Infrared Countermeasures Systems

Global Infrared Countermeasures Systems Market to Reach US$7.9 Billion by 2030

The global market for Infrared Countermeasures Systems estimated at US$5.4 Billion in the year 2024, is expected to reach US$7.9 Billion by 2030, growing at a CAGR of 6.6% over the analysis period 2024-2030. Directional Infrared Countermeasures, one of the segments analyzed in the report, is expected to record a 7.3% CAGR and reach US$4.1 Billion by the end of the analysis period. Growth in the Man-Portable Air Defense Systems countermeasures segment is estimated at 7.0% CAGR over the analysis period.

The U.S. Market is Estimated at US$1.5 Billion While China is Forecast to Grow at 10.5% CAGR

The Infrared Countermeasures Systems market in the U.S. is estimated at US$1.5 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$1.6 Billion by the year 2030 trailing a CAGR of 10.5% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 3.2% and 6.5% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 4.4% CAGR.

Global Infrared Countermeasures Systems Market – Key Trends & Drivers Summarized

Infrared Countermeasures Systems: Enhancing Defense Against Missile Threats

The infrared countermeasures (IRCM) systems market has experienced significant growth due to rising security threats, increasing military expenditures, and technological advancements in defense systems. Infrared countermeasures are critical for protecting aircraft, ground vehicles, and naval assets from heat-seeking missiles, which pose a significant threat in modern warfare. These systems utilize infrared technology to detect, track, and disrupt incoming threats, reducing the likelihood of successful attacks.

As asymmetric warfare tactics evolve, the demand for advanced IRCM solutions has surged. Governments worldwide are investing in directed infrared countermeasures (DIRCM) and expendable infrared countermeasures (EICM) to enhance defensive capabilities. Additionally, ongoing geopolitical tensions and regional conflicts have prompted nations to strengthen their military aircraft and vehicle defense systems. The integration of artificial intelligence (AI) and machine learning (ML) in infrared countermeasure technologies is further improving threat detection accuracy and response times.

How Are Technological Advancements Transforming Infrared Countermeasures?

One of the most significant advancements in IRCM technology is the development of DIRCM systems. Unlike traditional flare-based countermeasures, DIRCM systems use laser-based technology to target and neutralize infrared-guided threats. This technology provides a more precise and reliable method of countering missile threats, particularly for military and VIP aircraft. Recent innovations have led to compact and lightweight DIRCM solutions, enabling seamless integration with various platforms, including helicopters, fighter jets, and commercial aircraft.

Another key trend is the integration of AI and ML in infrared countermeasure systems. These technologies enhance threat identification and response efficiency by analyzing infrared signatures in real-time and adapting to new missile threats. AI-driven predictive analytics allow IRCM systems to anticipate attack patterns and adjust countermeasure strategies accordingly. Additionally, improved sensor technologies, such as multi-spectral infrared detectors, are increasing the detection range and accuracy of countermeasure systems.

Advancements in fiber-optic and quantum cascade laser (QCL) technologies have also contributed to the evolution of infrared countermeasures. These innovations have enabled higher-powered lasers with improved targeting precision and reduced power consumption. The increasing miniaturization of electronic components and energy-efficient laser modules is allowing for the deployment of infrared countermeasures on a broader range of defense platforms, including unmanned aerial vehicles (UAVs) and ground-based assets.

What Are the Key Challenges in Expanding Infrared Countermeasures Adoption?

Despite its rapid advancement, the infrared countermeasures market faces several challenges, including high development and procurement costs. The sophisticated nature of DIRCM and EICM technologies requires substantial research and investment, making them costly for defense budgets, particularly in emerging economies. Additionally, the integration of IRCM systems into existing defense platforms often involves extensive modifications, increasing the overall deployment costs.

Another significant challenge is the continuous evolution of missile technology. Adversaries are developing more advanced infrared-guided missiles with counter-countermeasure capabilities, necessitating constant upgrades to IRCM systems. The race between countermeasure development and missile technology advancements poses an ongoing challenge for defense agencies and military contractors.

Regulatory and export restrictions on infrared countermeasure technologies also impact market expansion. Many nations impose strict regulations on the export and transfer of defense-grade IRCM systems to prevent their misuse. These restrictions limit market opportunities for defense manufacturers and create barriers for international collaborations.

What Is Driving the Growth of the Infrared Countermeasures Systems Market?

The growth in the infrared countermeasures systems market is driven by several factors, including the increasing need for aircraft protection, advancements in laser-based defense technologies, and the expansion of military modernization programs. One of the primary drivers is the rising threat of infrared-guided missile attacks on military and commercial aircraft. The widespread availability of man-portable air-defense systems (MANPADS) has heightened the necessity for effective countermeasure solutions.

Additionally, government initiatives and defense contracts are fueling market expansion. Several nations are actively investing in research and procurement programs to enhance their defensive capabilities against infrared-guided threats. The expansion of aircraft fleets in both the military and commercial sectors has also contributed to the growing adoption of IRCM systems.

The increasing integration of IRCM technologies into UAVs and autonomous defense platforms is another significant driver. As UAVs play a more prominent role in reconnaissance and combat operations, equipping them with infrared countermeasure systems enhances their survivability in contested environments. Furthermore, the trend towards modular and scalable IRCM solutions is making it easier for defense agencies to upgrade and customize their countermeasure capabilities based on mission-specific requirements.

As technological advancements continue to reshape the defense landscape, the infrared countermeasures market is expected to witness sustained growth, driven by increasing defense budgets, evolving threats, and the continuous innovation of countermeasure technologies.

SCOPE OF STUDY:

The report analyzes the Infrared Countermeasures Systems market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Technology (Directional Infrared Countermeasures, Man-Portable Air Defense Systems countermeasures, Self-Protection Suite, Laser-based systems); Component (Sensors, Laser jammer, Control systems, Decoy flares); Application (Jamming, Missile defense, Counter countermeasure); End-Use (Military & defense, Commercial)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Select Competitors (Total 47 Featured) -

• Aselsan A.S.
• BAE Systems plc
• Chemring Group PLC
• Elbit Systems Ltd.
• Elettronica S.p.A.
• Excelitas Technologies Corp.
• General Dynamics Corporation
• Israel Aerospace Industries Ltd.
• ITT Inc.
• L3Harris Technologies, Inc.
• Leonardo S.p.A.
• Lockheed Martin Corporation
• MBDA
• Northrop Grumman Corporation
• Rafael Advanced Defense Systems Ltd.
• Raytheon Technologies Corporation
• Saab AB
• Textron Systems
• Thales Group
• WaveLink Inc.

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.

Please note: Reports are sold as single-site single-user licenses. Electronic versions require 24-48 hours as each copy is customized to the client with digital controls and custom watermarks. The Publisher uses digital controls protecting against copying and printing is restricted to one full copy to be used at the same location.

The latest version of Adobe Acrobat Reader is required to view the report. Upon ordering an electronic version, the Publisher will provide a link to download the purchased report.

Prior to fulfillment of an order, the client will be required to sign a document detailing the purchase terms for a publication from this publisher.