Global Rockets and Missiles Market Overview
As per MRFR analysis, the Rockets and Missiles Market Size was estimated at 43.03 (USD Billion) in 2023.The Rockets and Missiles Market is expected to grow from 44.54 (USD Billion) in 2024 to 65 (USD Billion) by 2035. The Rockets and Missiles Market CAGR (growth rate) is expected to be around 3.5% during the forecast period (2025 - 2035)
Key Rockets and Missiles Market Trends Highlighted
The Rockets and Missiles Market is experiencing significant growth driven by an increase in defense budgets across various regions. Nations are focusing on enhancing their military capabilities amid geopolitical tensions, which has led to a surge in the development and procurement of advanced rocket and missile systems. The modernization of existing military assets and the push for new technology integration, such as hypersonic travel and guided munitions, are essential market drivers fueling this sector's expansion. Furthermore, the growing emphasis on missile defense systems is also shaping the market, as countries prioritize the need to protect their airspace from potential threats.
Partnerships between nation-states and private defense contractors are opening up new opportunities. This partnership can lead to new ideas and better ways of making missiles, resulting in more advanced systems that are cheap and can be used right away. Manufacturers are putting money into research and development to make defense systems that are smarter and more flexible because there is a need for them. Also, the trend toward making space more commercial is giving rockets new opportunities. Government agencies and private companies are both looking to explore space more actively, which could lead to technologies that can be used by both the military and civilians.
In recent times, the efforts towards international cooperation in missile defense initiatives highlight a trend toward collective security strategies. Countries are looking to build alliances that enhance their missile capabilities while sharing advancements in technology. The pace of innovation in the industry is unprecedented, and it reflects a broader trend where defense is increasingly interconnected with technological advancements, such as artificial intelligence and autonomous systems. This evolution emphasizes the importance of adapting to new threats while ensuring operational readiness on a scale.

Source: Primary Research, Secondary Research, MRFR Database, and Analyst Review
Rockets and Missiles Market Drivers
Increasing Defense Budgets Globally
An important driver for the Rockets and Missiles Market is the upward trend in defense budgets among various countries, particularly in the Asia-Pacific, North America, and Europe regions. According to the Stockholm International Peace Research Institute (SIPRI), worldwide military expenditure reached approximately 1.98 trillion USD in 2020, reflecting a 2.6% increase from the previous year. This surge in defense spending is driven by geopolitical tensions and evolving security threats, particularly from nations like China and Russia, which have been actively modernizing their military capabilities.
For instance, the United States has proposed budget increases for missile defense systems in response to perceived threats, directly benefiting the Rockets and Missiles Market. The emphasis on developing advanced weaponry and enhancing missile defense systems supports the growth of the rockets and missiles segment, as investment in these areas is critical for national security.
Technological Advancements in Military Applications
Technological innovations play a vital role in enhancing the capabilities of rockets and missiles, thus driving growth in the Rockets and Missiles Market. The development of guided missiles and smart ammunition has improved the accuracy and effectiveness of military operations. For example, the U.S. Department of Defense has been investing in smart weaponry, which includes precision-guided munitions, enhancing operational performance while minimizing collateral damage.
The advancement of hypersonic weapons is another significant trend, with countries like Russia and China demonstrating their capabilities in this area. The race to develop faster and more reliable missile systems fuels investment and research, contributing to market expansion.
Growing Threat of Terrorism and Asymmetric Warfare
The evolving landscape of security, affected by the increasing threat of terrorism and asymmetric warfare, significantly boosts the demand for sophisticated rockets and missiles. As per the Terrorism Index, the impact of terrorism has not only grown in frequency but also in complexity, necessitating the need for advanced military capabilities to counter such threats. Countries worldwide are compelled to enhance their defense strategies, resulting in increased procurement of missile systems.
These developments foster an environment conducive to investments in the Rockets and Missiles Market, as armed forces adapt to new challenges and seek to improve their readiness and response capabilities.
