1 Global Military Explosives Market Insight Analysis
The global military explosives market size will reach USD 911.86 million in 2025, with a CAGR of 3.97% from 2025 to 2033.
Military explosives are a mixture of high-energy organic materials with high purity, high explosive power, high energy, and fast detonation velocity. Military explosives include blasting charges, propellants, priming charges, pyrotechnics, and pyrotechnic charges. Typical representatives are 2,4,6-trinitrotoluene (TNT), dinitrotoluene (DNT), RDX, HMX (1,3,5,7-tetranitro-1,3, 5,7-Tetraazacyclooctane), etc.
Figure Global Military Explosives Market Size (M USD) and CAGR (2025-2033)
2 Military Explosives Market Growth Drivers and Restraints
Escalation of global security situation and increase in defense budget
In recent years, regional conflicts (such as the Russian-Ukrainian war), terrorist threats and border security needs have prompted countries to increase defense spending. For example, in response to the Russian threat, NATO countries’ defense budgets increased by an average of 4.5% in 2023; due to geopolitical tensions in the Middle East, Saudi Arabia, the United Arab Emirates and other countries continued to increase military equipment purchases.
The increase in defense budgets directly drives the growth in demand for military explosives in weapon systems such as missiles, artillery shells, and mines. According to the report data, the global military explosives market size reached US$788.93 million in 2022, of which the “military” application field accounted for 41.4% of the revenue, with an annual growth rate of 16.99%, showing the core driving role of defense demand.
Technology upgrade and new weapon research and development
In the process of military modernization, high-precision guided weapons, smart ammunition and other explosives have higher performance requirements, which promotes the development and application of high-energy density explosives (such as HMX, RDX) and insensitive munitions (IM). For example, companies such as BAE Systems and Eurenco have improved the safety and explosion efficiency of explosives by improving the formula of explosives to meet the reliability and lethality requirements of new weapon systems. At the same time, the popularization of automated production technologies (such as continuous automatic pouring process) has improved production efficiency, reduced labor costs, and further stimulated market growth.
The rise of emerging markets
The Asia-Pacific region (especially China, India, and South Korea) has become an important engine of market growth due to national defense modernization and military equipment localization policies. In 2022, the market size of the Asia-Pacific region reached 178.76 million US dollars, and China’s sales in the region accounted for 46.44%, with an annual growth rate of 5%-7%. In addition, the localization plans of the defense industry in Latin America and Middle Eastern countries (such as Brazil and Saudi Arabia) have also driven the demand for local military explosives suppliers. For example, companies such as Pakistan Ordnance Factories and Solar Group have increased their production capacity through technical cooperation.
Supply chain localization and strategic reserve needs
The risk of global supply chain disruptions (such as epidemics and regional conflicts) has prompted countries to strengthen the autonomy and control of key materials. For example, Australia has expanded its Lithgow plant at Thales Australia to increase its domestic ammunition production capacity; the United States has promoted the diversification of the military explosives supply chain through the Defense Production Act to reduce its dependence on imports. At the same time, countries have increased their strategic reserves to cope with long-term conflicts or emergencies, further boosting market demand.
Strict regulations and environmental pressures
The production, storage and transportation of military explosives are strictly controlled by the laws of many countries. For example, the U.S. Explosives Regulations require companies to obtain special licenses in the transportation and storage links; Canada implements a licensing system for the import and export of explosives. In addition, with stricter environmental policies, carbon emissions (such as energy consumption and chemical reactions) in the production of explosives face the challenge of “carbon neutrality”, forcing companies to invest in green production technologies and increase costs. The report pointed out that in 2023, the global military explosives industry will see an average profit margin decline of 2-3 percentage points due to rising environmental compliance costs.
Technical barriers and high R&D investment
The research and development of high-performance explosives requires long-term technology accumulation and high capital investment. For example, the synthesis process of HMX explosives is complex, and only a few companies in the world (such as Prva iskra and NITRO-CHEM) have mastered the core technology. It is difficult for new entrants to break through patent barriers and economies of scale, resulting in high market concentration. The top three companies (BAE Systems, Eurenco, and Australian Munitions) account for 45.52% of the market share, and small and medium-sized enterprises have limited room for survival.
