US Ammunition Market Statistics and Industry Outlook

The US Ammunition Market is projected to grow from USD 6.93 billion in 2026 to USD 12.13 billion in 2031 at a CAGR of 11.9% during the forecast period. The market is driven by capacity ramp-ups at domestic production facilities and accelerated contract awards for artillery and tactical munitions. The rise in export demand from allied nations and continued funding support under long-term defense appropriations further augment the market growth in the US.

KEY TAKEAWAYS
By caliber, the large-caliber ammunition segment is projected to be the most dominant during the forecast period.
By end user, the military segment is expected to register the highest CAGR of 12.4% between 2026 and 2031.
In terms of guidance, the non-guided segment accounted for a 92% share of the US ammunition market in 2025.
General Dynamics, CSG and Northrop Grumman were identified as some of the star players in the US ammunition market, given their strong market share and product footprint.
The US Ammunition Industry is witnessing strong demand due to high defense spending, ongoing stockpile replenishment, and the expansion of domestic production capacity. Moreover, steady procurement of conventional and advanced munitions to maintain military readiness and support allied requirements and the increasing focus on strengthening supply chain resilience and reducing dependence on foreign suppliers will drive the market.

TRENDS & DISRUPTIONS IMPACTING CUSTOMERS' CUSTOMERS
The impact on trends/disruptions on customers’ customers in the US ammunition market is driven by requirements for large-caliber artillery replenishment, guided and extended-range ammunition, and tank and direct-fire munition modernization across active operational theaters. Rapid expansion of domestic production capacity and allied co-production programs accelerate the need for energetics, fuze systems, and projectile manufacturing capabilities. Ongoing modernization programs within the US Army and Marine Corps also boost the demand for precision mortar, medium-caliber rounds, and air defense munitions to counter evolving aerial threats.

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