Rockets and Missiles Market Segment Insights
Rockets and Missiles Market Application Insights
The Rockets and Missiles Market exhibits a diverse application landscape, with significant contributions from various sectors including Defense, Space Exploration, Commercial Launch Services, and Scientific Research. In 2024, the total market value for these applications is expected to be notable, where Defense holds the majority share valued at 19.0 USD Billion, illustrating its pivotal role in national security and military capabilities. The Defense segment is projected to grow further, reaching 28.5 USD billion by 2035, primarily driven by increasing geopolitical tensions and advancing defense technology.
Space Exploration follows with a valuation of 10.5 USD Billion in 2024, and it is expected to elevate to 15.0 USD Billion in 2035, underscoring the focus on space missions and the growing interest in interplanetary exploration and satellite deployment. Commercial Launch Services, valued at 8.04 USD Billion in 2024, is also poised for growth up to 11.0 USD Billion by 2035, highlighting the significant rise in commercial satellite launches and the private sector's investment in space technologies. Scientific Research constitutes an important aspect as well, starting at 7.0 USD billion in 2024 and projected to increase to 10.5 USD Billion in 2035, reflecting the necessity for advanced rocket technologies in scientific missions and research initiatives.
The segmentation of the Rockets and Missiles Market demonstrates the strategic importance of each application, particularly the Defense segment, which dominates the industry due to heightened security needs. Each application not only contributes to the overall market revenue but is also vital for technological advancements and meeting the diverse demands of space and defense initiatives. Overall, the insights into market data and statistics suggest a robust growth trajectory driven by significant investments in R&D and market expansion efforts across these critical applications.

Source: Primary Research, Secondary Research, MRFR Database, and Analyst Review
Rockets and Missiles Market Type Insights
The Rockets and Missiles Market is segmented into various types, including Ballistic Missiles, Cruise Missiles, Space Launch Vehicles, and Tactical Missiles, each playing a pivotal role in defense and aerospace applications. By 2024, the market is expected to achieve a valuation of 44.54 billion USD, driven by increasing defense budgets and technological advancements across nations. Ballistic Missiles, known for their long-range capabilities, effectively deter threats in military strategy. Cruise Missiles are noted for their precision targeting, making them essential for tactical operations.
Space Launch Vehicles have gained prominence due to the rise in satellite deployment and space exploration initiatives. Tactical Missiles focus on short-range engagements and are crucial for ground forces, underlining their significance in contemporary warfare. Overall, these segments collectively contribute to the evolving landscape of the Rockets and Missiles Market, with each segment addressing unique operational requirements and challenges faced in security dynamics. As countries continue to invest in modern warfare technologies, the segmentation highlights a diversified approach catering to various mission profiles and strategic objectives within the defense sector.
Rockets and Missiles Market Launch Mode Insights
The Rockets and Missiles Market revenue is experiencing significant growth, with the Launch Mode segment playing a crucial role in this expansion. By 2024, the market is expected to reach a valuation of 44.54 USD billion, illustrating the ongoing investment in advanced launch technologies. Within this segment, there are distinct categories such as Vertical Launch, Horizontal Launch, and Suborbital Launch, each contributing to the market's dynamics. Vertical Launch systems tend to dominate due to their efficiency and ability to deploy payloads into orbit effectively, making them essential for both military and commercial applications.
Horizontal Launch systems offer unique advantages in terms of mobility and operational flexibility, while Suborbital Launch methods are gaining traction for their potential in space tourism and Research and Development purposes. The increased demand for satellite deployment and military capabilities continues to be a significant growth driver. However, challenges such as high operational costs and regulatory hurdles present hurdles that companies must navigate. Overall, the Rockets and Missiles Market data reflects a robust landscape with numerous opportunities, particularly in the Launch Mode segment, where innovative technologies are poised to redefine market capabilities over the coming years.
Rockets and Missiles Market Technology Insights
The Rockets and Missiles Market, specifically within the Technology segment, is expected to showcase significant growth, with an overall valuation of 44.54 USD billion in 2024. This market is primarily driven by advancements in propulsion technology, making it vital for defense and space exploration applications globally. The segmentation includes Solid Propellant, Liquid Propellant, and Hybrid Propellant technologies, each serving unique roles in propulsion systems. Solid Propellant has emerged as a preferred choice for its reliability and ease of storage, often utilized in military applications.
