German Defense Market: Market Attractiveness, Competitive Landscape and Forecast to 2024

Table of Contents

1. Introduction

• 1.1. What is this Report About?
• 1.2. Definitions
• 1.3. Summary Methodology
• 1.4. About GlobalData

2. Executive Summary

3. Market Attractiveness and Emerging Opportunities

• 3.1. Current Market Scenario
  • 3.1.1. Primary Threat Perception
  • 3.1.2. Military Doctrine and Strategy
  • 3.1.3. Military Fleet Size
  • 3.1.4. Procurement Programs
  • 3.1.5. Social, Political and Economic Environment and Support for Defense Projects
  • 3.1.6. Political and Strategic Alliances
• 3.2. Defense Market Size Historical and Forecast
  • 3.2.1. Germany’s defense expenditure is expected to increase at a CAGR of 6.48% over 2020-2024
  • 3.2.2. Maintenance of the country’s armed forces and peacekeeping operations to drive defense expenditure over the forecast period
  • 3.2.3. German defense expenditure as a percentage of GDP expected to decrease
• 3.3. Analysis of Defense Budget Allocation
  • 3.3.1. Germany to allocate a higher share towards revenue expenditure than capital expenditure over the forecast period
  • 3.3.2. Capital expenditure is expected to increase at a CAGR of 6.46% over the forecast period
  • 3.3.3. Per capita defense expenditure is expected to increase significantly between 2019-2024
• 3.4. Homeland Security Market Size and Forecast
  • 3.4.1. German homeland security expenditure is expected to increase at a CAGR of 11.09% during the forecast period
  • 3.4.2. Counter terrorism and cyber security to drive homeland security expenditure
• 3.5. Benchmarking with Key Global Markets
  • 3.5.1. The German defense budget is expected to increase over the forecast period
  • 3.5.2. Germany’s defense expenditure is expected to be one of the top among European countries
  • 3.5.3. Germany allocates a lower share of GDP to defense compared to other European countries
• 3.6. Market Opportunities: Key Trends and Growth Stimulators
  • 3.6.1. Top 10 Defense Market Sectors by Value (US$ Million) - Projections over 2019-2024
  • 3.6.2. Multi-role Aircraft MRO
  • 3.6.3. IFV
  • 3.6.4. Transport Aircraft Engines

4. Defense Procurement Market Dynamics

• 4.1. Import Market Dynamics
  • 4.1.1. Defense imports are expected to increase slightly during the forecast period after the recent dip
  • 4.1.2. Germany sourced most of its arms imports from the US
  • 4.1.3. Missiles and sensors dominate military hardware imports
• 4.2. Export Market Dynamics
  • 4.2.1. Arms exports recovered in 2016 after a decrease in 2014 and 2015 but are again slowly declining due to Germany’s arms embargoes
  • 4.2.2. South Korea, Greece and Israel are Germany’s biggest arms importers
  • 4.2.3. Naval vessels and armored vehicles are the main exported defense products

5. Industry Dynamics

• 5.1. Five Forces Analysis
  • 5.1.1. Bargaining Power of Supplier: Low
  • 5.1.2. Bargaining Power of Buyer: High
  • 5.1.3. Barrier to Entry: Low
  • 5.1.4. Intensity of Rivalry: Low
  • 5.1.5. Threat of Substitution: Low

6. Market Entry Strategy

• 6.1. Market Regulation
  • 6.1.1. Threshold for foreign direct investment screening lowered to 10% for the defense sector
• 6.2. Market Entry Route
  • 6.2.1. Budget Process
  • 6.2.2. Procurement Policy and Process
  • 6.2.3. Germany Toughened Rules for Non-EU Buyouts
  • 6.2.4. The German Government Wants to Dissuade Unwanted Takeovers by Chinese Investors
• 6.3. Key Challenges
  • 6.3.1. Project delays deter defense industry growth
  • 6.3.2. German arms exports to large defense markets outside the EU are minimal

