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Algerian Defense Market - Attractiveness, Competitive Landscape and Forecasts to 2024

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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. Procurement Programs
        • 3.1.4. Top Procurement Programs by Value (US$ Million), 2019-2024
        • 3.1.5. Geopolitical, Social, and Economic Scenario
        • 3.1.6. Political and Strategic Alliances
      • 3.2. Defense Market Size: Historical and Forecast
        • 3.2.1. Algeria’s defense budget to grow at a CAGR of 4.36% over the forecast period
        • 3.2.2. Rising threat of terrorism and military competition with Morocco to drive Algeria’s defense expenditure
        • 3.2.3. The defense budget as a percentage of GDP will remain at an average of 4.9% over the forecast period
      • 3.3. Analysis of Defense Budget Allocation
        • 3.3.1. Capital expenditure’s share of the budget is expected to marginally increase over the forecast period
        • 3.3.2. Capital expenditure is expected to record a CAGR of 4.39% over the forecast period
        • 3.3.3. Algeria’s per-capita defense expenditure is expected to increase over the forecast period
      • 3.4. Homeland Security Market Size and Forecast
        • 3.4.1. The homeland security market in Algeria is expected to grow at a CAGR of 2.12% over the forecast period
        • 3.4.2. Human trafficking and drug trafficking form the main components of homeland security expenditure
      • 3.5. Benchmarking with Key Global Markets
        • 3.5.1. Algerian defense expenditure is expected to remain low compared to leading spenders
        • 3.5.2. Algeria will continue to dominate the arms market in the Africa region
        • 3.5.3. Defense budget as a percentage of GDP is expected to remain high compared to other countries over the forecast period
      • 3.6. Market Opportunities: Key Trends and Drivers
        • 3.6.1. Top 10 Defense Market Categories by Value (US$ Million), 2019-2024
        • 3.6.2. Military Transport Aircraft
        • 3.6.3. Airborne C4ISR
        • 3.6.4. Armored Personnel Carrier (APC)

      4. Defense Procurement Market Dynamics

      • 4.1. Import Market Dynamics
        • 4.1.1. Defense imports increased during 2014−2018
        • 4.1.2. Russia, China, Germany and Italy are Algeria’s major defense equipment suppliers
        • 4.1.3. Aircraft, naval vessels and armored vehicles accounted for 77% of Algerian defense imports
      • 4.2. Export Market Dynamics
        • 4.2.1. Algeria does not export arms due to an undeveloped domestic arms industry

      5. Industry Dynamics

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

      6. Market Entry Strategy

      • 6.1. Market Regulation
        • 6.1.1. Formal offset policy to be drafted to ensure growth of the country’s domestic defense manufacturing industry
        • 6.1.2. Foreign direct investment and joint ventures in terms of defense
      • 6.2. Market Entry Route
        • 6.2.1. Budget Process
        • 6.2.2. Defense Procurement Process
        • 6.2.3. Collaborations provide market entry opportunities
        • 6.2.4. Government-to-government agreements are the preferred market entry route for foreign OEMs
      • 6.3. Key Challenges
        • 6.3.1. Corruption and lack of transparency pose an obstacle for market entry
        • 6.3.2. Lack of relevant defense procurement policy

      7. Competitive Landscape and Strategic Insights

      • 7.1. Competitive Landscape Overview
        • 7.1.1. Foreign suppliers manufacture defense systems overseas and deliver to Algeria
      • 7.2. Algerian Market Share Analysis, 2019-2024
        • 7.2.1. Rosoboronexport: Overview
        • 7.2.2. Rosoboronexport: Products
        • 7.2.3. Rosoboronexport: Recent Announcements and Strategic Initiatives
        • 7.2.4. Rosoboronexport: Alliances
        • 7.2.5. Rosoboronexport: Recent Contract Wins
      • 7.3. Key Domestic Companies
        • 7.3.1. Entreprise Nationale des Véhicules Industriels: Overview
        • 7.3.2. Entreprise Nationale des Véhicules Industriels Vehicles: Products and Services
        • 7.3.3. Entreprise Nationale des Véhicules Industriels: Recent Announcements and Strategic Initiatives
        • 7.3.4. Entreprise Nationale des Véhicules Industriels: Alliances
        • 7.3.5. NIMR-Algeria Joint Stock Company: Overview
        • 7.3.6. NIMR-Algeria Joint Stock Company: Products
        • 7.3.7. Khenchela Mechanical Constructions Establishment (ECMK): Overview
        • 7.3.8. Khenchela Mechanical Constructions Establishment: Products
        • 7.3.9. Khenchela Mechanical Constructions Establishment: Recent Announcements and Strategic Initiatives
        • 7.3.10. Khenchela Mechanical Constructions Establishment: Alliances
        • 7.3.11. Seriana Company of Industrial Achievements (ERIS): Overview
        • 7.3.12. Seriana Company of Industrial Achievements: Products
        • 7.3.13. National Office of Explosive Substances, EPE (ONEX): Overview
        • 7.3.14. National Office of Explosive Substances: Products