Liquid Propellant, on the other hand, offers greater efficiency and controllability, particularly in space missions, which underscores its significance. Hybrid Propellant combines the advantages of both solid and liquid systems, leading to innovations in rocket design. Collectively, the dynamics of these technologies contribute notably to the Rockets and Missiles Market revenue. Factors such as increasing defense budgets, geopolitical tensions, and the growing demand for satellite launches are enhancing market growth prospects. Additionally, advancements in Research and Development are creating opportunities for the integration of new materials and technologies, making this sector pivotal in the context.
Overall, the Rockets and Missiles Market statistics reflect a robust trajectory influenced by technological innovations and security needs.
Rockets and Missiles Market Regional Insights
The Rockets and Missiles Market revenue showcases a diverse landscape across various regional segments. In 2024, North America leads with a valuation of 18.0 USD billion, which is expected to grow to 26.74 USD billion by 2035, primarily due to increased defense spending and technological advancements. Europe follows, with a market size of 12.0 USD billion in 2024, projected to reach 17.55 USD billion by 2035, driven by strategic partnerships and a focus on enhancing military capabilities. The Asia Pacific region, valued at 8.0 USD billion in 2024, is anticipated to rise to 11.66 USD billion, fueled by growing regional tensions and military modernization efforts.
Meanwhile, South America, with a 2024 valuation of 3.0 USD billion expected to reach 4.39 USD billion by 2035, representing an emerging market with potential defense investments. The Middle East and Africa, holding a projected value of 3.54 USD billion in 2024 and 4.66 USD billion by 2035, are characterized by local conflicts and a push for advanced military technologies. These segments not only underline significant geographical disparities in the Rockets and Missiles Market data but also reveal various growth drivers such as geopolitical tensions and modernization initiatives in defense strategies, contributing to overall market growth while presenting unique challenges and opportunities.

Source: Primary Research, Secondary Research, MRFR Database, and Analyst Review
Rockets and Missiles Market Key Players and Competitive Insights
The Rockets and Missiles Market is characterized by intense competition and rapid advancements in technology, driven by geopolitical tensions and the continuous demand for enhanced defense capabilities. The landscape is shaped by multiple players ranging from established defense contractors to emerging companies striving to innovate and capture market share. As countries invest heavily in their military capabilities, the focus on developing advanced missile systems, propulsive capabilities, and versatile launch vehicles has further heightened the competitive nature of this market. This environment is creating opportunities for strategic partnerships, joint ventures, and mergers, as companies seek to strengthen their portfolios and present comprehensive solutions to meet the diverse requirements of governments and military organizations worldwide.
Aerojet Rocketdyne holds a significant position within the Rockets and Missiles Market, with robust capabilities in rocket propulsion and related technologies. The company's strengths lie in its innovative approach to developing advanced propulsion systems that cater to both strategic and tactical applications. Aerojet Rocketdyne has built a solid reputation for reliability and performance, which is crucial in the defense sector where mission success is paramount. This company effectively utilizes its expertise in propulsion to deliver high-performance rocket motors and systems that enhance the effectiveness of various missile applications. Given its commitment to research and development, Aerojet Rocketdyne continues to expand its technological edge and operational efficiency, allowing it to maintain a competitive stance in a rapidly evolving market.
Lockheed Martin stands out in the Rockets and Missiles Market due to its diverse portfolio and extensive capabilities in aerospace and defense. The company is known for its advanced missile systems, particularly in the domains of air defense and strike capabilities. Lockheed Martin’s key products include guided missiles, hypersonic systems, and various launch vehicles that cater to a wide range of defense needs on a scale. With a strong market presence bolstered by a history of successful projects, the company benefits from significant investments in research, innovation, and partnerships with governmental agencies.
Lockheed Martin has also pursued mergers and acquisitions to enhance its technological capabilities and expand its market reach, demonstrating its commitment to maintaining leadership in the defense sector. Its ongoing efforts in developing next-generation systems position Lockheed Martin favorably amidst the competitive pressures of the Rockets and Missiles Market, ensuring that it remains a key player in shaping future defense technologies.
