Intensifying Future of the Japanese Defense Market Outlook: Ken Research

0


According to the report analysis, ‘Future of the Japanese Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2023’ states that in the forecasted period, the Japanese defense budget is anticipated to grow at a CAGR of 2.51% to value USD 53.7 billion by 2023. Whereas, in the historic period, the total defense budget with the financing of US force manipulation and SACO, observed a CAGR of 0.5% to value USD 47.3 billion in 2018, as compared to the USD 46.4 billion in 2014. The country’s defense expenditure is anticipated to be huge, operated by efforts to combat the threat of North Korea’s growing military potential. In addition, the intrusion of Chinese on offshore islands within the locality of the country, and the activities of Russia in the disputed Northern territory.

As a percentage of GDP, the defense expenditure of this region is anticipated to average 0.9% over the near future and the japan defense budget without the SACO and US force related expenditure is anticipated to rise at a CAGR of 2.4% over the near future. For instance, the North Korea nuclear missile development programs, strategic challenges from China and a territorial issue with Russia are the major key factors which operate the Japanese defense industry. Whereas, the ministry of defense is anticipated to distribute an average of 56.1% of the budget onwards the capital expenditure over the near future. Moreover, the Japanese Ministry of Defense devotes huge portion of its budget on operational expenses, salaries, development and training.

The report also provide the qualitative analysis related to the Japanese defense industry covering sections which includes demand driver, key trends and latest industry contracts. Whereas, there are some key players which are recently functioning in this sector more actively and playing an effective role in activities of export and imports includes Lockheed Martin, Raytheon, BAE Systems, Airbus Group, Bell, NEC Corporation, Toshiba Corporation, Mitsubishi Heavy Industries, Kawasaki Heavy Industries, Ishikawajima, Mitsubishi Electric Corporation and several others.

Japan introduced the Acquisition Technology and Logistics Agency (ATLA) under the Japanese Ministry of Defense in October 2015, which assimilating acquisition functions involving its Staff Offices, Equipment Procurement and Construction Office, Internal Bureau and Technical Research and Development Institute. ATLA is held responsible for defense equipment policy and logistics planning, defense industrial policy, procurement as well as management of research and development institutes, research and development and research and development policies. As before the introduction of ATLA, work connected to equipment acquisition in Japanese Ministry of Defense was divided over the numerous organization and departments.

ATLA encourages defense equipment and technology cooperation from the standpoint of the contribution to harmony and international cooperation and security of the country involving managing and strengthening defense production and technological bases and several others. Therefore, in the coming years it is anticipated that the future of the Japanese Defense Industry will grow more effectively over the decades with the more development in the technology and establishment of effective policies by the Japanese Ministry of Defense.

For more information, click on the link below:

https://www.kenresearch.com/defense-and-security/defense/japanese-defense-industry/156567-16.html

Contact Us:

Ken Research

Ankur Gupta, Head Marketing & Communications

sales@kenresearch.com

+91 9015378249

Share.

Comments are closed.