Nations globally focus on retrofitting for multi-role operational efficiency amidst regional conflicts and budget constraints. Explore regional trends, technology's role, and insights on future market dynamics.
Dublin, July 16, 2025 (GLOBE NEWSWIRE) -- "Military Aircraft Modernization, Upgrade, and Retrofit - Global Strategic Business Report" has been added to ResearchAndMarkets.com's offering.
The global market for Military Aircraft Modernization, Upgrade, and Retrofit was valued at US$20.7 Billion in 2024 and is projected to reach US$26.4 Billion by 2030, growing at a CAGR of 4.2% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Military Aircraft Modernization, Upgrade, and Retrofit market.

The growth in the military aircraft modernization, upgrade, and retrofit market is driven by several factors, each underscoring the urgency and strategic value of these initiatives. Foremost among these is the rapid pace of technological advancement, which renders existing systems obsolete far quicker than in the past. Defense contractors are leveraging innovations in artificial intelligence, quantum computing, and 5G connectivity to deliver unprecedented capabilities in situational awareness, threat detection, and decision-making.
The push for autonomous operations is another key driver, with retrofits focusing on unmanned and optionally manned configurations to reduce pilot risks in high-stakes missions. Shifting consumer behavior, particularly the demand for versatile, cost-effective solutions, has also shaped the market. Governments and defense agencies increasingly favor modernization over replacement to maximize the utility of existing assets.
Additionally, the rising adoption of modular and scalable systems allows for incremental upgrades, aligning with budgetary constraints while ensuring technological parity. End-use factors, such as the growing reliance on multi-role aircraft for diverse missions - ranging from reconnaissance to electronic warfare - have further propelled market growth. The evolving nature of air combat, characterized by network-centric warfare and joint force operations, necessitates retrofits that enhance connectivity and data-sharing capabilities. Moreover, the emphasis on environmental sustainability and reduced operational costs has driven interest in fuel-efficient engines and lightweight materials during modernization efforts.
Finally, government policies and strategic defense collaborations, such as joint ventures between defense contractors and national governments, have bolstered investments in modernization programs. These drivers collectively paint a compelling picture of a market poised for sustained expansion, fueled by technology, operational demands, and geopolitical imperatives.
The report analyzes the market in terms of units by the following Segments, and Geographic Regions/Countries:
- Segments: Aircraft Type (Fixed Wing Aircraft, Rotary Wing Aircraft); End-Use (Combat Aircraft End-Use, Transport Aircraft End-Use, Other End-Uses)
- Geographic Regions/Countries: World; USA; Canada; Japan; China; Europe; France; Germany; Italy; UK; Spain; Russia; Rest of Europe; Asia-Pacific; Australia; India; South Korea; Rest of Asia-Pacific; Latin America; Middle East; Africa.
Key Insights:
- Market Growth: Understand the significant growth trajectory of the Fixed Wing Aircraft segment, which is expected to reach US$18.9 Billion by 2030 with a CAGR of a 4.3%. The Rotary Wing Aircraft segment is also set to grow at 3.9% CAGR over the analysis period.
- Regional Analysis: Gain insights into the U.S. market, valued at $8.8 Billion in 2024, and China, forecasted to grow at an impressive 5.9% CAGR to reach $2.3 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.
Key Questions Answered:
- How is the Global Military Aircraft Modernization, Upgrade, and Retrofit Market expected to evolve by 2030?
- What are the main drivers and restraints affecting the market?
- Which market segments will grow the most over the forecast period?
- How will market shares for different regions and segments change by 2030?
- Who are the leading players in the market, and what are their prospects?
Report Features:
- Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
- In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
- Company Profiles: Coverage of players such as BAE Systems plc, Collins Aerospace, Israel Aerospace Industries Ltd., L3Harris Technologies, Inc., Northrop Grumman Corporation and more.
- Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.
Some of the 44 companies featured in this Military Aircraft Modernization, Upgrade, and Retrofit market report include:
This edition integrates the latest global trade and economic shifts as of June 2025 into comprehensive market analysis. Key updates include:
- Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
- Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes historical analysis since 2015.
- Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
- Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
- Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
- Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.
- Complimentary Update: Buyers receive a free July 2025 update with finalized tariff impacts, new trade agreement effects, revised projections, and expanded country-level coverage.
Key Attributes
Report Attribute | Details |
No. of Pages | 370 |
Forecast Period | 2024-2030 |
Estimated Market Value (USD) in 2024 | $20.7 Billion |
Forecasted Market Value (USD) by 2030 | $26.4 Billion |
Compound Annual Growth Rate | 4.2% |
Regions Covered | Global |
MARKET OVERVIEW
- Tariff Impact on Global Supply Chain Patterns
- Continuous Pressure to Stay Ahead Of The Curve & Keep Up With Rapidly Evolving Aircraft Technology Provides the Cornerstone for Growth in the Market
- Military Effectiveness is Only as Good as its Assets - The Reason Why Aircraft Fleet Will Need to be Up-to-Date & Modernized: Global Military Aircraft Fleet Size (In Units) by Country as of the Year 2024
- Economic Frontiers: Trends, Trials & Transformations
- In a World Torn by Geopolitical Instability & War, Steadfastness of Global GDP Becomes Increasingly Unpredictable Given the Many Direct and Indirect Economic Repercussions: World Economic Growth Projections (Real Gross Domestic Product (GDP), Annual % Change) for the Years 2022 Through 2025
- All Eyes on Global Inflation, the Main Risk Factor in Global Markets: Global Headline Inflation Rates (In %) for the Years 2019 through 2025
- With Oil Prices Influencing the Rate of inflation, it Remains the Most Watched Commodity in Global Markets: Global Average Annual Brent Crude Oil Price (In US$ Per Barrel) for Years 2019 through 2025
- Competition
- Military Aircraft Modernization, Upgrade, and Retrofit - Global Key Competitors Percentage Market Share in 2025 (E)
- Competitive Market Presence - Strong/Active/Niche/Trivial for Players Worldwide in 2025 (E)
- Influencer/Product/Technology Insights
- Recent Market Activity
MARKET TRENDS & DRIVERS
- Global Political Tensions Drive Steady Growth in Military Aircraft Modernization, Upgrades, and Retrofits Amid Rising Defense Spending
- As Defense Budgets Grow More Generous Thanks to Rising Political Unrest in Europe, Asia & Middle East, 3D Printing Emerges as a Strategic Pillar of Efficiency Gains in Defense Manufacturing: Global Military Budget (In US$ Million) for the Year 2024 by Country
- Rising Focus on Operational Readiness Drives Investments in Military Aircraft Modernization, Upgrade, and Retrofit
- Modernization & Upgrade of Aircraft Avionics Witnesses Strong Growth. Here's Why
- A Fast Evolving Military Industry Brings Modernization Programs Into the Spotlight for Their Ability to Keep Up With Technological Change: Global Military Aircraft Avionics Market (In US$ Billion) for Years 2025, 2027, 2029, 2031 and 2033
- Growing Focus on Defense Technology Transfer Agreements to Amplify the Volume of Planned Modernization Programs
- Weapons Integration Emerges as a Prominent Type of Aircraft Modernization
- Aging Military Aircraft Fleet in the U.S. in Dire Need of Modernization
- Aging Avionics, an Added Cause for Concern for US Air Force: A Review of What Has Been Done & What Can be Done
- High Costs of New Purchases Shifts Focus on Aircraft Engine Modernization, a Cheaper More Practical Alternative
- Sustainability Concerns Drive Focus on Increasing Aircraft Efficiency Via Upgrades
- As Concerns Grow Over the Sustainable Levels of Emissions, Military Aircraft Operators Take the Retrofit Route to Increase Aircraft Efficiency & Reduce Emissions: Global CO2 Emissions (In Billion Metric Tons) for Years 1960, 1970, 1980, 1990, 2000, 2010, 2020, 2021, 2022, 2023 and 2024
For more information about this report visit https://www.researchandmarkets.com/r/zhc6iu
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