The growing demand for APUs from armies around the world and the rising trend of modernizing armed forces and their vehicles are the main factors driving the global Auxiliary Power Unit (APU) for the Military Vehicle market. APUs can now be more energy-efficient thanks to technological developments, which have contributed to continued growth in demand. Additionally, it is anticipated that the market will benefit from rising military spending globally over the course of the projected period.

Auxiliary Power Units (APUs) are crucial for the military vehicle market since they support the provision of electrical and mechanical power to numerous systems aboard military vehicles including main battle tanks (MBTs), self-propelled howitzers (SPHs), tactical vehicles, etc. Military vehicles benefit from improved performance as a result, which improves their fuel efficiency and speed. APUs are employed for environmental reasons as well, as they lessen emissions from military vehicles. APUs are also growing in popularity as a result of their affordability and energy efficiency.

APU for Military Vehicles is a device used to supply electrical and mechanical power to various systems on board military vehicles including main battle tanks (MBT), self-propelled howitzers (SPHs), tactical vehicles, etc. APUs are typically compact devices that are generally powered by either gas or diesel turbines. Military vehicles are often utilized to power various systems such the heating, cooling, lighting, and other electrical equipment. These gadgets make military vehicles use less fuel overall while also giving the crew onboard a quieter working environment.

By 2031, the market for auxiliary power units (APUs) for military vehicles is expected to be worth around USD 650.0 million, growing at a CAGR of 5.5% over the forecast period. This expansion is linked to rising military spending, technical development, and the demand for energy-efficient solutions.

Although the market for auxiliary power units (APU) for military vehicles is expected to expand globally, there are several limitations the sector must overcome. The difficulty in obtaining APUs due to export restrictions and their expensive price have been major roadblocks to the market's expansion. Environmental rules that are too strict could also hurt the demand for APUs. The difficulty of creating, developing, and testing the system only heightens the difficulty. Additionally, there is a gap in the market for qualified specialists, which may be challenging to fill over time. These elements could limit this market's expansion during the anticipated time frame.

Therefore, to maintain their competitiveness in the market, vendors should concentrate on resolving these issues and creating novel solutions. The global market for auxiliary power units (APUs) for military vehicles is expected to grow throughout the projected period as a result of major governments' rising military and defense spending. This market's expansion is anticipated to be fueled by rising demand for sophisticated APUs with enhanced characteristics like greater fuel efficiency, reduced noise levels, and enhanced power output.

COVID-19 Impact and Market Status

Major changes have been made to the market for auxiliary power units (APUs) for military vehicles as a result of the COVID-19 epidemic. This is mostly because of supply chain interruptions, production facility closures, and delays in transportation services, among other things. Government budget cuts for the military as a result of the economic slump are also anticipated to have a negative short-term impact on the market. Despite these obstacles, the market for APUs for military vehicles is anticipated to bounce back and experience consistent expansion throughout the forecast period as a result of rising defense system modernization investments and growing attention to energy-efficient technologies.

Segment Analysis

The 11-20 kW Type emerged as the Most Booming Segment

The market for auxiliary power units (APUs) for military vehicles has been divided into three categories based on type: below 10 kW, between 11 and 20 kW, and above 20 kW. Due to its widespread use in MBTs, SPHs, and tactical vehicles, the 11-20 kW segment is anticipated to hold the biggest market share in 2021 and will continue to rule the industry throughout the forecast period.

The Most Prominent Application is the Main battle tanks (MBT) Sector

Self-propelled howitzers (SPH), Main battle tanks (MBT), and tactical vehicles make up the three application-based segments of the global auxiliary power unit (APU) for the military vehicles market. Due to the rising demand for high-tech military vehicles, the MBT segment is anticipated to hold the largest market share among these. Due to significant investments in R&D for military vehicle modernization programs, this category is anticipated to increase at the quickest rate during the projection period.

The North American Region to render Ample Revenue Opportunities

Six geographic areas, namely North America, South America, Asia Pacific, Europe, and the Middle East & Africa, have been used to assess the global market for auxiliary power units (APUs) for military vehicles. Due to rising defense spending in the area, North America is anticipated to lead the global APU for the military vehicle market over the forecast period.

The leading companies in the world's market for auxiliary power units (APUs) for military vehicles are United Technologies Corporation (US), Tognum AG (Germany), Liebherr Group (Switzerland), Meggitt PLC (UK), Siemens AG (Germany), Woodward, Inc. (US), MTU Friedrichshafen GmbH (Germany), and Rolls-Royce Holdings plc (UK). Consequently, the research offers a thorough analysis of the industry along with a look at how the competitive landscape is developing. It offers a thorough examination of the markets for various product categories, uses, and geographical areas.

Recent Developments in the Auxiliary Power Unit (APU) for Military Vehicle Market

•   To deliver energy savings and operational efficiency, Honeywell introduced a new auxiliary power unit (APU) for the military vehicle market in April 2020. The APUs are built to function in temperatures as high as -40 degrees Celsius and as low as +55 degrees Celsius.
•   MTU Friedrichshafen introduced its first S3000 engine for auxiliary power units (APUs) for the military vehicle market in June 2020.
•   Rolls-Royce introduced its AE2100J engine in December 2020, which was created specifically for auxiliary power units (APUs) for military vehicles. Without changing the essential parts, the engine can run on diesel, JP8+100 fuel, and even biofuel.

Auxiliary Power Unit (APU) for Military Vehicle Market Scope

Key Segments of the Global Auxiliary Power Unit (APU) for Military Vehicle Market

By Type Overview, 2021-2031 (USD Billion)

• 10 KW and Below
• 11-20 KW
• above 20 KW

By Application Overview, 2021-2031 (USD Billion)

• Main Battle Tanks (MBT)
• Self-Propelled Howitzers (SPH)
• Tactical Vehicles
• Others

By Regional Overview, 2021-2031 (USD Billion)

North America

• U.S
• Canada

Europe

• Germany
• France
• UK
• Rest of Europe

Asia Pacific

• China
• India
• Japan
• Rest of Asia Pacific

South America

• Mexico
• Brazil
• Rest of South America

Middle East and Africa