Press Release
Contact: Dean Lockwood, Weapons Systems Analyst
Phone: (203) 426-0800
Fax: (203) 426-1964
Web site: www.forecast1.com
E-mail: dean.lockwood@forecast1.com
Forecast International, Inc.
22 Commerce Rd. Newtown, CT 06470 USA
FOR IMMEDIATE RELEASE
World Market for Tanks Remains Split:
High-End Technology vs. Low-End Production
NEWTOWN, Conn. (March 14, 2005) ― Despite a glut of available tanks, the
international main battle tank market remains a highly competitive and dynamic
environment, populated by the established market powerhouses and an influx of
energetic new players. In its annual analysis “The World Market for Tanks,”
the Forecast International Weapons Group projects the market will produce over
8,100 main battle tanks, worth in excess of $33 billion, through 2014.
The international main battle tank market continues its
stratification into two basic tiers. The upper tier consists of the
state-of-the-art designs with correspondingly high price tags. The lower tier
features cheaper, more widely available tanks – mostly designs of the former
Soviet Union. For most nations, including the United States, the expense
associated with the modernization and retrofit of high-end main battle tanks
pales in comparison with the prospect of new tank procurement. Thus, new
production of high-end tanks – notably the AMX Leclerc, Ariete 2, Challenger 2,
Karan, Leopard 2, M1A1 Abrams, Merkava Mark 4, and Japan’s Type 90 – will
account for only about 14 percent of all production, worth less than 20 percent
of the market, through the forecast period.
Dean Lockwood, a weapons systems analyst at Forecast
International, notes that in terms of sheer numbers, Pakistan’s Al-Khalid, the
Type 98 of the People’s Republic of China, and the Russian Federation’s T-90 represent
the most significant new-production main battle tanks on the international
market. Said Lockwood, “We expect production of these three tanks to account
for nearly 43 percent of all new tanks rolling out worldwide, worth nearly 38
percent of the market in value, through 2014.”
In terms of new production, the days of U.S. and European
domination over the international main battle tank market appear to be long
gone. Nevertheless, the established U.S. and European players continue to make
their presence felt. The Rheinmetall 120mm Rh 120 smoothbore ordnance is fast
becoming the international main armament of choice. The state-of-the-art
Krauss-Maffei Wegmann Leopard 2, as well as the combat-proven BAE Systems
Challenger 2 and General Dynamics M1A1/A2 Abrams, continues to set the
international standard for main battle tank design.
Indeed, during Operation Desert Storm (1991) and Operation Iraqi Freedom
(2003-present), U.S. and British armored forces clearly demonstrated to the
world the unique combat capabilities of main battle tanks on the modern
asymmetrical battlefield.
“Despite the wide variety of tanks available today on the
international market, the fact remains that only the United Kingdom and the
United States offer modern main battle tanks with proven combat records,”
Lockwood said. Although more advanced designs are available, the FV4034
Challenger, Challenger 2, M60, and M1A1/A2 Abrams can all boast of passing the
ultimate test of combat.
Forecast International, Inc., is a leading provider of
Market Intelligence and Analysis in the areas of aerospace, defense, power
systems and military electronics. Based in Newtown, CT, USA, Forecast
International specializes in long-range industry forecasts and market
assessments utilized by strategic planners, marketing professionals, military
organizations, and governments worldwide. To arrange an interview with
Forecast International’s analysts, please contact Monty Nebinger
(203-426-0800), monty.nebinger@forecast1.com