RADAR SYSTEM MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2025-2032)

Global Radar System Market Size and Forecast – 2025-2032

The Global Radar System Market is estimated to be valued at USD 36.17 Bn in 2025 and is expected to reach USD 53.32 Bn by 2032, exhibiting a compound annual growth rate (CAGR) of 5.7% from 2025 to 2032.

Key Takeaways of the Global Radar System Market:

• The airborne segment is expected to lead the market holding an estimated share of 38.7% in 2025.
• The long range segment is projected to dominate with a share of 48.7% in 2025.
• North America is estimated to lead the market with a share of 39.8% in 2025. Asia Pacific, holding a share of 27.6% in 2025, is projected to be the fastest growing region.

Market Overview:

The radar system market is witnessing a significant trend towards the development and deployment of advanced radar technologies, such as phased array radar, synthetic aperture radar (SAR), and passive radar systems. These technologies offer improved detection capabilities, higher resolution, and better situational awareness. Also, the use of artificial intelligence and machine learning algorithms in radar systems will improve their performance and enable more efficient data processing and decision-making.

Current Events and Its Impact

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Segmental Insights

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Global Radar System Market Insights, by Platform – Airborne segment leads due to the increasing demand for advanced surveillance and reconnaissance capabilities

The airborne segment is expected to dominate the global radar system market, holding a share of 38.7% in 2025. Airborne radar systems offer several advantages over ground-based and naval systems, including wider coverage, higher mobility, and the ability to detect targets at longer ranges.

The increasing adoption of unmanned aerial vehicles (UAVs) for different applications, such as border surveillance, disaster management, and environmental monitoring is adding to segment growth. UAVs equipped with advanced radar systems can provide high-resolution imagery and data, enabling better decision-making and faster response times.

Governments and defense organizations worldwide are investing heavily in the procurement and upgradation of airborne radar systems to strengthen their defense capabilities and maintain a strategic advantage over potential adversaries. The increasing geopolitical tensions and territorial disputes are also contributing to the growth of the airborne radar systems segment.

Global Radar System Market Insights, by Range – Long range leads due to the growing demand for early warning and long-range surveillance capabilities

The long range segment is expected to dominate the global radar system market, holding a share of 48.7% in 2025, primarily driven by the increasing need for early warning and long-range surveillance capabilities in military and defense applications. Long-range radar systems offer several advantages, such as the ability to detect and track targets at greater distances, providing more time for decision-making and response.

One of the key factors driving the growth of the long range segment is the increasing focus on border security and maritime surveillance. Countries, such as the U.S., are investing in long-range radar systems to monitor their borders and coastal areas effectively, combating threats such as illegal immigration, smuggling, and piracy.

The development of cutting-edge technologies, such as gallium nitride (GaN) based radar systems and passive radar systems, is further propelling the growth of the long range segment. These technologies offer enhanced performance, improved reliability, and reduced power consumption compared to traditional radar systems.

The Role of Artificial Intelligence (AI) in the Global Radar System Market

Artificial Intelligence (AI) is reshaping the global radar system market by driving innovation, improving system efficiency, and enabling intelligent decision-making. Traditionally reliant on manual interpretation and static algorithms, radar systems are now evolving into adaptive, self-learning platforms due to AI integration.

AI enables radar systems to distinguish between objects—such as aircraft, drones, birds, or weather anomalies—with higher precision. Using machine learning (ML) algorithms, modern radar systems can analyze patterns, reduce false alarms, and prioritize threats in real time. This is especially critical in defense, where rapid, accurate decision-making can have tactical and strategic consequences.

Hensoldt, a defense electronics company, has developed the TwinScan radar system which integrates AI algorithms for threat recognition and adaptive beamforming. Designed for both airborne and ground-based platforms, TwinScan uses AI to filter clutter, identify potential targets, and prioritize threats based on movement patterns and trajectory prediction.

Regional Insights:

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North America Radar System Market Analysis and Trends

North America, holding a share of 39.8% in 2025, is expected to dominate the global radar system market. The region boasts a robust market ecosystem, with a strong presence of major defense contractors and technology companies. Moreover, North America's well-established trade relationships and export policies have facilitated the global expansion of its radar system manufacturers.

Notable companies in North America, such as Lockheed Martin, Raytheon Technologies, and Northrop Grumman, have made significant contributions to the radar system market. These companies have been at the forefront of developing cutting-edge radar technologies and have a strong market presence both domestically and internationally.

Asia Pacific Radar System Market Analysis and Trends

The Asia Pacific region, holding a share of 27.6% in 2025, is expected to exhibit the fastest growth in the global radar system market. The rapid economic growth, increasing defense expenditure, and rising demand for advanced surveillance and monitoring systems have been the primary drivers of market expansion in this region.

Countries like China, India, Japan, and South Korea have made significant investments in modernizing their defense capabilities, including the adoption of advanced radar systems. The growing geopolitical tensions and territorial disputes in the region have further fueled the demand for sophisticated radar technologies for border surveillance and maritime security.

