:
As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.
Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.
- Primary Research:
The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.
For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.
A typical research interview fulfils the following functions:
- Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
- Validates and strengthens in-house secondary research findings
- Develops the analysis team’s expertise and market understanding
Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:
- Industry participants: VPs, business development managers, market intelligence managers and national sales managers
- Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.
Below is the breakup of our primary respondents by company, designation, and region:
Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.
- Data Analysis:
Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.
- 3.1 Macro-Economic Factor Analysis:
We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.
- 3.2 Country Level Data:
Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.
- 3.3 Company Profile:
The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.
- 3.4 Developing Base Number:
Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.
- Data Triangulation and Final Review:
The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.
We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.
We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.
Trends and growth analysis reports related to Small Caliber Ammunition Market
May 2021
May 2021
Advanced Air Mobility Market
Size and Forecasts (2020 - 2030), Global and Regional Share, Trends, and Growth Opportunity Analysis Report Coverage: By Component (Hardware, Software), Operation Mode (Piloted, Autonomous), Propulsion Type (Fully Electric, Hybrid), End Use (Passenger, Cargo)
May 2021
Airport Fueling Equipment Market
Size and Forecasts (2020 - 2030), Global and Regional Share, Trends, and Growth Opportunity Analysis Report Coverage: By Tanker Capacity (Below 5,000 Liters; 5,000–20,000 Liters; and Above 20,000 Liters), Aircraft Type (Civil Aircraft and Military Aircraft), and Power Source (Electric and Non-Electric)
May 2021
Satellite Optical Ground Station Market
Forecast to 2028 - Global Analysis by Operation (Laser Satcom and Optical Operations), Equipment (Consumer Equipment and Network Equipment), Application (Laser Operations, Debris Identification, Earth Observation, and Space Situational Awareness), and End User (Government and Military and Commercial Enterprises)
May 2021
Electro-Optics in Naval Market
Forecast to 2028 - COVID-19 Impact and Global Analysis By Technology (Camera, Sensor, and Laser Range Finder), Application (Target Detection, Identification, and Tracking; Surveillance; Fire Control; and Others), and End Use (Defense and Commercial)
May 2021
Commercial Air Traffic Management Market
Forecast to 2030 - COVID-19 Impact and Global Analysis By Type (Air Traffic Services, Air Traffic Flow Management, and Airspace Management), Component (Hardware and Software), Application (Communication, Navigation, Surveillance, Traffic Control, and Others), and Airport Class (Class I, Class II, Class III, and Class IV)