Global Large Caliber Ammunition Market Outlook, 2030

The global Large Caliber Ammunition market stands as a critical pillar in the defense ecosystem, powering heavy firepower across armored platforms, artillery systems, and naval weapons. Designed for weapons with calibers above 20mm, this category includes 105mm and 155mm artillery shells, tank gun rounds, naval ammunition, and large mortar systems. These munitions play a central role in land warfare, coastal defense, and mechanized infantry operations, where high-explosive, armor-piercing, and extended-range projectiles are used to neutralize fortified positions, disable armored threats, or provide area suppression. Deployed across towed and self-propelled howitzers, main battle tanks, and ship-based weaponry, large caliber rounds require precise metallurgy, propellant chemistry, and ballistic engineering to ensure consistency in long-range engagements. Their importance is amplified during high-intensity conflicts, where sustained fire capability and impact effectiveness determine operational success. Several factors drive global utilization, including expanded artillery modernization programs, geopolitical tensions, cross-border hostilities, and increased defense budgets. The growing inventory of advanced main battle tanks and howitzer systems like the M777, PzH 2000, and K9 Thunder further creates ripple effects on large caliber shell requirements. The upward momentum of related sectors such as battlefield management systems, armored vehicle upgrades, and targeting systems also stimulates ammunition demand, ensuring interoperability between firepower and real-time surveillance. Technological breakthroughs like precision-guided artillery shells, base bleed propulsion, and smart fuzes are transforming conventional munitions into high-accuracy, multi-role assets. Advanced modular loading systems, digital fire control integration, and reduced collateral technologies now allow more refined control over payload and trajectory. These developments are further supported by multinational procurement alliances and joint manufacturing ventures, enabling scalability and cross-border standardization in NATO and allied regions.

According to the research report "Global Large Caliber ammunition Market Outlook, 2030," published by Bonafide Research, the Global Large Caliber ammunition market is anticipated to grow at more than 3.48% CAGR from 2025 to 2030.The rise in military exercises and artillery resupply operations particularly in Poland, Finland, and South Korea supports mass procurement of 155mm and 120mm munitions, with emphasis on high-explosive fragmentation and multi-role shells. Armed forces, border protection agencies, and coalition-led defense networks are among the main end-users adopting these munitions across field artillery, naval gunfire, and armored platforms. Key players like Rheinmetall, BAE Systems, Elbit Systems, and General Dynamics implement specific strategies including localized production partnerships, offset programs, and innovation-focused contracts to remain relevant. Rheinmetall leverages large-scale NATO supply chains with integrated logistics services, while Elbit Systems emphasizes modular shell configurations tailored for remote-operated fire systems. Differentiation across the sector is evident through new product lines such as programmable ammunition and sensor-fused projectiles, particularly in Western Europe and Israel, where smart 155mm rounds see wide operational use. Product popularity varies: high-blast artillery rounds remain favored in Eastern Europe, while precision-guided shells gain traction in U.S. and Israeli inventories. Sales channels range from government-funded long-term procurement frameworks to on-demand emergency supply programs with strategic depot access. Quality control adheres to NATO STANAGs, ISO certifications, and national arms control protocols, with each round undergoing compatibility, pressure, and detonation pattern testing. Meanwhile, demilitarization and detoxification efforts often led by NATO Support and Procurement Agency (NSPA), Swedish FMV, or private firms like EXPAL Systems involve thermal treatment, explosive recovery, and safe recycling of outdated or rejected rounds in line with international disarmament practices.

Market Dynamics

Market Drivers

Surge in Artillery-Based Warfare in Eastern EuropeThe ongoing war in Ukraine has triggered massive demand for 155mm and 120mm rounds. Nations like Germany, the UK, and the U.S. are fast-tracking artillery production, with Rheinmetall alone receiving multi-billion-dollar orders to supply NATO stocks and Ukrainian forces through 2025.



Defense Budget Escalations and Stockpile ReplenishmentGlobal defense budgets, particularly in NATO countries, are seeing a sharp increase. Countries are not only replacing depleted stockpiles but also investing in high-volume orders for future conflicts, significantly expanding their long-range firepower capabilities.

Market Challenges

Production Bottlenecks and Supply Chain StrainEven with growing demand, producers like Nammo and Nexter are facing delays due to limited raw materials (e.g., TNT, steel casings) and skilled labor shortages, leading to delivery backlogs and restricted scalability for urgent conflict needs.

Regulatory and Environmental Constraints on DisposalDisposal and demilitarization of outdated large caliber rounds face strict environmental and safety regulations. This slows down clearing old stockpiles and raises operational costs for firms involved in recycling or detoxification programs.

Market Trends

Smart Ammunition and Guided Shell IntegrationTechnologies such as GPS-guided 155mm shells and programmable fuzes are now being fielded in conflict zones. These enable precision strikes, reduced collateral damage, and enhanced tactical flexibility key selling points for modern militaries.

Co-Development and Localization AgreementsCompanies are increasingly partnering with foreign governments to co-produce ammunition locally. For instance, South Korea and India are collaborating on artillery shell programs, ensuring self-reliance and faster access to large caliber stockpiles.

Segmentation Analysis

The 40-60 mm size is significant in the global large caliber ammunition market because it provides a versatile balance of range, power, and precision, making it ideal for a wide range of military and tactical applications.

