Military Rubber Tracks Market Share, Size and Growth Analysis By 2029

The military rubber tracks sector is projected to expand from US$ 143.10 million in 2021 to US$ 239.98 million by 2028, reflecting a compound annual growth rate (CAGR) of 7.7% from 2021 to 2028.

In North America, the military rubber tracks market is categorized into the United States, Canada, and Mexico. The United States led the market in 2020, primarily due to its substantial military expenditure, which constitutes a significant part of its GDP. According to World Bank data, the US allocated approximately 3.74% of its GDP to military spending in 2020, an increase from 3.43% in 2019. The US military's high oil consumption, estimated at around 340,000 barrels daily, has spurred a demand for environmentally friendly, comfortable, and safer tracked vehicles, thereby promoting the adoption of advanced rubber tracks. Traditional metal plate tracks used in many military vehicles in the region are known to cause considerable discomfort due to intense vibrations. The Tank-Automotive and Armaments Command (TACOM) has indicated that rubber tracks can enhance fuel efficiency by about 33.33%, taking into account factors such as wear and tear, vibration, and durability. In 2019, the US Army investigated the potential of segmented composite rubber tracks to replace the existing steel track systems on the Bradley Fighting Vehicle, signaling a transition towards more sophisticated rubber track technologies.

The military rubber tracks market is segmented by type, end use, and geography. The type segment includes rubber pin tracks and rubber band tracks, with rubber pin tracks holding a larger market share in 2020. The end-use segment is further divided into main battle tanks, infantry fighting vehicles (IFV/AIFV), armored personnel carriers (APC), and others, with the APC segment capturing a significant portion of the market in 2020. Geographically, the market is divided into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South and Central America, with North America dominating the market share in 2020.

The production of military rubber tracks faced challenges in the first half of 2020 due to supply chain disruptions caused by the COVID-19 pandemic. Nevertheless, the market still saw growth as defense ministries in both developed and developing nations increased their investments in segmented composite rubber tracks (SCRTs) for military vehicle manufacturing. For example, in February 2021, Soucy received a contract from the US Army Ground Vehicle Systems Center (GVSC) to produce and supply SCRT systems for their Platform Electrification and Mobility (PEM) initiative. These developments have contributed to a modest growth in the North American military rubber tracks market. The US maintains the highest military expenditure globally and possesses the largest fleet of armed vehicles, totaling around 45,193, which includes approximately 6,612 main battle tanks and 1,498 self-propelled artillery units. Furthermore, North American armed forces are heavily investing in advanced autonomous ground vehicles, presenting opportunities for military rubber tracks market participants in the region.

In Europe, a significant portion of the defense budget is allocated to advanced armored vehicles, including infantry fighting vehicles and main battle tanks. The region is home to several prominent armored vehicle manufacturers such as Rheinmetall AG, Rostec, BAE Systems plc, Nexter group KNDS, and Krauss-Maffei Wegmann. Additionally, the growth of the market in Europe is supported by the presence of military rubber tracks manufacturers like DST Defence Service Tracks GmbH, GMT Rubber-Metal-Technic Ltd, and Astrak UK Ltd.

The Asia Pacific region includes major military spenders such as China, India, Japan, and South Korea, all of which have been consistently increasing their defense budgets annually. This trend has led to a rise in the procurement of armored vehicles in the region. For instance, in September 2021, the Indian government allocated approximately US$1.01 billion for the acquisition of 118 Arjuna Mk-1A battle tanks. The growing defense budgets in these nations are driving the expansion of the military rubber tracks market in the Asia Pacific region.

The market size for military rubber tracks has been determined through a blend of primary and secondary research methods. The research process commenced with extensive secondary research utilizing both internal and external sources to collect qualitative and quantitative data about the market. This approach aimed to provide a comprehensive overview and forecast for the military rubber tracks market across all segments and regions, including North America, Europe, Asia Pacific, the Middle East & Africa, and South America. To validate the findings and gain deeper analytical insights, primary interviews were conducted with industry experts, including vice presidents, business development managers, market intelligence managers, national sales managers, and external consultants. These participants were specialists in the military rubber tracks market, encompassing valuation experts, research analysts, and key opinion leaders. The study offers a detailed market analysis and insights into the military rubber tracks sector, covering market trends, growth rates, industry dynamics, and competitive assessments of leading players in the field.

Key players in the global military rubber tracks market include Astrak UK Limited, DST Defence Service Tracks GmbH, GMT Rubber-Metal-Technic Ltd, Mackay Consolidated Industries Pty Ltd, Martin's Rubber Company Limited, Northern Plains Track, Soucy, Ocean Rubber Factory LLC, and Hutchinson Industries Inc.