Global Explosive
Ordnance Disposal (EOD) Equipment: Overview
The growing demand
for military ground robots has added a major revenue stream for the
explosive ordnance disposal equipment to look into. Military and law
enforcements bodies all over the world are showing a high interest in
implementing programmable EOD robots, as they are much safer than
manually defusing bombs and other explosives. The second factor
driving the explosive ordnance disposal equipment demand is therefore
the increase in terrorist attacks. With the high proportion of
militant groups performing organized and unorganized terror attacks,
defense agencies are required to ramp up their efforts to keep
civilian areas safe from attacks.
Owing to these
factors, the global explosive ordnance disposal (EOD) equipment
market is expanding at a CAGR of 4.6% between 2015 and 2023. This
market was valued at US$5.74 bn in 2014 and is expected to cross US$8
bn by the end of 2023. Key EOD equipment vendors include Scanna Msc
Ltd., Northrop Grumman Corporation, Safariland, LLC, and iRobot
Corporation.
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North America
Leads EOD Equipment Consumption
North America
contributed to 42.63% of the total revenue generated by explosive
ordnance disposal equipment players in 2014, making it the leading
region in terms of revenue share. It is expected to retain its top
position till 2023, owing to a high importance given to defense and
law enforcement activities by the U.S. government. North America has
invested heavily in soldier modernization, including through warfare
training and the provision of advanced equipment, including explosive
ordnance disposal equipment.
Among various EOD
equipment, North America is showing a particularly high growth in
demand for bomb containment and explosive detectors. The latter was
already the leading equipment segment in 2014 and is expected to
generate a higher demand due to its growing use in malls and
airports.
Defense EOD
Equipment Demand at All-time High
The defense sector
has consistently been the top consumer of EOD equipment. In 2014, the
defense sector contributed to 78.5% of the total revenue generated by
EOD equipment players. This market share is expected to increase even
further by 2023. A large number of countries, especially from
developed economic regions, are pushing for soldier modernization
programs that employ EOD robots as well as the use of other
counter-terrorism equipment and strategies. The defense sector’s
use for EOD equipment is especially high in urban warfare, where
terrorist attacks need to be dealt with swiftly and efficiently.
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Similar to the
global demand for EOD equipment, North America holds a high demand
for explosive detectors, portable X-ray systems, and EOD robots. Each
equipment type holds a special utility that can provide invaluable
support to military and law enforcement bodies to fight crime and
terrorist activities. For instance, portable X-ray systems are
intended to be used for the detection of hidden explosive devices.
Therefore, their main implementation lies in locations where a large
number of civilian population moves in and out, such as airports,
train stations and subways, and malls.
However, budget cuts
are expected to be a major restraint on explosive ordnance disposal
equipment players. It takes away the heavy investments made by
national governments, especially the U.S. government, seeing that the
U.S. is the top revenue generation avenue for explosive ordnance
disposal equipment companies.
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