Safety risks and hidden dangers of production accidents
The high risk of explosive production leads to extremely high barriers to entry in the industry. Many factory explosions in history (such as the Beirut Port explosion in Lebanon in 2020) have prompted countries to strengthen safety supervision and require companies to upgrade production facilities and safety management systems. For example, Explosia a.s. was forced to suspend production and rectification due to a production line accident in 2021, with a loss of approximately US$1.2 million, highlighting the impact of safety risks on market stability.
Economic fluctuations and procurement budget adjustments
The downward pressure on the global economy may lead some countries to cut defense spending. For example, due to the energy crisis in Europe in 2023, some countries (such as Germany) postponed their plans to purchase new weapons, causing the European market growth to slow down to 2.07%. In addition, exchange rate fluctuations affect the cost structure of multinational companies. For example, the appreciation of the US dollar leads to an increase in the cost of raw materials denominated in US dollars (such as toluene and ammonium nitrate), which compresses corporate profit margins.
3 Technological Innovations in the Military Explosives Market
High-performance explosives research and development
Balance between high energy and low sensitivity: Companies focus on developing explosives with high detonation velocity and low vulnerability, such as Eurenco’s PBX (polymer bonded explosive) technology, which improves explosive stability through polymer coating and has been applied to missile warheads and aerial bombs.
Environmentally friendly explosives: Solar Group has developed a sulfur-free explosive formula that reduces harmful emissions during the production process and complies with EU REACH regulations. In 2023, this product accounted for 15% of its revenue.
Application of nanotechnology: Additives such as nano-aluminum powder are used to increase the energy density of explosives. General Dynamics’ nano-composite explosives increase the detonation velocity by 10%-15%, which is suitable for armor-piercing and directional blasting weapons.
Intelligent and automated production
Digital factory: BAE Systems introduced an AI visual inspection system to monitor the particle size and purity of explosives in real time, increasing production efficiency by 20% and reducing the defect rate to less than 0.5%.
Robotics: Australian Munitions deploys automated charging robots to reduce manual contact with dangerous links. The accident rate in 2022 will drop by 60% year-on-year, and the production capacity will increase by 30%.
Expansion of new application scenarios
Non-lethal weapons: Gel explosives are used in anti-terrorism and riot control scenarios due to their controllable explosion characteristics. For example, Poongsan Defense’s gel bombs can accurately control the scope of destruction. Sales of such products will increase by 25% in 2023.
Space exploration: Military explosive technology has been modified for rocket propellants, such as Prva iskra’s HMX-based propellants, which have been used in satellite launch devices, opening up new market space.
Head companies integrate market share
BAE Systems acquires Ball Aerospace (US$5.6 billion in 2023): By acquiring US aerospace companies, BAE expands the application of explosives in missiles and space, strengthens its position in the North American market, and expects related revenue to grow by 12% in 2025.
Eurenco and Sweden’s Bofors cooperate: the two parties jointly develop a new propellant for the “Carl Gustaf” recoilless gun, using Eurenco’s high-energy explosives technology and Bofors’s weapon system integration capabilities to consolidate their leadership in the European market.
Strategic expansion of regional enterprises
India’s Solar Group acquires local explosives manufacturers: in 2022, it will acquire two small and medium-sized explosives factories, increase production capacity by 40%, to meet the Indian Ministry of Defense’s “Make in India” plan for domestic ammunition needs, and increase its defense orders by 35% in 2023.
Turkey’s Roketsan invests in BAE subsidiaries: by participating in BAE’s Turkish branch, it acquires solid rocket engine technology, promotes the development of local missile projects, and reduces dependence on imported explosives.
Cooperation and divestiture of technology-based SMEs
NITRO-CHEM jointly develops with universities: Polish companies cooperate with Warsaw University of Technology to develop a new RDX synthesis process, shorten the production cycle by 30%, and receive funding from the EU Defense Fund in 2023.
