Short-Range Air Defense System Market (2025-2031) | Revenue, Size, Trends, Companies, Outlook, Analysis, Forecast, Growth, Industry, Value & Share

Short-Range Air Defense System Market Highlights

Report Name	Short-Range Air Defense System Market
Forecast Period	2025-2031
Market Size	USD 166 billion by 2031
CAGR	6.8%
Growing Sector	Military

Topics Covered in the Short-Range Air Defense System Market Report

Short-Range Air Defense System Market report thoroughly covers the By Types and Regions. The market report provides an unbiased and detailed analysis of the ongoing market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.

 Short-Range Air Defense System Market Size and Analysis

The short-range air defence (SHORAD) system market is projected to grow at a significant rate between 2025 and 2031. By 2025, the market size is estimated to reach approximately $7.5 billion, fueled by escalating geopolitical tensions and advancements in defence technologies. Over the forecast period, the market is expected to register a compound annual growth rate (CAGR) of around 6.8%, leading to a valuation of nearly $11.9 billion by 2031. This growth will primarily be driven by increased adoption of AI-enabled SHORAD systems and greater investments by key players in emerging sensor technologies, ensuring more efficient and accurate threat detection and interception.

Short-Range Air Defense System Market Synopsis

The short-range air defence (SHORAD) system market is characterized by its dynamic growth trajectory and evolving technological landscape. SHORAD systems are critical components of modern military strategies, designed to provide rapid response and protection against low-altitude aerial threats such as drones, helicopters, and missiles. These systems incorporate cutting-edge technologies, including radar systems, electro-optical tracking, and artificial intelligence, to enhance situational awareness and interception capabilities.

According to 6Wresearch, the short-range Air Defence System Market is anticipated to grow at a CAGR of 6.8% during the forecast period 2025-2031. The short-range air defense (SHORAD) system market is driven by the increasing threat of aerial attacks and the need to protect critical infrastructure and military assets. With the rising deployment of unmanned aerial vehicles (UAVs), drones, and advanced missile technologies, nations are prioritizing investments in SHORAD systems to ensure rapid response capabilities against these evolving threats. Advancements in radar technologies, integration with modern command and control systems, and the growing adoption of mobile and adaptable defense systems are also spurring short-range Air Defence System Market growth.

However, the market faces certain challenges, including high development and procurement costs, as well as the complexity involved in integrating SHORAD systems with existing defense infrastructure. Additionally, the rapidly changing landscape of air threat technologies requires continuous innovation, which can strain budgets and resources for some nations. Despite these challenges, growing geopolitical tensions and the need for robust defense systems continue to drive the demand for SHORAD solutions globally.

Short-Range Air Defense System Market Trends

The  market for short-range air defence (SHORAD) systems is witnessing significant growth, driven by the increasing demand for effective solutions to counter emerging aerial threats such as drones, UAVs, and precision-guided munitions. One notable trend is the rising focus on modular and mobile SHORAD systems, as militaries seek flexible and rapidly deployable solutions capable of protecting critical assets in dynamic operational environments.

Additionally, advancements in radar and sensor technologies are enhancing the detection and tracking capabilities of SHORAD systems, making them more effective against low-observable and high-speed threats.Another emerging trend is the integration of multi-layered defence architectures, which combine SHORAD systems with medium and long-range air defence assets to create comprehensive protection. This approach emphasizes interoperability and seamless communication across platforms to address the increasingly complex nature of modern battlefield scenarios. Furthermore, the use of directed-energy weapons, such as lasers, is gaining prominence as these technologies mature, promising cost-effective and precise options for countering low-cost threats like swarms of drones.

Investment Opportunities in the Short-Range Air Defense System Market  

The  SHORAD market offers a wealth of investment opportunities driven by technological advancements, evolving security dynamics, and increasing defence budgets. Technological innovation, including AI-driven systems and radar-agnostic solutions, presents avenues for investors seeking to capitalize on cutting-edge technologies that enhance detection, tracking, and interception capabilities. Additionally, the growing demand for mobile and modular SHORAD systems provides a significant opportunity for companies prioritizing innovation in scalable and adaptable defence platforms.

Leading Players in the Short-Range Air Defense System Market

The short-range air defence (SHORAD) system market is highly competitive, with several prominent players driving innovation and market growth. Key industry leaders include Raytheon Technologies, Rafael Advanced Defence Systems, Lockheed Martin Corporation, and Northrop Grumman Corporation. These companies are at the forefront of developing cutting-edge technologies, including advanced radar systems, missile platforms, and automation capabilities. Other significant contributors are MBDA, Thales Group, Saab AB, and BAE Systems, which are leveraging their expertise to address evolving defence requirements.

