European defense modernization is the single largest demand growth catalyst in the global defense market. Total NATO defense expenditure reached $1.4 trillion in 2025. McKinsey projects European defense spending rising to EUR 800 billion by 2030. The European Commission reports defense equipment procurement of EUR 88 billion in 2024. European defense ETFs climbed 78% in 2025. Russia's invasion of Ukraine has depleted munitions stocks across the alliance, driving urgent procurement of artillery rounds, air defense interceptors, and precision-guided munitions. BAE Systems acquired Ball Aerospace for $5.5 billion, positioning for both space and allied defense demand.
This report provides significant competitor information, analysis, and insight critical to the development and implementation of effective marketing and R&D programs.
Topics Covered
• European Defense Market Size and Forecast 2025-2030 by Segment and Country
• Air Defense — SAMP/T, Patriot, NASAMS, IRIS-T, and Next-Generation Systems
• Munitions — Artillery Ammunition, Precision-Guided Munitions, and Missile Replenishment
• Command and Control — Digital C2, Battle Management, and Interoperability
• ISR — Manned, Unmanned, and Space-Based Intelligence Systems
• European Defence Fund and EDIRPA — Programs, Funding, and Industrial Implications
• National Defense Budgets — Germany, France, UK, Poland, and Emerging Spenders
• Competitive Landscape — European Primes, U.S. Suppliers, and Allied Partnerships
• Investment and Partnership Opportunities — Program Capture and Industrial Collaboration
Table of Contents
1. Executive Summary
2. Market Overview
3. European Defense Market Size and Forecast 2025-2030 by Segment and Country
4. Air Defense
5. Munitions
6. Command and Control
7. ISR
8. European Defence Fund and EDIRPA
9. National Defense Budgets
10. Competitive Landscape
11. Regional Market Analysis
12. Strategic Conclusions and Recommendations
13. Appendix
List of Tables
Table 1. Defense Modernization in Europe — Market Size and Forecast 2025-2030
Table 2. Defense Modernization in Europe — Market Size by Segment 2025
Table 3. Defense Modernization in Europe — Market Size by Region 2025-2030
Table 4. Defense Modernization in Europe — Key Demand Drivers and Impact Assessment
Table 5. Defense Modernization in Europe — Technology and Segment Growth Comparison 2025-2030
Table 6. Defense Modernization in Europe — Market Share by Leading Supplier 2025
Table 7. Defense Modernization in Europe — Recent M&A and Partnership Activity 2023-2025
Table 8. Defense Modernization in Europe — North America Market Size and Forecast 2025-2030
Table 9. Defense Modernization in Europe — Europe Market Size and Forecast 2025-2030
Table 10. Defense Modernization in Europe — Asia-Pacific Market Size and Forecast 2025-2030
Table 11. Defense Modernization in Europe — Investment Opportunity Assessment by Segment
Table 12. Defense Modernization in Europe — Key Risks and Mitigation Strategies
Companies Profiled
Airbus
BAE Systems
Boeing
GE Aerospace
General Dynamics
L3Harris Technologies
Leonardo
Lockheed Martin
Northrop Grumman
RTX
