Amphibious Vehicle Market Statistics - 2027
The global amphibious vehicle market was valued at $2,704.30 million in 2019, and is projected to reach $5,029.10 million by 2027, registering a CAGR of 8.5% from 2020 to 2027.
An amphibious vehicle is a means of transport, viable on land as well as on water even under water. It is also called as amphibian. This type of vehicle offers versatile usage. It can be used for defense owing to its various applications in the field of military and surveillance operations. This type of vehicle is used for a variety of commercial applications including water sports & recreation and water transportation due to rise in popularity and technological advancements. Moreover, amphibious excavators are used for dredging applications, such as maintenance of river beds, swamps, lakes, ponds, & reservoirs, environmental clean-ups, and others.
Rise in investment in defense sector to aid amphibious vehicle adoption and surge in the demand for commercial applications are the factors expected to drive the market growth. However, high initial cost of amphibious vehicle and increase in operational costs followed by serviceability hinders the market growth. Further, increase in the use of advanced amphibious combat vehicles (ACV) in marine applications and surge in demand for amphibious excavators for dredging and excavation are expected to offer lucrative opportunities for amphibious vehicle market growth.
The market is segmented on the basis of mode of propulsion, application, end use, and region. By mode of transportation, it is divided into water-jet, track-based, and screw propeller. By application, it is divided into surveillance & rescue, water sports, water transportation, and excavation. By end use, it is bifurcated into defense and commercial. By region, it is studied across North America, Europe, Asia-Pacific, and LAMEA.
By Mode Of Propulsion
Screw Propellers is projected as the most lucrative segment
The key players operating in the amphibious vehicle market are BAE Systems, EIK Engineering Sdn. Bhd., General Dynamics Corporation, Hitachi Construction Machinery, Lockheed Martin Corporation, Marsh Buggies Incorporated, Rheinmetall AG, Science Applications International Corporation (SAIC), Wetland Equipment Company, Inc., and Wilco Manufacturing LLC.
Rise in investment in defense sector to aid amphibious vehicle adoption
Leading countries such as the U.S., Russia, China, Saudi Arabia, and India are strengthening the defense sectors by investing huge amounts in the procurement and development of advanced military systems. In addition, due to the rise in concern for border security and terrorism, the emerging economies across the globe are modernizing their conventional defense equipment and systems to tackle the enemy.
By Application
Water Sports is projected as the most lucrative segment
Furthermore, amphibious assault vehicles (AAV) comprise of robust engines providing high speed and power in all-terrains. Also, these vehicles are reliable, versatile, equipped with guns and ammunition, and offer high performance during battlefield operations. Thus, countries across the globe are looking forward to procuring these vehicles for their robust defense system. This in turn, fuels the demand for amphibious vehicles market. For instance, according to Stockholm International Peace Research Institute (SIPRI), military spending by the U.S grew by 5.3% to a total of $732 billion in 2019 and accounted for 38% of global military spending. Also, China was the second largest military spenders $261 billion in 2019, a 5.1% increase compared with 2018.
Rise in demand for commercial application
Increase in water transportation and water sports activities have led the commercial amphibious manufacturers to develop technologically advanced amphibious vehicles to fulfill the surge in demand from the commercial sectors. In addition, increase in usage of amphibious vehicles in various commercial activities such as land reclamation, excavation, water mud removal, waterway constructions, and others further boost the demand for amphibious vehicles. This factor positively impacts the growth of the amphibious vehicle market. For instance, in December 2018, Chennai Municipal Corporation, India, announced a plans to buy new amphibious equipment, a mini-amphibian, and amphibious robotic excavators to clean smaller water bodies under Swachh Bharat Mission (SBM).
By End-use
Defense is projected as the most lucrative segment
High initial cost of amphibious vehicle
The adoption of advanced technology-based systems and equipment in the amphibious vehicles increases the initial cost of the vehicle. The design of the vehicle can be customized as per the applications. Thus, the systems used in the vehicle must be compatible with both land as well as water, leading to high expenditure. In addition, the engine used in these vehicles is different from the engine used in the land operated vehicles and has to be specially designed to operate on land as well as water. Such factors increase the initial cost of vehicles and thus are expected to hamper the growth of the amphibious vehicle market.
Growth in demand for amphibious excavators for dredging and excavation
Amphibious excavators are used for dredging, wherein land reclamation is a major application of dredging. An increase in use of amphibious vehicle excavators for dredging applications, such as maintenance of river beds, swamps, lakes, ponds, and reservoirs is expected to offer lucrative opportunities for the market growth. In addition, rise in commercial and marine infrastructural activities such as bridge or waterway constructions, land reclamation & development, levee & wet lands reclamation, power line construction, and others across the globe also opens future growth opportunities for the amphibious vehicle market. For instance, in August 2019, Bell Dredging, a Dutch company specializing in engineering and manufacturing dredge equipment, expanded its fleet with an amphibious excavator that can work in shallow water and marshland.
By Region
LAMEA would exhibit the highest CAGR of 12.2% during 2020-2027.
