The US Guns and Ammunition Market Research Report: Forecast (2024-2030)

Market Definition

A gun is a portable firearm designed to fire projectiles, such as bullets or shells, via a controlled explosion. Guns are classified into two types: handguns and long guns, and they are used for a variety of purposes, including self-defense, sport shooting, and military applications. Ammunition, also known as "ammo," is the entire assembly of a firearm cartridge or shell, which includes the bullet or shot, powder, primer, and casing. It is the consumable component that enables firearms to function.

Market Insights & Analysis: The US Guns and Ammunition Market (2024-30):

The US Guns and Ammunition Market is estimated to grow at a CAGR of around 2.3% during the forecast period, i.e., 2024-30. The surge in demand for guns & ammunition stems from a heightened awareness of personal safety and a growing desire for self-defense in the US. Concerns regarding rising crime rates, home invasions, and instances of violence have fostered a sense of vulnerability, prompting individuals to seek means of self-protection. This heightened demand has been further intensified by the impact of the COVID-19 pandemic & civil unrest, which contributed to an increased focus on personal safety & self-defense. This turned into the higher adoption of guns & ammunition in the country during 2019-2023.

According to the Federal Bureau of Investigation, gun purchases surged to nearly 21 million in 2020, reflecting a notable 26% growth from 2016 and about 61% rise over 2019. It has been observed that gun sales skyrocketed in the year of the US presidential elections, as the residents were insecure about the change of gun laws post elections.  

Furthermore, the country is experiencing a rise in frequent mass shootings due to factors such as mental health issues & social alienation. In response to the perceived threat of mass shootings, individuals are increasingly acquiring guns as a precautionary measure to safeguard themselves & their communities. This has boosted the expansion of the market in recent years. Additionally, the media's coverage of mass shootings & their aftermath contributes to a sense of vulnerability, influencing public perception & shaping attitudes toward firearm ownership, further contributing to the market growth.

Moreover, amid ongoing geopolitical tensions, the US has escalated its investments in advanced weapon systems and ammunition to match the increasing capabilities of China and Russia on the battlefield. Additionally, active participation in NATO missions abroad is also generating substantial demand for diverse ammunition types. Hence, these factors are expected to boost the US Guns and Ammunition Market development in the upcoming years.

The US Guns and Ammunition Market Driver:

Surge in Military Spending to Accelerate the Market Growth – In recent years, the US has seen a notable increase in defense spending due to factors like the Russia-Ukraine conflict and geopolitical uncertainties in the Middle East. The decision by the US government to offer military assistance to Ukraine has played a crucial role in the increase, ensuring global stability. Substantial financial aid and support have been directed towards reinforcing the Ukrainian military. According to the Stockholm International Peace Research Institute (SIPRI), US defense spending witnessed a substantial increase of approximately USD71 billion from 2021 to 2022. As a result, there is a heightened demand for firearms and ammunition within the country's defense sector, contributing to the expansion of the US Guns and Ammunition Market.

Furthermore, the escalating challenges posed by China and Russia on the global stage have also become pivotal drivers behind the increased US defense investment in modernization efforts, including gun & ammunition procurement. Thus, the growing investment in military modernization would increase the requirement for advanced guns & ammunition in the forecast period.

The US Guns and Ammunition Market Opportunity:

Escalating Expansion of Military Presence in Asia to Create New Profitable Avenues – The rising expansion of the US military presence in Asia and the Middle East presents an opportunity for the US Guns and Ammunition Market in the forecast years. The swift military expansion of China, coupled with territorial assertions in the South China Sea and its position on Taiwan, has prompted the United States to view China as a substantial challenge to the Western-dominated international order.

As a result, the US aims to strengthen its alliances & partnerships in the region to ensure stability, safeguard its interests, and counterbalance the influence of other major powers. For instance, in 2023, the US & Philippines announced the expansion of America’s military presence in the South Asian countries. Furthermore, as the US increases its military presence, there would be a surge in military procurement, including firearms & ammunition for the armed forces, which would generate opportunities, further aiding in enhancing the market size in the coming years.

