GITNUXREPORT 2025

Arms Industry Statistics

Global arms industry worth $500 billion dominates U.S., Russia, China exports.

Jannik Lindner

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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Key Statistics

Statistic 1

The United States accounts for about 39% of global arms exports

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The top five arms-exporting countries—USA, Russia, China, France, and Germany—comprise around 75% of global arms exports

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The U.S. Department of Defense allocated about $778 billion in the 2023 fiscal year, making it the largest military budget globally

Statistic 4

China’s defense budget increased by 7.1% in 2023 to approximately $293 billion

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In 2022, NATO countries’ combined defense expenditure accounted for over 60% of global military spending

Statistic 6

The conventional arms transfer agreement between the U.S. and Saudi Arabia has been over $60 billion since 2010

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In 2022, the U.S. exported arms to over 100 countries, with the top recipients being Saudi Arabia, South Korea, and Australia

Statistic 8

Australia intends to increase its defense budget to AUD 45 billion by 2025

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India’s defense budget reached $73 billion in 2023, marking a 6% increase from the previous year

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The largest military arms purchase in history was Saudi Arabia’s $110 billion deal with the U.S. in 2010

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The European Union's defense spending accounts for roughly 1.5% of its GDP, with plans to increase

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The United States has exported over $20 billion worth of military equipment to allies in the Middle East in 2022

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Approximately 55% of global arms exports are supplied by the U.S. and Russia combined

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The global arms industry is valued at approximately $500 billion as of 2022

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The global defense budget reached approximately $2.1 trillion in 2023

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The military aircraft sector is projected to reach $44 billion in revenue by 2025

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The largest arms manufacturer in the world is Lockheed Martin, with revenues over $63 billion in 2022

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The European defense industry has an estimated annual turnover of €300 billion

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The arms trade fair IDEX in Abu Dhabi attracts over 1,200 defense companies annually

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The global missile market is projected to reach $22 billion by 2030

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The total investment in military R&D globally was about $91 billion in 2022

Statistic 22

The U.S. military's procurement budget for new weapons grew by 8% in 2023, reaching nearly $150 billion

Statistic 23

Advanced weapon systems like hypersonic missiles are increasingly in demand, with the hypersonic missile market expected to grow at a CAGR of 9.2% through 2027

Statistic 24

The global defense electronics market is projected to reach $100 billion by 2025

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Russia’s military-industrial complex is estimated to generate over $30 billion annually

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The global battlefield robotics market is forecasted to reach $23 billion by 2026

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The global defense cyber security market is expected to grow to $17 billion by 2026

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The average cost of a modern fighter jet is around $85 million

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The global tactical military communications market is anticipated to reach $28 billion by 2025

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Italy’s defense industry has an annual turnover of about €19 billion

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The global laser weapon market is expected to grow at a CAGR of 11.8% through 2028, reaching $4.2 billion

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The U.K. defense sector's annual revenue is over £20 billion

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The total number of tank units worldwide is approximately 55,000

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The global defense market for autonomous systems was valued at $8 billion in 2021 and is expected to grow significantly

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The global biological and chemical defense market is projected to reach $7 billion by 2027

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About 70% of global arms exports are used in conflicts in the Middle East and North Africa

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The total amount spent globally on nuclear weapons programs exceeds $100 billion annually

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China’s production of small arms and light weapons exceeds 8 million units annually

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The global anti-drone market is anticipated to reach $2.5 billion by 2029

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Major defense contracts awarded in 2023 include deals worth over $10 billion for missile defense systems

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The size of the global defense electronics market was valued at approximately $52 billion in 2021

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The global military satellite market is projected to reach $15 billion by 2028

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The global small arms market is expected to reach $14 billion by 2027

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The global unmanned aerial vehicle (UAV) market is expected to reach $50 billion by 2028

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The global naval shipbuilding market is projected to hit $125 billion by 2027

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The number of active military personnel worldwide is estimated at around 20 million

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The defense industry employs over 1 million people worldwide

Statistic 48

The number of countries possessing nuclear weapons remains at nine, with some estimates suggesting modernization efforts for several arsenals

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Key Highlights

  • The global arms industry is valued at approximately $500 billion as of 2022
  • The United States accounts for about 39% of global arms exports
  • The top five arms-exporting countries—USA, Russia, China, France, and Germany—comprise around 75% of global arms exports
  • The global defense budget reached approximately $2.1 trillion in 2023
  • The military aircraft sector is projected to reach $44 billion in revenue by 2025
  • The number of active military personnel worldwide is estimated at around 20 million
  • The U.S. Department of Defense allocated about $778 billion in the 2023 fiscal year, making it the largest military budget globally
  • The global small arms market is expected to reach $14 billion by 2027
  • The largest arms manufacturer in the world is Lockheed Martin, with revenues over $63 billion in 2022
  • The European defense industry has an estimated annual turnover of €300 billion
  • China’s defense budget increased by 7.1% in 2023 to approximately $293 billion
  • The global unmanned aerial vehicle (UAV) market is expected to reach $50 billion by 2028
  • In 2022, NATO countries’ combined defense expenditure accounted for over 60% of global military spending

With the global arms industry worth a staggering $500 billion and the United States leading the charge, controlling nearly 39% of exports, this sprawling sector not only shapes international security but also fuels a complex web of geopolitical and economic interests worldwide.