Covid-19 Scenario Analysis
- The COVID-19 pandemic has forced governments to focus on their spending on healthcare and safeguarding the economy, which could possibly result in shifting priorities away from defense spending.
- Market players are anticipated to experience decrease in demand due to declining budgets and procurement priorities and a flattening of the growth curve over the long term
- In post COVID situation, amphibious vehicle market is expected to undergo certain changes, as market players and defense agencies are preparing for innovation shift after the lifting of restrictions to rapidly assess and adapt their supply chains.
- The COVID-19 crisis is expected to affect commodity chains in the short & long term, owing to the decline in foreign investment.
Key Benefits For Stakeholders
- This study presents analytical depiction of the global amphibious vehicle market analysis along with current trends and future estimations to depict imminent investment pockets.
- The overall amphibious vehicle market opportunity is determined by understanding profitable trends to gain a stronger foothold.
- The report presents information related to the key drivers, restraints, and opportunities of the global amphibious vehicle with a detailed impact analysis.
- The current amphibious vehicle is quantitatively analyzed from 2019 to 2027 to benchmark the financial competency.
- Porter’s five forces analysis illustrates the potency of the buyers and suppliers in the industry.
Amphibious Vehicle Market Report Highlights
| Aspects | Details |
 By MODE OF PROPULSION |
|
 By APPLICATION |
|
 By END-USE |
|
 By Region |
|
 Key Market Players | BAE System, Wilco Manufacturing, L.L.C, General Dynamics Corporation, Marsh Buggies Incorporated, Hitachi Construction Machinery Co., Ltd, Wetland Equipment Company, Rheinmetall AG, Lockheed Martin Corporation, EIK Engineering Sdn Bhd, Science Applications International Corporation (SAIC) |
Analyst Review
Amphibious vehicle is capable of operating on land as well as water. It is majorly used to carry cargo or to transport the military. Hence, it can be said that the vehicle has a defense as well as commercial use. It is available in the form of water jets, screw propellers, and others. It is highly used in activities such as surveillance, water transportation, sports, excavation, and others.
At present, amphibious vehicles are widely used by the military forces across the globe to secure the sea borders from increasing conflicts via sea. Leading market players such as BAE Systems, EIK Engineering Sdn. Bhd., General Dynamics Corporation, Hitachi Construction Machinery, Lockheed Martin Corporation, Marsh Buggies Incorporated, Rheinmetall AG, Science Applications International Corporation (SAIC), Wetland Equipment Company, Inc., and Wilco Manufacturing LLC have been operating effectively in the amphibious vehicle market to offer advanced products and services.
The factors such as rise in investment in defense sector and surge in the demand for commercial application are expected to drive the market growth. However, high initial cost of amphibious vehicle and increase in operational costs followed by serviceability hinder the market growth. Further, rise in the use of advanced amphibious combat vehicles (ACV) in marine application and surge in demand for amphibious excavators for dredging and excavation are some of the factors anticipated to offer lucrative opportunities for market growth.
Among the analyzed regions, North America is the highest revenue contributor, followed by Asia-Pacific, Europe, and LAMEA. On the basis of forecast analysis, LAMEA is expected to lead the market during the forecast period, owing to the rise in demand for amphibious vehicles in countries such as Brazil and South Africa for marine side applications.
The global amphibious vehicle market was valued at $2,704.30 million in 2019, and is projected to reach $5,029.10 million by 2027, registering a CAGR of 8.5% from 2020 to 2027.
High initial cost of amphibious vehicle and increase in operational costs followed by serviceability have strong impact on the market
The sample for global amphibious vehicle market report can be obtained on demand from the AMR website. Also, the 24*7 chat support and direct call services are provided to procure the sample report.
There are certain upcoming trands in amphibious vehicle industries such as rising the use of advanced amphibious vehicles (ACV) in marine application and growing demand for amphibious excavators for dredging and excavation
The key growth strategies adopted by the amphibious vehicle industry players includes acquisition, business expansion, partnership and agreement. These strategies opted by various industry players is leading to the growth of the amphibhious vehicle market as well as the players.
The company profiles of the top market players of amphibious vehicle industry can be obtained from the company profile section mentioned in the report. This section includes analysis of top ten player’s operating in the amphibious vehicle market.
North America region is leading the market presently in terms of revenue. However, LAMEA and Asia-Pacific region is expected to provide more business opportunities for the key players operating in the global amphibious vehicle market.
By mode of propulsion, screw propeller segement is expacted to gain traction over the forecast period as well as domainate the market share in the global amphibious vehicle market
Italy, India and Latin America has wirnessed as a key matured markets growing in the global amphibious vehicle market
defense contractors will likely experience slowing demand due to shrinking budgets and procurement priorities and a flattening of the growth curve over the long term as national governments seek to reduce deficits and control expenses. This in turn, expected to hinder the growth of amphibious market in long term. Although, in post COVID situation, amphibious vehicle market expected to undergo certain changes, as companies and defense agencies are preparing for innovation shift post lift of the restrictions to rapidly assess and adapt their supply chains.
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