Global Radar System Market Outlook for Key Countries:

U.S. Radar System Market Analysis and Trends

The U.S. radar system market remains highly competitive, with major players, such as Lockheed Martin, focusing on innovation and technological advancements. The country's defense sector continues to be a significant driver of radar system development, with the U.S. Department of Defense investing heavily in research and procurement of advanced radar technologies.

China Radar System Market Analysis and Trends

China radar system market has experienced remarkable growth in recent years, driven by the country's increasing defense budget and focus on military modernization. The Chinese government's "Made in China 2025" initiative has further boosted the domestic development and production of radar systems. Chinese companies, such as China Electronics Technology Group Corporation (CETC) and China Aerospace Science and Industry Corporation (CASIC), have emerged as key players in the market, offering a wide range of radar solutions for military and civilian applications.

India Radar System Market Analysis and Trends

India continues to be a promising market for radar systems, driven by the country's ambitious defense modernization plans and increasing investments in border surveillance and air defense capabilities. The Indian government's "Make in India" initiative has encouraged local production and collaborations with foreign radar system manufacturers. Indian companies, such as Bharat Electronics Limited (BEL) and Tata Power Strategic Engineering Division (SED), have been actively involved in the development and manufacturing of radar systems for both domestic and export markets.

Japan Radar System Market Analysis and Trends

Japan radar system market is characterized by a strong focus on technological innovation and the development of advanced radar solutions for defense and civilian applications. Japanese companies, such as Mitsubishi Electric Corporation and Toshiba Corporation, have been at the forefront of radar system development, offering cutting-edge technologies for air traffic control, weather monitoring, and maritime surveillance. Japan's expertise in semiconductor and electronics manufacturing has also contributed to its competitive edge in the radar system market.

U.K. Radar System Market Analysis and Trends

The U.K. radar system market is driven by the country's robust defense industry and its focus on developing advanced radar technologies for military and civilian applications. The U.K. government's commitment to maintaining a strong defense capability has led to significant investments in radar system research and procurement. British companies, such as BAE Systems and Thales UK, have been instrumental in developing and supplying radar systems for both domestic and international markets. The U.K.'s expertise in radar technology has also been leveraged in various civilian applications, such as air traffic management and maritime surveillance.

Market Players, Key Development, and Competitive Intelligence

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Key Developments:

• On May 6, 2025, Raytheon, an RTX business, successfully completed the first flight test of its PhantomStrike radar on its Multi-Program Testbed aircraft in Ontario, California (U.S.)
• In April 2025, Lockheed Martin, a defense equipment provider, delivered the first U.S. Air Force TPY-4 radar after successfully completing Early Phase Testing, marking a significant milestone for the Three-Dimensional Expeditionary Long-Range Radar (3DELRR) program.
• In April 2025, The Swedish Defence Materiel Administration (FMV) signed an agreement with Thales for the delivery of the Thales Ground Master 200 Multi-Mission Compact radar (GM200 MM/C).
• In August 2024, Northrop Grumman received a USD 200 million contract to provide a deep space radar capability to U.S. Space Force.

Top Strategies Followed by Global Radar System Market Players

• Established players are investing heavily in R&D to develop advanced radar technologies, such as phased array radar, cognitive radar, and quantum radar. By continuously innovating and improving their products, these players aim to maintain their competitive edge and meet the evolving needs of their customers.
  • Raytheon Technologies, a global leader in defense and aerospace, has invested significantly in the development of the AN/SPY-6 family of radars—advanced phased array systems capable of simultaneous air and missile defense operations.

• Mid-level players are developing quality products that offer good performance at affordable prices. By offering budget-friendly alternatives to high-end radar systems, mid-level players are catering to the needs of customers who have limited financial resources.
  • India-based Bharat Electronics Limited develops cost-effective 3D and coastal surveillance radars that serve regional defense needs across Asia Pacific and Africa.

• Small-scale players are developing unique features or innovative products that cater to specific market segments or applications. By targeting niche markets, small-scale players can create a loyal customer base and establish themselves as experts in their chosen field.
  • Israel-based tech startup, Arbe Robotics has carved a niche in the automotive radar segment, offering ultra-high-resolution 4D imaging radar systems designed specifically for autonomous vehicles.

Market Report Scope

Global Radar System Market Report Coverage

Global Radar System Market Dynamics

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Global Radar System Market Driver - Rising defense budgets and military modernization programs

The global radar system market is significantly influenced by the increasing defense budgets and ongoing military modernization programs across various countries. Governments worldwide are allocating substantial funds to enhance their defense capabilities, with a focus on acquiring advanced radar systems for improved surveillance, threat detection, and combat readiness. The modernization initiatives encompass the upgrading of existing radar infrastructure and the procurement of state-of-the-art radar technologies to strengthen national security.