The US Guns and Ammunition Market Challenge:

Changing Regulatory Landscape & Rising Public Safety Concerns to Hamper the Industry – Concerns about public safety, particularly arising from high-profile incidents involving firearms, such as mass shootings, are creating challenges for the US Guns and Ammunition Market. The growing number of tragic events amplify the urgent need for addressing the risks associated with widespread firearm ownership. Mass shootings, in particular, spark national conversations about the accessibility of firearms and the potential gaps in the existing regulatory framework.

These incidents arouse deep public empathy & fear, prompting calls for stricter gun control measures as a means to prevent future tragedies. The push for enhanced regulations often results in a more stringent legal environment for the gun industry, impacting everything from background checks to the types of firearms available to the public. Thus, growing public safety concerns, along with new regulations, would hamper the market in the coming years.

The US Guns and Ammunition Market Trend:

Introduction of Smart Gun is a Major Trend in the Market –  The major gun and ammunition manufacturers, such as BioFire, Ammo Inc., FN Herstal, etc., are introducing smart technologies like biometric recognition or RFID technology in their guns and ammunition. For instance, in 2023, Biofire developed ‘smart guns’ that use biometric identification, which would only allow authorized persons to fire.

Furthermore, the incorporation of biometric & RFID technologies enhances the safety features of firearms, leading to a perception of increased safety among potential buyers. Hence, this is attracting individuals who may have been hesitant due to safety concerns, thereby expanding the US Guns and Ammunition Market. Additionally, smart guns' ability to restrict operation to authorized users’ addresses concerns about unauthorized access & use. This feature contributes to preventing theft and unauthorized usage, appealing to consumers who prioritize secure firearm ownership. Therefore, the introduction of smart guns is contributing to the expansion of the market.

The US Guns and Ammunition Market (2024-30): Segmentation Analysis

The US Guns and Ammunition Market study by MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2024–2030 at the national levels. In accordance to the analysis, the market has been further classified as:

Based on Lethality:

• Lethal
• Non-Lethal

Lethal Weapons is anticipated to capture a significant share of the US Guns and Ammunition Market in the projected years. This is due to the rise in high-profile incidents of school shootings & other violent occurrences that have heightened safety concerns. These growing tragic events create a sense of vulnerability within communities, prompting a call for measures to enhance security & protect students. As a result, schools in the US are increasingly hiring security staff carrying firearms to tighten their security measures. According to the US Department of Education, the percentage of security staff in the public school has increased to about 65% in 2019-20 compared to the previous academic year.

Moreover, the rise in global terrorism has prompted the nation to actively participate in the international arms trade. Thus, the rising adoption of US defense products & weaponry by allied countries would make lethal weapons one of the most adopted weapons in the years ahead.

Based on Application:

• Defense
• Security Services
• Civilians

The Defense Sector dominated the US Guns and Ammunition Market in the previous years and is projected to experience further growth during the forecast period as well. With a rising involvement in global alliances, the US has become a sought-after source for allied nations seeking to bolster their military capabilities through American defense products. This collaborative approach fueled the demand for guns and ammunition in the defense application. Additionally, heightened geopolitical tensions and evolving security threats on a global scale are expected to drive the US defense sector's share of advanced firearms and ammunition in the coming years.

The US Gun & Ammunition Industry Recent Development:

• 2023: Sig Sauer declared to expand its pistol range with P322-COMP, an enhanced version of its P322 model.
• 2023: FN Herstal planned to build an arms plant worth USD33 million in Liberty Town. The plant is expected to break ground in 2024 and start operations in 2025.

Gain a Competitive Edge with Our US Guns and Ammunition Market Report

• The US Guns and Ammunition Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
• The US Guns and Ammunition Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.