Canada Defense Market Size, Trends, Budget Allocation, Regulations, Acquisitions, Competitive Landscape and Forecast to 2028

Canada Defense Market Size, Trends, Budget Allocation, Regulations, Acquisitions, Competitive Landscape and Forecast to 2028

Summary

Canada Defense Market - Size and trends, budget allocation, regulations, key acquisitions, competitive landscape and forecast, 2023-2028 report provides the market size forecast and the projected growth rate for the next five years. The report covers industry analysis including the key market drivers, emerging technology trends, and major challenges faced by market participants. It also offers insights regarding key factors and government programs that are expected to influence the demand for military platforms over the forecast period.

Canada’s defense budget is predicted to see a period of steady and sustained growth, rising by a total of $2.4 billion from 2024 to 2028, equating to a total CAGR of 2.7% during 2024-28. This increase is generally consistent with the growth seen in the historic 2019-23 period, which saw a growth of $3.3 billion, although a slightly higher CAGR of 4.5%. As a Western nation and member of NATO, the primary drivers of Canada’s defense spending are similar to those of its close allies: growing concern over the resurgence of Russia on the international stage and its February 2022 invasion of Ukraine in particular, an ongoing drive to modernize its armed forces with platform upgrades and procurements, and continued support of current operational deployments around the world.

Key Highlights

• Canada's defense expenditure was $17.2 billion in 2019. It grew moderately to reach $20.6 billion in 2023, reflecting a CAGR of 4.5% during 2019-23.
• Canada’s acquisition spending is being driven up primarily by a select few large programs to replace the backbones of the Air Force and Navy: A fleet of up to 88 F-35A stealth jets, a force of 15 new frigates based on BAE’s Type 26 design, and a range of naval support vessels such as patrol ships, replenishment ships and icebreaking patrol boats. As a proportion of the overall budget, acquisition spending has increased from 17.8% in 2019 to 21.3% in 2023 and is expected to decrease slightly to 20.6% in 2028.
• The most attractive sectors in Canada’s defense market during 2023-28 are naval vessels and surface combatants, military fixed-wing and military satellite.

Who Should Buy

• Defence Startups, Original Equipment Manufacturers (OEMs), Defence Planners, Aerospace and Defence Integrators, Venture Capital Firms, Government Agencies, Head of Marketing, Head of Sales, CEOs and Senior Executives.
• The concerned stakeholders can utilize the report to identify high growth segments and customize their offerings to match the project requirements.
• The Venture Capital Firms can utilize the project details, growth rate, and market size to identify and fund high potential startups.

Scope

This report offers detailed analysis of Canada defense market 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 -

• Canada defense budget: detailed analysis of Canada 2023 defense budget broken down into market size and market share. This is coupled with an examination of key current and future acquisitions.
• Regulation: the procurement policy and process is explained. This is coupled with an analysis of Canada military doctrine and strategy to provide a comprehensive overview of Canada military procurement regulation.
• Security Environment: political alliances and perceived security threats to Canada are examined; there help to explain trends in spending and modernisation.
• Competitive landscape and strategic insights: analysis of the competitive landscape of Canada's defense industry.

Reasons to Buy

• Determine prospective investment areas based on a detailed trend analysis of the Canadian defense market over the next five years
• Gain in-depth understanding about the underlying factors driving demand for different defense and internal security segments in the Canadian market and identify the opportunities offered.
• Strengthen your understanding of the market in terms of demand drivers, market trends, and the latest technological developments, among others
• Identify the major threats that are driving the Canada defense market providing a clear picture about future opportunities that can be tapped, resulting in revenue expansion
• Channel resources by focusing on the ongoing programs that are being undertaken by the Canada government
• Make correct business decisions based on in-depth analysis of the competitive landscape consisting of detailed profiles of the top defense equipment providers in the country. The company profiles also includes information about the key products, alliances, recent contract awarded, and financial analysis, wherever available