2013-09-21 10:51:41 - Recently published research from Strategic Defence Intelligence, "Future of the US Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2018", is now available at Fast Market Research
This report is the result of SDI's extensive market and company research covering the US defense industry, and provides detailed analysis of both historic and forecast defense industry values including key growth stimulators, analysis of the leading companies in the industry, and key news.
Introduction and Landscape
Why was the report written?
The Future of the US Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2018 offers the reader an insight into the market opportunities and entry strategies adopted by foreign original equipment manufacturers (OEMs) to gain market share in the US defense industry.
What is the current market landscape and what is changing?
The US is the world's leading defense market, with a defense budget of US$613.9 billion in 2013, and
is expected to remain at the top defense spenders table over the forecast period. Although funding for overseas operations is estimated to decrease, the country's base military expenditure is expected to increase at a CAGR of 1.93% over the forecast period. Plans for acquisition of advanced defense equipment coupled with replacement of old and obsolete equipment are projected to drive the country's capital expenditure presenting growth opportunities for the defense equipment and technology suppliers, despite looming threat of budget cuts and sequestration. Sequestration will not terminate or affect the existing contracts, but only affect the DoD's future contracts and the number of equipment to be procured under these contracts. Still, the US market is estimated to retain its attractiveness for foreign defense companies and new entrants, which can enter the market through joint development or strategic alliance with or acquisition of domestic players. The US government's encouragement of foreign direct investment (FDI) in defense sector will also help foreign companies in entering the market. The homeland security market of the US is expected to be driven by missions such as preventing terrorism and enhance security; securing and manage borders; enforcing and administering immigration laws; safeguarding and securing cyberspace; as well as ensuring disaster resilience. During the forecast period, the US is expected to invest in homeland security products such as surveillance equipment, and cutters and patrol vessels, and the budget of the US is expected to increase from US$60.7 billion in 2013 to US$65.3 billion in 2018, registering a CAGR growth of 2.15%.
Full Report Details at
- www.fastmr.com/prod/685627_future_of_the_us_defense_industry_mar ..
What are the key drivers behind recent market changes?
Rebalancing of Asia- Pacific, turbulent Middle East, modernization and replacement of obsolete equipment, are expected to drive defense spending
What makes this report unique and essential to read?
The Future of the US Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2018 provides detailed analysis of the current industry size and growth expectations from 2014 to 2018, including highlights of key growth stimulators. It also benchmarks the industry against key global markets and provides a detailed understanding of emerging opportunities in specific areas.
Key Features and Benefits
The report provides detailed analysis of the current industry size and growth expectations from 2014 to 2018, including highlights of key growth stimulators, and also benchmarks the industry against key global markets and provides a detailed understanding of emerging opportunities in specific areas.
The report includes trend analysis of imports and exports, together with their implications and impact on the US defense industry.
The report covers five forces analysis to identify various power centers in the industry and how these are expected to develop in the future.
The report allows readers to identify possible ways to enter the market, together with detailed descriptions of how existing companies have entered the market, including key contracts, alliances, and strategic initiatives.
The report helps the reader to understand the competitive landscape of the defense industry in The US. It provides an overview of key defense companies, both domestic and foreign, together with insights such as key alliances, strategic initiatives, and a brief financial analysis.
Key Market Issues
2011 Budget Control Act (BCA) has set a cap on total national defense budget funding, starting with US$546 billion in 2013 and reduced it by US$54.3 billion each subsequent year. BCA necessitated the US Department of Defense (DoD) to take-up US$487 billion of reductions in its expenditure over the period of 10 years. Sequestration, if allowed to go into effect, would alter virtually every aspect of DoD's planning. It would force a uniform reduction in budget authority of approximately 10.3% across all accounts other than military personnel. Sequestration does not affect defense budget funding that has already been obliged, but only affects DoD's ability to award new contracts and exercise option on existing contracts. While sequestration will reduce funding for nearly all acquisition programs across DoD, it will not directly terminate programs. An across-the-board reduction will force DoD to renegotiate many contracts to be able to buy in smaller quantities since less funding will be available.
About Strategic Defence Intelligence
Strategic Defence Intelligence provides a stream of continuously updated customer and competitor intelligence, as well as detailed research reports providing an unrivalled source of global information on the latest developments in the defence industry. View more research from Strategic Defence Intelligence at www.fastmr.com/catalog/publishers.aspx?pubid=1040
About Fast Market Research
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