Country-Specific Defense Spending and Export Data

  • The United States accounts for about 39% of global arms exports
  • The top five arms-exporting countries—USA, Russia, China, France, and Germany—comprise around 75% of global arms exports
  • The U.S. Department of Defense allocated about $778 billion in the 2023 fiscal year, making it the largest military budget globally
  • China’s defense budget increased by 7.1% in 2023 to approximately $293 billion
  • In 2022, NATO countries’ combined defense expenditure accounted for over 60% of global military spending
  • The conventional arms transfer agreement between the U.S. and Saudi Arabia has been over $60 billion since 2010
  • In 2022, the U.S. exported arms to over 100 countries, with the top recipients being Saudi Arabia, South Korea, and Australia
  • Australia intends to increase its defense budget to AUD 45 billion by 2025
  • India’s defense budget reached $73 billion in 2023, marking a 6% increase from the previous year
  • The largest military arms purchase in history was Saudi Arabia’s $110 billion deal with the U.S. in 2010
  • The European Union's defense spending accounts for roughly 1.5% of its GDP, with plans to increase
  • The United States has exported over $20 billion worth of military equipment to allies in the Middle East in 2022
  • Approximately 55% of global arms exports are supplied by the U.S. and Russia combined

Country-Specific Defense Spending and Export Data Interpretation

With the U.S. and Russia commanding over half of global arms exports, it's clear that while the world debates peace, these giants continue to fuel the military-industrial complex that keeps the global arms market thriving.

Defense Market and Industry Value and Size

  • The global arms industry is valued at approximately $500 billion as of 2022
  • The global defense budget reached approximately $2.1 trillion in 2023
  • The military aircraft sector is projected to reach $44 billion in revenue by 2025
  • The largest arms manufacturer in the world is Lockheed Martin, with revenues over $63 billion in 2022
  • The European defense industry has an estimated annual turnover of €300 billion
  • The arms trade fair IDEX in Abu Dhabi attracts over 1,200 defense companies annually
  • The global missile market is projected to reach $22 billion by 2030
  • The total investment in military R&D globally was about $91 billion in 2022
  • The U.S. military's procurement budget for new weapons grew by 8% in 2023, reaching nearly $150 billion
  • Advanced weapon systems like hypersonic missiles are increasingly in demand, with the hypersonic missile market expected to grow at a CAGR of 9.2% through 2027
  • The global defense electronics market is projected to reach $100 billion by 2025
  • Russia’s military-industrial complex is estimated to generate over $30 billion annually
  • The global battlefield robotics market is forecasted to reach $23 billion by 2026
  • The global defense cyber security market is expected to grow to $17 billion by 2026
  • The average cost of a modern fighter jet is around $85 million
  • The global tactical military communications market is anticipated to reach $28 billion by 2025
  • Italy’s defense industry has an annual turnover of about €19 billion
  • The global laser weapon market is expected to grow at a CAGR of 11.8% through 2028, reaching $4.2 billion
  • The U.K. defense sector's annual revenue is over £20 billion
  • The total number of tank units worldwide is approximately 55,000
  • The global defense market for autonomous systems was valued at $8 billion in 2021 and is expected to grow significantly
  • The global biological and chemical defense market is projected to reach $7 billion by 2027
  • About 70% of global arms exports are used in conflicts in the Middle East and North Africa
  • The total amount spent globally on nuclear weapons programs exceeds $100 billion annually
  • China’s production of small arms and light weapons exceeds 8 million units annually
  • The global anti-drone market is anticipated to reach $2.5 billion by 2029
  • Major defense contracts awarded in 2023 include deals worth over $10 billion for missile defense systems
  • The size of the global defense electronics market was valued at approximately $52 billion in 2021
  • The global military satellite market is projected to reach $15 billion by 2028

Defense Market and Industry Value and Size Interpretation

With a valuation soaring into hundreds of billions and strategic investments surpassing two trillion dollars, the global arms industry underscores that in modern geopolitics, the real war is often fought on balance sheets, with cutting-edge weapons and cyber defenses shaping the future battlefield.

Industry Value and Size

  • The global small arms market is expected to reach $14 billion by 2027
  • The global unmanned aerial vehicle (UAV) market is expected to reach $50 billion by 2028
  • The global naval shipbuilding market is projected to hit $125 billion by 2027

Industry Value and Size Interpretation

As the small arms market modestly lights up at $14 billion, UAVs soar toward $50 billion, and naval shipbuilding sails into a $125 billion horizon, the world’s arms industry undeniably continues its impressive journey from handheld threats to sprawling naval might.

Military Personnel, Procurement, and Capabilities

  • The number of active military personnel worldwide is estimated at around 20 million
  • The defense industry employs over 1 million people worldwide

Military Personnel, Procurement, and Capabilities Interpretation

With 20 million soldiers on the global battlefield and over a million jobs fueling the defense industry, it's clear that while armies grow in numbers, the industry behind their weapons is an equally powerful force shaping international priorities—and economies.

Nuclear and Chemical Defense, Cybersecurity, and Special Systems

  • The number of countries possessing nuclear weapons remains at nine, with some estimates suggesting modernization efforts for several arsenals

Nuclear and Chemical Defense, Cybersecurity, and Special Systems Interpretation

While the world's nuclear club remains exclusive at nine members, the ongoing modernization efforts hint that these arsenals are more about updating old secrets than disarming old fears.

Sources & References