Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
The X-band radar is radar wave that ranges between 8.0 GHz and 12 GHz. X-band is the designation for the band of frequencies in the electromagnetic spectrum and microwave radio region. These radars are extensively used in different sectors as they can be installed on smaller antennas on boats and land to provide better target detection. X-band radar is classified into two types of namely mobile X-band radar and sea-based X-band radar. Generally, sea-based X-band radar is installed on an artificial tower in sea. Moreover, X-band radar is self-propelled and is typically used as a part of ballistic missile defense system.
The global X-band radar market is estimated to account for US$ 5,122.5 Mn in 2018 and is expected to grow at a CAGR of 3.8% during the forecasted period (2019-2027)
Market Dynamics- Driver
- Increasing need for advanced security and surveillance system worldwide is expected to drive growth of the global X-band radar market during the forecast period
Governments of countries around the world seek constant, 24/7 security and surveillance, in order to keep people safe from external well as internal threats. This has led to key manufacturers in the market to develop novel aerospace and defense equipment that can identify any kind of distant threat objects. Radars play a key role in these systems for surveillance, navigation, and other applications. For instance, in February 2016, Northrop Grumman introduced SYERS-2 radar, in order to fulfill the security and intelligence requirements of the U.S. government.
- Growing importance of climate and weather predictions is expected to propel the global X-band radar market growth during the forecast period.
X-band radars have crucial role in weather and climate predictions and are widely used meteorically and climatological applications. Moreover, it can identify and warn potential threats regarding tornadoes, local storms, high winds, and intense rains. X-band radar also finds major applications in aviation safety where it enhances operational efficiency in the air transport industry. Furthermore, it provides vital alerts regarding floods through constant monitoring of rainfall. Thus, growing use of radar for climate and weather predictions and aviation safety are expected to fuel the market growth in the near future.
North America region dominated the global X-band radar market in 2018, accounting for 34.8% share in terms of value, followed by Asia Pacific and Europe, respectively
Source: Coherent Market Insights
Market Dynamics- Restraints
- Variety of targets limit the capabilities of X-band radar, which in turn, is expected to restrain growth of the global X-band radar market over the forecast period
Generally, X-band radar is placed close to coastal environment though it needs to detect target that is on land, airborne, or pop up targets from nearby land areas. For instance, helicopters, unmanned air vehicles, submarine periscope, and small fast craft have different kinematics and physical abilities. Such diverse cases limit the capabilities of X-band radars in detecting them. Moreover, X-band radar’s field vision is significantly narrow, i.e. 25 degrees as compared to conventional radars with 90-120 degree range. This, in turn, is expected to restrain the market growth over the forecast period.
- Failure in adjusting quickly to track a flow of separate missiles is expected to hinder the global X-band radar market growth over the forecast period
Sea-based X-band radar can be assisted by land-based early warning radar if there is a potential attack. These radars can help X-band radars by identifying definite location for the sea-based X-band radar to focus on. However, these radars fail in aiming and re-aiming the giant radar’s beam as it is a clumsy process. This leads to inefficiency of X-band radar to bend quickly enough to track range different missiles.
- Increased operational process over land-based X-band radar is expected to boost the demand for sea-based X-band radar
Installation of land-based X-band radars in foreign nations other than home nation is time consuming due to complex legal issues associated with it. On the contrary, installing sea-based X-band radars is less time-consuming and easier. This, in turn, is expected to boost the demand for X-band radar. For instance, installing land-based X-radar system in Alaska or negotiating with other governments for using their lands is cumbersome and time-consuming as compared to installing sea-based radars.
- Significant growth of global defense market is expected to pose lucrative growth opportunities
The global defense and aerospace markets are growing at a steady pace, which is expected to offer lucrative growth opportunities for market players in the region. This growth has increased the demand for radars from both defense and aerospace industry. Market players can offer novel products to gain significant share over the forecast period.
Source: Coherent Market Insights
In Global X-band radar market, by system component segment, command and control system sub segment dominated the global X-band radar market in 2018, accounting for 60.1% share in terms of value, followed by communication system, respectively.
Source: Coherent Market Insights
- Semi-submersible X-band radar has witnessed significant demand in the recent past and this trend is likely to continue in the near future
The sea-based semi-submersible X-band radar is installed on a stand with a height of over 250 feet. It is comprised of semi-submersible oil production platform with X-band radar. In this, the X-band radar is the primary payload with the support of ground-based defense of the ballistic missile defense system.
- Smaller vessels are adopting multi capability radar
During war or combat scenarios, situational alertness and potential threat detection are extremely crucial. This demand is fulfilled by the installation of multi-functionality radar that is being typically adopted by naval forces and commercial merchants for smaller vessels. These multi-capability radars are lightweight and offer high performance. Moreover, these radars are enhanced for maritime security operations and can cover entire search volume for 24 hours.
Value Chain Analysis
Key companies operating in the global X-band radar market are Israel Aerospace Industries Ltd., Saab Group, Northrop Grumman Corporation, Japan Radio Company Limited, Reutech Radar Systems (RRS), Furuno Electric Co., Ltd., Raytheon Company, Terma A/S, Detect Inc., and ProSensing, Inc.
- Key companies in the market are focused on gaining project contracts, in order to enhance their market presence. For instance, in July 2019, Northrop Grumman received a follow-on engineering contract from the U.S. Navy to serve as the design agent for the AN/SPQ-9B surface search and fire control radar.
- Major players in the market are focused on research and development, in order to gain competitive edge in the market. For instance, in September 2019, Raytheon Company received a US$ 500 million contract for R&D of two types of advanced surveillance radar systems from the Missile Defense Agency.