The 40-60 mm caliber is highly valued in the large caliber ammunition market due to its ability to effectively bridge the gap between smaller ammunition types and larger, more destructive rounds. This size is commonly used in grenade launchers, mortars, and certain vehicle-mounted weapons, where it offers an optimal mix of range, explosive power, and accuracy. Ammunition in the 40-60 mm range is capable of delivering significant firepower while still being manageable for operators in combat situations. The versatility of these rounds allows them to be used for a variety of missions, from anti-personnel to anti-material roles, providing forces with a flexible solution for both offensive and defensive operations. The relatively smaller size compared to larger caliber ammunition enables the use of higher quantities, improving logistical efficiency and allowing for sustained fire over longer periods without excessive weight or bulk. These rounds are also effective in urban warfare, where precision is essential, as well as in field operations requiring the ability to neutralize targets at moderate ranges. Furthermore, their explosive payloads make them effective against fortifications, vehicles, and enemy personnel, adding to their importance in military arsenals. The growing demand for advanced, multi-purpose munitions has increased the use of 40-60 mm rounds, making them crucial for modern armed forces looking for adaptable and powerful solutions in various combat scenarios.

Naval forces are a significant end-user industry in the global large caliber ammunition market because they rely on high-caliber, powerful munitions to ensure effective defense and offense capabilities during maritime operations.

In the global large caliber ammunition market, naval forces play a key role as they are among the primary consumers of this type of ammunition. Large caliber rounds are essential for naval vessels, including destroyers, cruisers, and aircraft carriers, which need to defend against air, sea, and land threats. These munitions are designed to provide maximum firepower, accuracy, and penetration capabilities, enabling naval forces to engage in combat across vast oceanic spaces. The naval environment often requires ammunition that can withstand extreme conditions such as saltwater exposure, high-pressure environments, and long storage periods, making large caliber rounds particularly suited for use on warships and submarines. The size and weight of large caliber ammunition also make them ideal for the heavy artillery systems mounted on naval vessels, such as naval guns and anti-aircraft guns. Moreover, the growing need for naval defense due to geopolitical tensions and maritime security challenges further increases the demand for advanced, powerful ammunition. Naval forces also rely on large caliber ammunition for training exercises, ensuring that their personnel are prepared for any combat scenario. As naval forces continue to modernize their fleets and enhance their operational capabilities, the demand for large caliber ammunition is expected to rise.

Regional Analysis

North America dominates the global large caliber ammunition market because of its advanced military capabilities, high defense spending, and ongoing investments in modernizing military technologies.

The United States, as a key player in the global defense sector, significantly contributes to the dominance of North America in the large caliber ammunition market. With the largest defense budget in the world, the U.S. military continuously invests in developing and upgrading its weapons systems, including those that use large caliber ammunition such as tank guns, naval artillery, and air defense systems. These munitions are essential for heavy artillery, armored vehicles, and naval vessels, all of which are integral to the U.S. military’s operational effectiveness. Additionally, the demand for large caliber ammunition is driven by North America's involvement in international peacekeeping and defense alliances like NATO, where large caliber ammunition is used in joint military exercises and operations. This ongoing commitment to defense and security has prompted the U.S. and its allies to maintain a steady production and stockpile of large caliber ammunition to ensure readiness in a variety of combat situations. Furthermore, North America's strong defense industry, with major manufacturers like General Dynamics and Northrop Grumman, contributes to the region's leadership in the global market by continuously innovating and enhancing ammunition technologies. For instance, advancements in precision-guided munitions and improved safety features in large caliber rounds have further increased their utility and demand in modern warfare. Along with these advancements, geopolitical tensions and the need for military readiness in the face of emerging threats have solidified North America’s position as a dominant force in the large caliber ammunition market.

Key Developments

• In 2024, ZVS Holding launched a new production line for 155mm artillery ammunition bodies at its Snina facility in Slovakia. The EUR 31.5 million investment is part of a larger EUR 80 million upgrade, aimed at producing up to 360,000 units annually by 2026. This expansion incorporates advanced robotics and automation to meet the rising global demand for large-caliber ammunition and is expected to create numerous skilled jobs, strengthening Slovakia's defense industry in alignment with EU and NATO priorities.
• In 2024, Adani Group inaugurated South Asia's largest ammunition and missile complex in Kanpur, Uttar Pradesh. The 500-acre facility is already producing 150 million rounds, fulfilling 25% of India's annual demand. This project, with an investment exceeding ?3000 crore, is set to generate around 4,000 jobs and support India's defense self-reliance efforts, marking the first phase of Uttar Pradesh's defense corridor.
• In 2024, Rheinmetall began construction on a new ammunition plant in Germany, scheduled to be operational by 2025. The facility will focus on producing high-caliber munitions for defense purposes, creating numerous jobs and enhancing Rheinmetall’s production capacity, solidifying its position as a key player in Europe’s defense sector.
• In 2024, a new 155mm ammunition factory is being constructed in Niewiadów, Poland. Backed by the Polish Ministry of Defense, this facility aims to produce high-quality shells to meet both domestic and international defense needs. It is expected to be operational by 2025, contributing to Poland's military readiness and broader defense capabilities.

Considered in this report
* Historic year: 2019
* Base year: 2024
* Estimated year: 2025
* Forecast year: 2030

Aspects covered in this report
* Large Caliber Ammunition Market with its value and forecast along with its segments
* Country-wise Large Caliber Ammunition Market analysis
* Various drivers and challenges
* On-going trends and developments
* Top profiled companies
* Strategic recommendation

By Caliber Type:
• 40-60 mm
• Above 60 mm

By End User:
• Naval Forces
• Ground Forces (Air Force, Army, Special Forces, Border Security, Federal Agencies, etc.)

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analysing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to Large Caliber Ammunition industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.