7. Competitive Landscape and Strategic Insights

• 7.1. Competitive Landscape Overview
  • 7.1.1. Germany Market Share Analysis, 2019-2024
  • 7.1.2. Foreign OEMs have strong collaborations with domestic defense firms
• 7.2. Key Companies
  • 7.2.1. Diehl Stiftung: Overview
  • 7.2.2. Diehl Stiftung: Products
  • 7.2.3. Diehl Stiftung: Recent Announcements and Strategic Initiatives
  • 7.2.4. Diehl Stiftung: Alliances
  • 7.2.5. Diehl Stiftung: Recent Contract Wins
  • 7.2.6. Airbus Group: Overview
  • 7.2.7. Airbus Group: Products
  • 7.2.8. Airbus Group: Recent Announcements and Strategic Initiatives
  • 7.2.9. Airbus Group: Alliances
  • 7.2.10. Airbus Group: Recent Contract Wins
  • 7.2.11. Airbus Group: Financial Analysis
  • 7.2.12. Heckler & Koch: Overview
  • 7.2.13. Heckler & Koch: Products
  • 7.2.14. Heckler and Koch: Recent Announcements and Strategic Initiatives
  • 7.2.15. Heckler and Koch: Recent Contract Wins
  • 7.2.16. MAN Truck & Bus AG: Overview
  • 7.2.17. MAN Truck & Bus AG: Products and Services
  • 7.2.18. MAN Truck & Bus AG: Recent Announcements and Strategic Initiatives
  • 7.2.19. MAN Truck & Bus AG: Alliances
  • 7.2.20. MAN Truck & Bus AG: Recent Contract Wins
  • 7.2.21. Airbus Helicopters: Overview
  • 7.2.22. Airbus Helicopters: Products and Services
  • 7.2.23. Airbus Helicopters: Recent Announcements and Strategic Initiatives
  • 7.2.24. Airbus Helicopters: Alliances
  • 7.2.25. Airbus Helicopters: Recent Contract Wins
  • 7.2.26. ESG Elektroniksystem-und Logistik: Overview
  • 7.2.27. ESG Elektroniksystem-und Logistik: Products
  • 7.2.28. ESG Elektroniksystem-und Logistik: Recent Announcements and Strategic Initiatives
  • 7.2.29. ESG Elektroniksystem-und Logistik: Alliances
  • 7.2.30. ESG Elektroniksystem-und Logistik: Recent Contract Wins
  • 7.2.31. ThyssenKrupp Marine Systems (TKMS): Overview
  • 7.2.32. ThyssenKrupp Marine Systems (TKMS): Products
  • 7.2.33. ThyssenKrupp Marine Systems (TKMS): Recent Announcements and Strategic Initiatives
  • 7.2.34. ThyssenKrupp Marine Systems: Alliances
  • 7.2.35. ThyssenKrupp Marine Systems: Recent Contract Wins
  • 7.2.36. Thales Deutschland: Overview
  • 7.2.37. Thales Deutschland: Products
  • 7.2.38. Thales Deutschland: Recent Announcements and Strategic Initiatives
  • 7.2.39. Thales Deutschland: Alliances
  • 7.2.40. Thales Deutschland: Recent Contract Wins
  • 7.2.41. MBDA: Overview
  • 7.2.42. MBDA: Products
  • 7.2.43. MBDA: Recent Announcements and Strategic Initiatives
  • 7.2.44. MBDA: Alliances
  • 7.2.45. MBDA: Recent Contract Wins
  • 7.2.46. Eurofighter Jagdflugzeug: Overview
  • 7.2.47. Eurofighter Jagdflugzeug: Products
  • 7.2.48. Eurofighter Jagdflugzeug: Recent Announcements and Strategic Initiatives
  • 7.2.49. Eurofighter Jagdflugzeug: Recent Contract Wins
  • 7.2.50. Rheinmetall: Overview
  • 7.2.51. Rheinmetall: Products and Services
  • 7.2.52. Rheinmetall: Recent Announcements and Strategic Initiatives
  • 7.2.53. Rheinmetall: Alliances
  • 7.2.54. Rheinmetall: Recent Contract Wins
  • 7.2.55. Rheinmetall: Financial Analysis

8. Business Environment and Country Risk

• 8.1. Economic Performance
  • 8.1.1. Gross Domestic per Capita
  • 8.1.2. Gross Domestic Product, Current US$
  • 8.1.3. Exports of Goods and Services
  • 8.1.4. Imports of Goods and Services
  • 8.1.5. Gross National Disposable Income
  • 8.1.6. Local Currency Unit per US$
  • 8.1.7. Market Capitalization of Listed Companies
  • 8.1.8. Market Capitalization of Listed Companies as a Percentage of GDP
  • 8.1.9. Total Government Cash Surplus/Deficit as a Percentage of GDP
  • 8.1.10. Goods Exports as a Percentage of GDP
  • 8.1.11. Goods Imports as a Percentage of GDP
  • 8.1.12. Services Exports as a Percentage of GDP
  • 8.1.13. Services Imports as a Percentage of GDP
  • 8.1.14. Foreign Direct Investments, Net (BoP, Current US$ Billion)
  • 8.1.15. Net Foreign Direct Investment as a Percentage of GDP
  • 8.1.16. Mining, Manufacturing, Utilities, Output (LCU billion)

9. Appendix

• 9.1. About GlobalData