Explosia a.s. divests civilian business: focuses on military explosives research and development, sells civilian blasting division to concentrate resources, and increases military business revenue share from 60% to 85% in 2023.
4 Global Military Explosives Market Size by Type
Solid explosives are expected to have a market sales volume of 86.64 thousand tons in 2025. This type of explosive dominates the military and defense sectors due to its stability and ease of storage. Solid explosives are commonly used in the manufacture of various ammunition, such as shells, mines, and missiles. Due to their higher safety during transportation and use, the demand for solid explosives in the military explosives market has been steadily increasing.
Liquid explosives are projected to have a market sales volume of 9.21 thousand tons in 2025. Although the total volume is less than solid explosives, liquid explosives have certain advantages in specific applications due to their high energy density and ease of shaping. Liquid explosives are typically used in situations requiring precise control over explosive energy and shape, such as in certain special ammunition and blasting operations. With the advancement of military technology, the application range of liquid explosives may further expand, especially in modern weapon systems requiring high energy output.
Gel explosives are expected to have a relatively smaller market sales volume of 7.58 thousand tons in 2025. This type of explosive combines some characteristics of both liquid and solid explosives and usually contains a certain percentage of water, making it gel-like at room temperature. The advantages of gel explosives include lower sensitivity and higher safety, making them favored in certain applications requiring high safety. However, due to their higher production costs and narrower application range, the market size of gel explosives is relatively small.
Table Global Military Explosives Market Size by Type in 2025
Type | Market Sales (K Tons) 2025 |
|---|---|
Solid | 86.64 |
Liquid | 9.21 |
Gel | 7.58 |
5 Global Military Explosives Market Size by Application
The two main applications in the global military explosives market are “Military” and “Defense”. According to the table data, the market sales for the “Military” application in 2025 are projected to be 41.00 thousand tons. This application likely encompasses a wide range of uses directly related to combat – related activities. For example, it may include the use of explosives in small – scale military operations such as the production of grenades, small – caliber ammunition, and the explosive components in certain types of guided missiles used for direct engagement with enemy forces. These explosives are designed to have a high – impact, immediate – effect nature, tailored to the requirements of on – the – ground or in – air combat scenarios.
On the other hand, the “Defense” application shows a larger market sales volume, reaching 62.43 thousand tons in 2025. The “Defense” application typically involves a broader and more strategic use of explosives. This could include the production of large – scale defensive weapons such as anti – aircraft missiles, anti – tank mines, and the explosives used in fortification – busting munitions. These explosives are often part of a country’s overall defense strategy, designed to protect territorial integrity, military bases, and key infrastructure from potential threats. They may also be used in long – range strategic weapons systems that serve as a deterrent against large – scale military aggression.
Table Global Military Explosives Market Size by Application in 2025
Application | Market Sales (K Tons) 2025 |
|---|---|
Military | 41.00 |
Defense | 62.43 |
6 Global Military Explosives Market Size by Region
In 2025, North America’s market revenue for military explosives is projected to reach 375.24 million US dollars. This region has long been a dominant force in the global military – industrial complex. The United States, a key player in North America, has a highly advanced defense industry. It invests heavily in research and development, resulting in a wide range of high – tech military explosives applications.
The country’s large – scale military operations both at home and abroad, along with its role as a major arms exporter, contribute significantly to the market revenue. Canada also plays a part, mainly through its involvement in joint defense projects and its own domestic defense requirements. North America’s well – established infrastructure, skilled workforce, and extensive R & D capabilities ensure its continued prominence in the military explosives market.
Europe’s market revenue for military explosives in 2025 is forecasted to be 266.77 million US dollars. Europe has a rich history in military technology development. Countries like the United Kingdom, France, and Germany have strong defense industries, with a focus on producing high – quality military explosives for both their own armed forces and for export. European nations are also increasingly collaborating on defense projects, which helps in sharing costs and resources.
