Ammunition Market Size, Share, By Product Type (Bullets, Aerial Bombs, Grenades, Mortars, Artillery Shells, and Others), Component (Fuzes and Primers, Gunpowder, Projectile, Cases, and Others), Caliber (Small, Medium, and Large), Guidance (Guided and Non-Guided), Lethality (Lethal and Less-Lethal), End User (Civil and Commercial and Defense), and Region - Trends, Analysis, and Forecast till 2035

• The market is anticipated to enlarge at USD 52.9 Billion by 2035.
• Ammunition market size was accounted for USD 36.12 Billion within 2024.
• Target market is developing at a CAGR of 4.1%.

Ammunition, also known as ammo, is the material fired, scattered, dropped, or detonated from any weapon or weapon system. The term Ammunition includes both expendable weapons (such as bombs, missiles, grenades, land mines), and the component parts of other weapons that create the effect on a target (bullets and warheads). Ammunition can be used for self-defense, recreational shooting, hunting, conservation and wildlife management, and competition and sports shooting. These factors contribute in driving the ammunition market growth. The ammunition market contributes to the economy through taxes, product sales and job creation and it also provides with training and education opportunities for gun owners.

Impact of AI in Ammunition Domain:

AI has revolutionized firearm aiming systems or ammunitions, enabling unprecedented precision and autonomy. Autonomous targeting systems use complex algorithms and machine learning to analyze data in real time, which improves accuracy and target identification.

Key Drivers of Target Market:

Ammunition Provides Self Defense and Protection which Fosters the Market Growth

Ammunition can be used for providing people with the means of personal protection and self-defense by projecting force at a target to cause an effect. It is helpful in stopping attackers without over-penetrating, it expands upon impact, causing more damage to the target and reducing the chances of an exit wound, and it also makes it safer for the nearby bystanders.

• For instance, September 2024, Tuttle Capital Management (“TCM”), announced the launch of its latest exchange traded fund, Tuttle Capital Self Defense Index ETF (ticker symbol GUNZ) on Chicago Board Options Exchange. GUNZ offered strategic exposure to the U.S. companies who engaged in, to any extent, the manufacture, service, supply, and distribution of personal and law enforcement defense equipment and protection services.

Restraints:

Environmental Pollution Caused by Ammunition can Hinder Market Growth

Ammunitions have a few disadvantages, one of which being causing environmental pollution. After use, ammunitions, can often leave behind toxic metal or materials, such as, lead, which can contaminate soil and water, harming wildlife, humans and ecosystems.

• Counterbalance Statements: Using non-toxic, biodegradable, and lead-free materials for ammunitions and also promoting recycling of casing and cleanup of shoot-up ranges and training grounds can prevent the market growth from getting hindered.

Opportunities:

Innovations in Precision-Guided Munitions Propels the Market Growth

Precision-guided munitions (PGMs) are weapons that use guidance systems to hit targets with precision while minimizing collateral damage. These weapons are also known as smart bombs, smart munitions, or smart weapons. It can be launched from air, ground or ship, and it use guidance systems, such as GPs, laser guidance, or inertial navigation to acquire both stationary and moving targets. The ammunition market significantly influences the development and production of precision-guided munitions (PGMs), driven by the need to reduce collateral damage and enhance military technology.

• For instance, in July 2023, the Defence Research and Development Organization (DRDO), developed the homegrown precision-guided munitions (PGMs), including the Smart Anti-Airfield Weapon (SAAW) and the Sudarshan laser-guided bomb. The stand-off PGMs had been under development for a long time, and several were set to be mass-produced by private companies under three categories of the Ministry of Defence’s (MoD) Defence Procurement Procedure’s (DPP) India designed, developed and made (IDDM) category.

The ammunition market is segmented into product type, component, caliber, guidance, lethality, end-user, and region.

Product Type

According to product type, the market is divided into bullets, aerial bombs, grenades, mortars, artillery shells, and others. The bullets segment dominates the ammunition market with the largest share due to the high demand for bullets in sectors including law enforcement, military, and civilian shooting sports.

• For instance, in July 2024, American Rounds, based in Richardson, Texas, developed machines, that sold ammunition. Three U.S. states introduced vending machines for bullets at grocery shop to make ammunition more available for gun owners. These, manufactured by American Rounds, were claimed to be as easy to use as an ATM and are free from constraints of store hours.

Component

In regard to component, the market can be classified into fuzes and primers, gunpowder, projectile, cases and other components. The case component has the highest market growth rate as it is a container which holds all the other components of ammunition together. The case is usually made of brass, steel or copper, where the brass cases are more popular as it is easier to manufacture.

• For instance, in October 2024, LeadsOnline, a company which provides forensic tools and data to help law enforcement to solve cases faster, introduced a new ballistic analysis tool, called the ClearCase. This is a fully automated system that streamlined the triage of cartridge casings collected from a crime scene. This could capture crime scene images, firearm details, and help in selecting ideal casings for NIBIN (National Integrated Ballistic Information Network) submission.

Caliber

The market is categorized into small, medium, and large, depending on the caliber. The large caliber ammunition dominated the market share due to its role in modern warfare used in artillery systems, where it provided long range and destructive fire support.

• For instance, in November 2024, there was an agreement signed by the Industrial Development Agency, Grupa Azoty, Polska Grupa Zbrojeniowa, and Mesko, that Poland would set up production of nitrocellulose and gunpowder, which was needed for large caliber ammunition. In Poland, the development of explosives production facilities is crucial for the future production of ammunition.