Key Companies in the Rockets and Missiles Market Include
- Aerojet Rocketdyne
- Lockheed Martin
- Leonardo
- General Dynamics
- Israel Aerospace Industries
- Saab
- Northrop
- Northrop Grumman
- Raytheon Technologies
- Rostec
- Mitsubishi Heavy Industries
- Boeing
- Korea Aerospace Industries
- Airbus Defence and Space
- Thales Group
Rockets and Missiles Market Developments
The Rockets and Missiles Market has seen notable developments, particularly with key players like Aerojet Rocketdyne, Lockheed Martin, and Raytheon Technologies advancing their technologies amid increased defense spending worldwide. In November 2022, Northrop Grumman announced the commencement of development for a new missile system, further capitalizing on the demand for advanced military capabilities. Additionally, in March 2023, General Dynamics secured a significant contract for missile systems aimed at enhancing national security. The market’s valuation is expected to grow, driven by geopolitical tensions and the pursuit of innovative defense solutions.
In terms of mergers and acquisitions, Lockheed Martin announced its acquisition of Aerojet Rocketdyne in early 2021, further consolidating its position in the sector. Growth from companies such as Boeing and Leonardo indicates a robust demand for next-generation missiles and rocket systems, shaping the landscape of defense technologies. The overall increase in defense budgets globally, particularly in North America and Europe, has fueled investment in research and development across the sector, enabling the rapid advancement of missile technology and enhancing security measures.
Rockets and Missiles Market Segmentation Insights
Rockets and Missiles Market Application Outlook
- Defense
- Space Exploration
- Commercial Launch Services
- Scientific Research
Rockets and Missiles Market Type Outlook
- Ballistic Missiles
- Cruise Missiles
- Space Launch Vehicles
- Tactical Missiles
Rockets and Missiles Market Launch Mode Outlook
- Vertical Launch
- Horizontal Launch
- Suborbital Launch
Rockets and Missiles Market Technology Outlook
- Solid Propellant
- Liquid Propellant
- Hybrid Propellant
Rockets and Missiles Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
Report Attribute/Metric
|
Details
|
Market Size 2023
|
43.03 (USD Billion)
|
Market Size 2024
|
44.54 (USD Billion)
|
Market Size 2035
|
65.0 (USD Billion)
|
Compound Annual Growth Rate (CAGR)
|
3.5% (2025 - 2035)
|
Report Coverage
|
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
|
Base Year
|
2024
|
Market Forecast Period
|
2025 - 2035
|
Historical Data
|
2019 - 2024
|
Market Forecast Units
|
USD Billion
|
Key Companies Profiled
|
Aerojet Rocketdyne, Lockheed Martin, Leonardo, General Dynamics, Israel Aerospace Industries, Saab, Northrop, Northrop Grumman, Raytheon Technologies, Rostec, Mitsubishi Heavy Industries, Boeing, Korea Aerospace Industries, Airbus Defence and Space, Thales Group
|
Segments Covered
|
Application, Type, Launch Mode, Technology, Regional
|
Key Market Opportunities
|
Increasing defense budgets globally, Advancements in missile technology, rising demand for space exploration, growing geopolitical tensions, enhanced focus on homeland security
|
Key Market Dynamics
|
Increasing defense budgets, Geopolitical tensions, Technological advancements, growing space exploration, and rising demand for precision weaponry
|
Countries Covered
|
North America, Europe, APAC, South America, MEA
|
Rockets Missiles Market Highlights:
Frequently Asked Questions (FAQ) :
The Rockets and Missiles Market is expected to be valued at 44.54 USD billion in 2024.
By 2035, the Rockets and Missiles Market is projected to reach a value of 65.0 USD billion.
The expected CAGR for the Rockets and Missiles Market from 2025 to 2035 is 3.5%.
North America is expected to dominate the market, valued at 26.74 USD billion by 2035.
The Defense application segment is valued at 19.0 USD Billion in 2024.
The Space Exploration application segment is expected to be valued at 15.0 USD billion by 2035.
Major players in the market include Aerojet Rocketdyne, Lockheed Martin, Leonardo, and Northrop Grumman.
The Commercial Launch Services segment is valued at 8.04 USD billion in 2024.
The Middle East and Africa region is expected to reach a market value of 4.66 USD billion by 2035.
Growth opportunities are primarily driven by advancements in defense technologies and increasing investment in space exploration.