The global   small arms market   was valued at USD 9.07 billion in 2023 and is expected to rise from USD 9.46 billion in 2024 to USD 12.32 billion by 2032, reflecting a steady CAGR of 3.35% during the forecast period. In 2023, North America led the market with a 43.33% share, driven by strong defense spending, civilian firearm ownership, and the presence of leading manufacturers.

In 2023, North America dominated the small arms market with a 43.33% share, supported by high civilian firearm ownership, significant defense spending, and strong procurement from law enforcement and homeland security agencies. By type, handguns accounted for the largest share, driven by rising demand for personal protection, sports shooting, and concealed carry across the U.S., Canada, and Germany. The United States led globally, with over 400 million privately held firearms, robust defense modernization programs, and major contracts awarded to FN America and Heckler & Koch. Canada advanced with Colt Canada’s C20 rifle contract for the Department of National Defence, while Germany, home to Heckler & Koch, strengthened its position through NATO-aligned investments. France benefited from the contributions of Thales and Beretta in defense programs and exports, whereas India boosted domestic manufacturing and exports through procurement of 7.62mm rifles and joint ventures like PLR Systems. In China, more than 49 million civilian-owned firearms and state-backed modernization efforts bolstered growth, while Russia, led by Kalashnikov Group, continued exports to Africa, Asia, and Latin America despite sanctions.

Information Source:

https://www.fortunebusinessinsights.com/small-arms-market-103173

List of companies profiled in the report:

• American Outdoor Brands Corporation (The U.S.)
• Fabbrica d'Armi Pietro Beretta S.p.A. (Italy)
• FN HERSTAL (Belgium)
• General Dynamics Corporation (The U.S.)
• Heckler & Koch GmbH (Germany)
• Lockheed Martin Corporation (The U.S.)
• Northrop Grumman Corporation (The U.S.)
• Sturm, Ruger & Co., Inc. (The U.S.)
• Taurus International Manufacturing, Inc. (Brazil)
• Thales Group (France)

Increasing Number of Company Mergers will Bode Well for Market Growth

The report encompasses several factors that have contributed to the growth of the overall market in recent years. Among all factors, the increasing number of company mergers and acquisitions has made the highest impact on market growth. Due to constant demand for small arms, companies are tying-up with manufacturers for supply of these products for a long duration. In January 2019, the United States Army announced that it has signed a contract with Sig Sauer for long-term supply and development of the company’s popular P320 handgun. The contract is said to worth USD 580 million and will last for 8 years. This will be a significant step in the progress and expansion of the company. The collaboration

with US Army will also make it more popular in the global market. Sig Sauer’s collaboration with the United States Army will not just help the company grow, but will play a huge part in the growth of the overall small arms market in the foreseeable future.

North America Holds the Highest Market Share; High Defense Budget is a Primary Factor Behind Market Growth

The report analyses the latest market trends across five major regions, including North America, Rest of the Word, Europe, Asia Pacific, and the Middle East and Africa. Among all regions, the market in North America is expected to emerge dominant in the coming years. The high defense budgets in countries such as the United States has not just led to a wider product adoption, but has also yielded technologically advanced products. The increasing terror attacks and tense cross-border relations have also contributed to the growth of the small arms market in this region. As of 2019, the market in North America was worth USD 1.56 billion and this value is projected to increase at a considerable pace in the coming years.

Industry Developments:

• November 2023   – Belgium approved a long-term strategic partnership between Belgian Defence and FN Herstal to ensure small-caliber ammunition supply and maintain the army’s small arms fleet for 20 years. The initiative, part of EU and NATO strategic autonomy goals, is also open to other European nations.

• May 2023   – Israel Weapon Industries (IWI) signed a technology transfer agreement with FAME to set up an ARAD assault rifle production line in Peru, covering assembly, quality assurance, and maintenance, with potential expansion to other weapons and optical sights.