      8. Business Environment and Country Risk

      • 8.1. Economic Performance
        • 8.1.1. GDP Per-Capita at Constant Prices (US$)
        • 8.1.2. GDP at Current Prices (US$ Billion)
        • 8.1.3. Exports of Goods and Services, Local Currency Unit (LCU Billion)
        • 8.1.4. Imports of Goods and Services, Local Currency Unit (LCU Billion)
        • 8.1.5. Gross national Disposable Income (US$ Billion)
        • 8.1.6. Local Currency Unit (LCU) per US$ (Period Average)
        • 8.1.7. Government Cash Surplus/Deficit as a Percentage of GDP, Local Currency Unit (LCU)
        • 8.1.8. Goods Exports as a Percentage of GDP
        • 8.1.9. Goods Imports as a Percentage of GDP
        • 8.1.10. Services Imports as a Percentage of GDP
        • 8.1.11. Services Exports as a Percentage of GDP
        • 8.1.12. Foreign Direct Investment, Net (Balance of Payments or BoP, Current US$ Billion)
        • 8.1.13. Net Foreign Direct Investment as a Percentage of GDP
        • 8.1.14. Mining, Manufacturing, Utilities Output (Local Currency Units or LCU, Billion)

      9. Appendix

      • 9.1. About GlobalData

      Algerian Defense Market - Attractiveness, Competitive Landscape and Forecasts to 2024

      Summary

      Algerian Defense Market - Attractiveness, Competitive Landscape and Forecasts to 2024 , published by GlobalData, provides readers with detailed analysis of both historic and forecast defense industry values, factors influencing demand, the challenges faced by industry participants, analysis of industry leading companies, and key news.

      This report offers detailed analysis of the Algerian defense industry with market size forecasts covering the next five years. This report will also analyze factors that influence demand for the industry, key market trends, and challenges faced by industry participants.

      In particular, it provides an in-depth analysis of the following -
      - The defense industry market size and drivers: detailed analysis of the Algerian defense industry during 2020-2024, including highlights of the demand drivers and growth stimulators for the industry. It also provides a snapshot of the country’s expenditure and modernization patterns
      - Budget allocation and key challenges: insights into procurement schedules formulated within the country and a breakdown of the defense budget with respect to capital expenditure and revenue expenditure. It also details the key challenges faced by defense market participants within the country
      - Porter’s Five Force analysis of the Algerian defense industry: analysis of the market characteristics by determining the bargaining power of suppliers, bargaining power of buyers, threat of substitution, intensity of rivalry, and barriers to entry
      - Import and Export Dynamics: analysis of prevalent trends in the country’s imports and exports over the last five years
      - Market opportunities: details of the top five defense investment opportunities
      - Competitive landscape and strategic insights: analysis of the competitive landscape of the Algerian defense industry. It provides an overview of key players, together with insights such as key alliances, strategic initiatives, and a brief financial analysis

      Scope

      - The question regarding the succession of President Bouteflika, the risks of terrorism spilling over from the turmoil in Libya, regional instability and tensions across the Sahel affect economic, social and political stability in Algeria. Algeria is currently the largest military spender in the African region with a defense budget of US$10.4 billion in 2019.
      - The country’s increasing military expenditure is reflected in the ongoing modernization drive due to security challenges and the arms race witnessed in the North African region. Algerian defense expenditure is expected to grow at a CAGR of 4.36% over the forecast period to reach US$12.7 billion in 2024, with the main aim being to replace most of its outdated military equipment.

      Reasons to buy

      - This report will give the user confidence to make the correct business decisions based on a detailed analysis of the Algerian defense industry market trends for the coming five years
      - The market opportunity section will inform the user about the various military requirements that are expected to generate revenues during the forecast period. The description includes technical specifications, recent orders, and the expected investment pattern by the country during the forecast period
      - Detailed profiles of the top domestic and foreign defense manufacturers with information about their products, alliances, recent contract wins, and financial analysis wherever available. This will provide the user with a total competitive landscape of the sector
      - A deep qualitative analysis of the Algerian defense industry covering sections including demand drivers, Porter’s Five Forces Analysis, Key Trends and Growth Stimulators, and latest industry contracts

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