Future of the Japanese Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2019

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This report is the result of  extensive market and company research covering the Japanese defense industry, and provides detailed analysis of both historic and forecast defense industry values including key growth stimulators, analysis of the leading companies in the industry, and key news.

The Future of the Japanese Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2018 offers the reader an insight into the market opportunities and entry strategies adopted by foreign original equipment manufacturers (OEMs) to gain market share in the Japanese defense industry.

The threats of North Korea's long-range ballistic missiles and China's maritime intrusion have prompted Japan to focus on fortifying its own defense capabilities. Although Japan's defense budget registered a decline of 3.56% over the review period, this trend will change in the coming years. Over the forecast period, the Japanese defense budget will increase from US$47.5 billion in 2015, to US$49.1 billion in 2019. The majority of the defense budget is to be spent on revenue expenditure, which includes personnel salaries, operational expenses, training, and development. 

 

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Capital expenditure accounted for a 19.4% share of the overall defense budget in 2014, and includes the procurement of military equipment, material expenses, RandD expenses, aircraft acquisition, and shipbuilding. Over the review period, the army received 37.4% of the overall budget, while the navy and air force received shares of 23.4% and 22.3% respectively. The remainder of the budget is allocated for other defense expenditure such as intelligence, joint staff, the National Defense Academy, the National Defense Medical College, the National Institute for Defense Studies, the Technical Research and Development Institute, the Equipment Procurement and Construction Office, and the Inspector General Office of Legal Compliance.

 

 

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