Government Regulations

The Short-Range Air Defence market is significantly influenced by government regulations, which shape the development, procurement, and deployment of defence systems. Regulations often focus on ensuring compliance with safety standards, interoperability requirements, and export controls designed to safeguard sensitive technologies. Governments also maintain strict oversight to prevent the proliferation of weapon systems to unauthorized entities, prioritizing national security and international stability. Furthermore, domestic policies and defence procurement standards often give preference to locally developed solutions, fostering indigenous manufacturing and innovation. These regulations, while stringent, play a crucial role in maintaining ethical standards and promoting strategic alignment between defence contractors and national interests.

Future Insights of the Short-Range Air Defense System Market

The SHORAD system market is projected to witness substantial growth in the coming years, driven by ongoing advancements in technology and increasing global security concerns. The incorporation of artificial intelligence (AI) and machine learning (ML) is expected to play a pivotal role in enhancing threat detection and response capabilities, allowing for more precise targeting and reduced reaction times. Additionally, the development of directed-energy weapons, such as laser-based systems, is likely to revolutionize the SHORAD landscape by offering more cost-effective and efficient alternatives to traditional armaments.

Market Segmentation Analysis

The report offers a comprehensive study of the subsequent market segments and their leading categories.

Stationary/platform-mounted air-defence systems to Dominate the Market- By Types

According to Ashutosh, Senior Research Analyst, 6Wresearch, stationary/platform-mounted air-defence systems are projected to take the lead in the long-term evolution of the market. These systems' ability to integrate cutting-edge technologies, such as AI-enabled targeting, advanced radar systems, and network-centric interoperability, offers a level of sophistication that MANPADS cannot match.

North America to Dominate the Market- By Regions

North America is expected to lead in the air-defence systems market due to its robust defence budgets and advanced technological capabilities. The region's focus on modernizing military infrastructure and incorporating cutting-edge defence technologies ensures a competitive advantage.

Key Attractiveness of the Report

• 10 Years of Market Numbers.
• Historical Data Starting from 2021 to 2024
• Base Year: 2024
• Forecast Data until 2031
• Key Performance Indicators Impacting the Market
• Major Upcoming Developments and Projects

Key Highlights of the Report:

• Short-Range Air Defence System Market Overview
•  Short-Range Air Defence System Market Outlook
•  Short-Range Air Defence System Market Forecast
• Historical Data of  Short-Range Air Defence System Market Revenues & Volume for the Period 2021-2031
•  Short-Range Air Defence System Market Size and  Short-Range Air Defence System Market Forecast of Revenues & Volume, Until 2031
• Historical Data of  Short-Range Air Defence System Market Revenues and Volume, By Types, for the Period 2021-2031
• Market Size & Forecast of  Short-Range Air Defence System Market Revenues and Volume, By Types, Until 2031
• Historical Data of North America Short-Range Air Defence System Market Revenues and Volume, for the Period 2021-2031
• Market Size & Forecast of North America Short-Range Air Defence System Market Revenues and Volume, Until 2031
• Historical Data of Europe Short-Range Air Defence System Market Revenues and Volume, for the Period 2021-2031
• Market Size & Forecast of Europe Short-Range Air Defence System Market Revenues and Volume, Until 2031
• Historical Data of Asia Pacific Short-Range Air Defence System Market Revenues and Volume, for the Period 2021-2031
• Market Size & Forecast of Asia Pacific Short-Range Air Defence System Market Revenues and Volume, Until 2031
• Historical Data of MEA Short-Range Air Defence System Market Revenues and Volume, for the Period 2021-2031
• Market Size & Forecast of MEA Short-Range Air Defence System Market Revenues and Volume, Until 2031
• Market Drivers and Restraints
•  Short-Range Air Defence System Market Price Trends
•  Short-Range Air Defence System Market Trends and Industry Life Cycle
• Porter’s Five Force Analysis
• Market Opportunity Assessment
•  Short-Range Air Defence System Market Share, By Regions
•  Short-Range Air Defence System Market Share, By Players
•  Short-Range Air Defence System Market Overview on Competitive Benchmarking
• Company Profiles
• Key Strategic Recommendations

Markets Covered

The market report covers a detailed analysis of the following market segments:

By Types

• Man-portable air-defence systems
• Stationary/platform-mounted air-defence systems

By Regions

• North America
• Europe
• Asia-Pacific Region
• Middle East & Africa & Rest of World