The U.S. Department of Defense has allocated billions toward upgrading its naval fleet with AN/SPY-6 radar systems developed by Raytheon Technologies. These next-generation radars are being installed on Arleigh Burke-class destroyers and future ships to significantly enhance air and missile defense capabilities.

As countries seek to bolster their border protection, airspace monitoring, and maritime surveillance, the demand for cutting-edge radar systems continues to rise.

Global Radar System Market Opportunity - Growing Use of Radar in Autonomous Vehicles

The increasing adoption of autonomous vehicles presents a significant opportunity for the global radar system market. Radar technology plays a crucial role in enabling autonomous vehicles to perceive their surroundings, detect obstacles, and make real-time decisions for safe navigation. As the demand for self-driving cars continues to grow, the integration of automotive radar systems becomes essential. Radar systems provide accurate and reliable data, even in challenging weather conditions or low-visibility situations, making them a preferred choice for autonomous vehicle manufacturers.

For example, in 2023, Tesla filed patents for a new imaging radar technology to improve vehicle perception, moving away from camera-only solutions.

Analyst Opinion (Expert Opinion)

• Geopolitical instability—particularly tensions involving North Atlantic Treaty Organization (NATO) and the Indo-Pacific region (e.g., China-Taiwan, South China Sea)—has triggered a global increase in defense budgets. Nations are fast-tracking radar procurements for air defense, missile tracking, and early warning systems.
• In response to perceived threats and reliance concerns, countries like India, Japan, and EU members are investing in indigenous radar technologies to reduce import dependency. At the same time, strategic defense collaborations (e.g., AUKUS, EU-NATO radar projects) are reshaping the competitive landscape, enabling joint development programs that expand technological capabilities while tightening export controls.
• While defense radar demand is rising, civil applications (e.g., automotive radar, air traffic control upgrades) in conflict-affected or high-tension regions are likely to experience delays or budget reallocations. Governments prioritizing defense spending often defer infrastructure projects.

Market Segmentation

• Platform Insights (Revenue, USD Bn, 2020 - 2032)
  • Airborne
  • Ground-based
  • Naval
  • Space-based
•  Range Insights (Revenue, USD Bn, 2020 - 2032)
  • Long Range
  • Medium Range
  • Short Range
• Regional Insights (Revenue, USD Bn, 2020 - 2032)
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Italy
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East
    • GCC Countries
    • Israel
    • Rest of Middle East
  • Africa
    • South Africa
    • North Africa
    • Central Africa
• Key Players Insights
  • Lockheed Martin Corporation
  • Raytheon Technologies Corporation
  • Northrop Grumman Corporation
  • Thales Group
  • Saab AB
  • BAE Systems
  • Leonardo S.p.A.
  • L3Harris Technologies
  • Israel Aerospace Industries (IAI)
  • Mitsubishi Electric Corporation
  • Indra Sistemas
  • Hansoldt
  • Rohde & Schwarz
  • Honeywell International Inc.
  • Elbit Systems Ltd.

Sources

Primary Research Interviews

Stakeholders

• Defense Procurement Officers (e.g., Ministry of Defense Representatives, Program Managers)
• Radar System Manufacturers (e.g., Lockheed Martin, Northrop Grumman, Saab)
• Military Systems Integrators and Tactical Equipment Suppliers
• Aerospace OEMs and Tier-1 Suppliers
• Electronic Warfare and Surveillance Specialists
• Automotive OEM Radar System Leads (e.g., ADAS Specialists from Tesla, Continental)
• Autonomous Vehicle System Developers
• Air Traffic Management Experts and Aviation Safety Regulators

Databases

• European Defence Agency (EDA)
• U.S. Department of Defense (DoD) Procurement Data
• Global Aviation Database
• Japan Ministry of Defense Reports
• Indian Defence Research and Development Organisation (DRDO) Archives

Magazines

• Defense Technology Weekly
• Electronic Warfare Journal
• Global Aerospace & Defense Outlook
• Next-Gen Mobility Radar Magazine
• Autonomous Systems Digest

Journals

• IEEE Transactions on Aerospace and Electronic Systems
• Journal of Defense Technology and Policy
• International Journal of Radar Systems and Applications
• Autonomous Vehicles and Sensor Integration Journal
• Journal of Strategic Military Innovation

Newspapers

• Defense News (U.S.)
• The Times of Defense (UK)
• Asia-Pacific Security Journal
• Auto Tech Newswire
• The Japan Times: Aerospace & Defense Edition

Associations

• International Radar Systems Association (IRSA)
• Global Association for Defense Technology Integration (GADTI)
• Automated Vehicle Radar Alliance (AVRA)
• Airborne Surveillance and Radar Operators Group (ASROG)
• International Council for Military Technology Standardization (ICMTS)

Public Domain Sources

• U.S. Census Bureau
• EUROSTAT
• United Nations Economic Commission for Europe (UNECE)
• World Bank
• ResearchGate

Proprietary Elements

• CMI Data Analytics Tool
• Proprietary CMI Existing Repository of information for last 8 years