However, the region also faces challenges such as budget constraints in some countries due to economic factors, and the need to balance defense spending with other social and economic priorities. Despite these challenges, Europe continues to be a significant player in the global military explosives market, driven by its advanced technological base and strategic defense needs.
The Asia Pacific region’s market revenue for military explosives in 2025 is expected to be 207.61 million US dollars. This region has witnessed remarkable growth in recent years. China and India, in particular, have been ramping up their defense capabilities. China’s rapid military modernization drive has led to increased demand for advanced military explosives. India, too, is investing heavily in its defense sector to safeguard its national security interests.
Other countries in the region, such as South Korea and Japan, also contribute to the market revenue, mainly due to their advanced defense industries and their need to maintain a strong military presence in the face of regional security threats. The Asia Pacific region’s growth is also fueled by its economic development, which allows for greater investment in defense technologies.
Latin America’s market revenue for military explosives in 2025 is projected to be 18.95 million US dollars. While this is relatively smaller compared to the other regions, the market is still growing. Countries like Brazil and Mexico have been gradually modernizing their armed forces, leading to an increased demand for military explosives. However, the region also faces challenges such as limited financial resources and a relatively less developed defense industry compared to some of the more advanced regions. Nevertheless, with the increasing focus on national security and the potential for further economic development, the military explosives market in Latin America has room for growth.
The Middle East & Africa region’s market revenue for military explosives in 2025 is expected to be 43.30 million US dollars. The Middle East, in particular, has a high demand for military explosives due to ongoing regional conflicts and geopolitical tensions. Countries such as Saudi Arabia, the United Arab Emirates, and Israel are major spenders in the defense sector. Their investments in military explosives are driven by the need to protect their interests in a volatile region. In Africa, countries like South Africa also have a relatively developed defense industry and contribute to the market revenue. However, the region also faces challenges such as political instability in some areas and economic disparities that can impact defense spending.
Figure Global Military Explosives Market Size (M USD) by Region in 2025
7 Global Military Explosives Market Analysis by Major Players
BAE Systems
Company Profile: BAE Systems, established in 1999, is headquartered in the UK. It operates primarily in Europe, the Middle East, Asia Pacific, and North America. The company’s contact information includes a telephone number and an address in London, UK.
Business Overview: BAE Systems is the U.S. subsidiary of BAE Systems plc, an international defense, aerospace, and security company. It offers a full range of products and services for air, land, and naval forces, as well as advanced electronics, security, information technology solutions, and customer support services.
Product/Service Introduction: BAE Systems provides a depth and breadth of munitions, explosives, artillery systems, and artillery systems to meet critical needs in the air, land, and sea. They also manage and operate munitions facilities that deliver and support critical national capabilities.
Eurenco Group
Company Profile: Eurenco, founded in 2004, is headquartered in France. With a sales region spanning worldwide, Eurenco can be contacted via telephone and is based in Sorgues, Provence-Alpes-Cote d’Azur, France.
Business Overview: EURENCO designs and manufactures energetic materials. The company provides explosives, propellants, modular charges, combustible items, and additives for the production of ammunition, warheads, and devices. EURENCO serves the oil and gas perforation, mining, and civil sectors globally.
Product/Service Introduction: EURENCO designs, develops, and manufactures explosive charges for missile warheads, bombs, and penetrators, torpedoes, and underwater munitions, as well as for booster relays and demolition explosives.
Australian Munitions
Company Profile: Australian Munitions, established in 1988, is headquartered in Australia. It has a worldwide sales region and can be contacted via telephone at an address in Sydney, NSW, Australia.
Business Overview: Australian Munitions is a business of Thales Australia Limited and is the largest supplier of explosive ordnance to the Australian Defence Force, with a successful track record delivering ammunition, propellants, explosives, and related services. Australian Munitions also produces high-quality propellant and ammunition for military and civilian domestic and international customers.
Product/Service Introduction: Australian Munitions High Explosives product includes military-grade RS – RDX, TNT, RDX/TNT 60/40, Composition A3, Composition TR1, and PE4-MC. Coupled with an advanced capability to develop and manufacture insensitive munitions (IM) compositions.