Guidance

On the premise of guidance, the market can be broken down into guided and non-guided. The non-guided ammunition segment is expected to lead the market during the forecast period as compared to guided ammunition market. This is due to the fact that the military uses non-guided projectiles more often for combat operations to achieve greater accuracy in sensitive environments.

Lethality

Revolving around lethality, the market is graded into lethal and less-lethal ammunition. The lethal ammunition exercised control over the market as most individuals and organizations primarily purchased firearms for self-defense or hunting situations where lethal force may be necessary, whereas the less-lethal or non-lethal ammunitions were only used by law-enforcement in situations where a lower level of force is required.

End-User

The market is pigeonholed into civil and commercial, and defense, on the groundwork of end user. The defense segment governs the market share due to the use of large quantities of ammunition by the military, increasing geopolitical tensions and terrorist activities, and increasing cross-border conflicts.

• For instance, in November 2024, Kosovo’s Prime Minister, announced plans to build the country’s first state-owned ammunition factory and drone design lab to boost its defense industry amid rising Serbian tensions, and to not be dependent on other countries for ammunitions.

Region

On regional basis, the market is grouped into North America, Europe, Asia Pacific, Latin America, Middle East and Africa.

North America: North America leads the market and is expected to maintain its dominance during the projected period. There are certain factors, which drive the growth of ammunition market in North America, such as the threat to terrorism, lenient gun laws, increased demand from hunters and gun enthusiasts, and weapon upgrades by law enforcement agencies.

• For instance, in May 2024, the U.S. Army inaugurated a major artillery ammunition parts production plant in Mesquite, Texas. There were production of various ammunitions, ranging from 60mm to 155mm, at the Universal Artillery Projectile Lines with minimal adjustments, by incorporating high levels of automation, modern manufacturing practices, and digital-data-capture ability.

Europe: According to the forecast, the ammunition market share of Europe is speeding up due to the growing challenges faced by the European defense system from terrorism and refuges from the Middle East and Syria. There is also a growing demand for defense and commercial applications in Europe, driving market growth in this region.

• For instance, in October 2024, the European Commission published its first call for industries to benefit from European Union funds to ramp up its production capacities of ammunition and missiles, thereby meeting consumer needs. 

Ammunition Market Report Scope:

Attribute	Details
Market Size 2025	USD 37.4 Billion
Projected Market Size 2035	USD 52.9 Billion
CAGR Growth Rate	4.1% (2025-2035)
Base year for estimation	2024
Forecast period	2025 – 2035
Market representation	Revenue in USD Billion & CAGR from 2024 to 2034
Regional scope	North America - U.S. and Canada Europe – Germany, U.K., France, Russia, Italy, Spain, Netherlands, and Rest of Europe Asia Pacific – China, India, Japan, Australia, Indonesia Malaysia, South Korea, and Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, and Rest of Latin America Middle East & Africa – GCC, Israel, South Africa, and Rest of Middle East & Africa
Report coverage	Revenue forecast, company share, competitive landscape, growth factors, and trends

Segmentation:

By Product Type:

• Bullets
• Aerial Bombs
• Grenades
• Mortars
• Artillery Shells
• Others

By Component:

• Fuzes and Primers
• Gunpowder
• Projectile
• Cases
• Others

By Caliber:

• Small
• Medium
• Large

By Guidance:

• Guided
• Non-Guided

By Lethality:

• Lethal
• Less-lethal

By End User:

• Civil and Commercial
  • Sports
  • Hunting
  • Self-defense
  • Others
• Defense
  • Military
  • Law Enforcement
  • Others

By Region:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • U.K.
  • France
  • Russia
  • Italy
  • Spain
  • Netherlands
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • Indonesia
  • Malaysia
  • South Korea
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • Israel
  • South Africa
  • Rest of Middle East & Africa

The key players in this ammunition market are adopting strategies such as new product launches, production of environmental-friendly ammunition, and understanding the components and caliber of the market. Some of the key players are, 

List of Key Players in the Market:

• BAE Systems
• General Dynamics Corporation
• FN HERSTAN
• Northrop Grumman
• Nammo AS
• Rheinmetall AG
• Winchester
• CBC Global Ammunition
• NOSLER INC.
• ARSENAL
• FIOCCHI MUNIZIONI SPA
• Hornady
• MESKO
• RUAG Group
• Sierra Bullets
• AMMO, INC.
• CCI Ammunition
• Denel SOC Ltd
• Federal Ammunition

• In October 2024, the Indian Navy's missile-cum-ammunition barge, LSAM 12 (Yard 80), was launched at Vinayaga Marine Petro Ltd. in India. It was constructed by the MSME shipyard SECON Engineering Projects Pvt Ltd (SEPPL), Visakhapatnam. As these barges made it easier to carry, embark, and disembark articles and ammunitions to Indian platforms, both beside jetties and at outer harbors, its availability gave India a boost in its operational obligations.
• In January 2025, Belgium’s FN Herstal announced the launch of the Small Arms Ammunition Technologies (SAAT) project. This was coordinated by FN Herstal and conducted by a European consortium which consisted of defense companies, research organizations, and defense ministers of nine countries. SAAT aimed to establish a common standard for small arms ammunition in Europe, to enhance interoperability and strengthen European strategic autonomy and sovereignty in defense.

Analyst View:      

The preference of consumers to learn self-defense, recreational shooting, hunting, conservation and wildlife management, and competition and sports shooting has contributed in driving the ammunition market growth. Additionally, this industry also contributes to the economy through taxes, product sales and job creation and it also provides with training and education opportunities for gun owners.

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Company Name	BAE Systems
Headquarter	London, U.K.
CEO	Mr. Charles Woodburn
Employee Count (2024)	93,000 Employees