Close-in Weapon Systems Market

Close-in Weapon Systems Market Analysis

The Close-in Weapon Systems Market size is estimated at USD 7.73 billion in 2025, and is expected to reach USD 12.01 billion by 2030, at a CAGR of 9.21% during the forecast period (2025-2030).

A close-in weapon system (CIWS) is designed to identify and neutralize incoming short-range missiles and enemy aircraft that have successfully penetrated the outer defense mechanisms. These systems are commonly utilized on naval vessels, and it should be noted that CIWS devices are present on a wide range of modern warships. Experts have pointed out that high-energy lasers now provide a cost-effective solution for targeting asymmetric threats such as unmanned aircraft and small attack boats, accomplishing this task at the speed of light and with exceptional accuracy.

The close-in weapon systems market is anticipated to be driven by a consistent increase in the global military fleet, internal and external security threats, technological innovations, aging global military fleet, joint ventures, and strategic alliances formed to address the specific requirements of the modernization initiatives undertaken by the global armed forces. Moreover, the growing instances of asymmetric warfare and the emphasis on developing advanced warfare systems are the main drivers for the market. However, the design and operational issues regarding the use of automated weaponry including CIWS may challenge the industry in the short term.

Close-in Weapon Systems Market Trends

Gun-Based Close-in Weapon Systems is Anticipated to Grow with the Highest CAGR During the Forecast Period

Gun-based close-in weapon systems are expected to experience substantial growth in the market throughout the projected period due to the rising demand for various gun-based close-in weapon systems (CIWS), such as Pantsir-M, DARDO, AK-630, Goalkeeper CIWS, Kashtan CIWS, Myriad CIWS, and others. A gun-based close-in weapon system (CIWS) often consists of radar systems, computational devices, and rapidly-firing, multi-barrel rotary cannons within a rotating turret. Furthermore, increasing expenditure on the defense sector and growing procurement of advanced weapons systems drive the market growth.

The Kashtan CIWS is predicted to garner attention in the coming years primarily because of its ample ammunition storage capacity and several advantages, including its ability to safeguard ships against anti-radar missiles, ASMs, and airborne threats from aircraft, among others. Furthermore, it possesses the capability to engage ground targets and smaller vessels. For example, in September 2021, China unveiled an innovative 11-barrel variant of its land-based 30mm air-defense system. Its mounted-trailer version seemingly improved for the point-defense of critical installations. The 1130 Types represent one of China's numerous gun-based naval CIWS.

North America to Dominate the Market During the Forecast Period

Utilization of close-in weapons systems (CIWS) in North America is currently a primary area of emphasis for both the US and Canada as they endeavor to enhance the capabilities of their existing military vehicles. The US, in particular, prioritizes modernizing its military systems to compete effectively with China and Russia on a global scale. Additionally, the US emphasizes the significance of day-to-day operations in ongoing conflicts, disaster response, and cooperation. It is anticipated that defense contractors will produce current CIWS models while conducting comprehensive research and development for future endeavors.

For instance, in April 2023, RTX Corporation secured a modification contract for the MK 15 close-in weapon system (CIWS). The US Naval Sea Systems Command has provided the award. The contract is expected to be completed by September 2026. Similarly, in May 2022, the Canadian military announced its plans to procure new ground-based air defense systems for USD 1 billion. The military has started the process of procuring a new high-tech system that will be capable of shooting down enemy aircraft, missiles, and drones. The weapons included highly capable close-in systems that could take down any adversary aircraft entering without authorization.

Close-in Weapon Systems Industry Overview

The close-in weapon systems market is consolidated due to the presence of a few players holding significant shares. Some of the key players in the market are RTX Corporation, Leonardo S.p.A, BAE Systems plc, THALES, and ASELSAN A.S. The growing demand for CIWS is fostering R&D for new optronics and sensor subsystems. Meanwhile, companies are trying to expand their geographical presence in emerging markets such as Asia-Pacific, along with a dedicated product portfolio for the CIWS systems.

For instance, RTX Corporation offers the Phalanx Weapon System, a rapid-fire, computer-controlled, radar-guided gun that can defeat anti-ship missiles and other close-in threats on land and at sea. With such dedicated systems, the company has established a prominent role as a popular provider of CIWS systems across various geographies of the market, with countries like South Korea anticipated to procure the systems in the coming future. Players from countries like India and Japan, among others, are looking to collaborate with foreign manufacturers to build the weapon systems, and this provides growth opportunities to the foreign players to enhance their geographical reach in the years to come.

Close-in Weapon Systems Market Leaders

Close-in Weapon Systems Market News

In April 2023, the US Navy delivered eleven MK 15 Phalanx Block 1B, a 20*102 mm Caliber-sized gun-based fast-reaction, detect-through-engage, radar-guided CIWS to Taiwan, and another two sets will arrive by the end of this year.

In March 2023, Raytheon Missiles and Defense, a US-based supplier of advanced technological military weapons, received a contract worth USD 1.1 billion for MK 15 close-in weapon system (CIWS) upgrades and conversions overhauls and associated hardware to the US Navy.