Summary
The Future of the French Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2021, published by Strategic Defence Intelligence, provides readers with detailed analysis of both historic and forecast defense industry values, factors influencing demand, the challenges faced by industry participants, analysis of industry leading companies, and key developments.
Key Findings
- Over the historic period, France's defense expenditure registered a CAGR of -3.48%, decreasing from US$54.4 billion in 2012 to US$47.2 billion in 2016
- France's military expenditure, estimated to value US$47.3 billion in 2017, is expected to increase marginally to reach US$48 billion by 2021, registering a CAGR of 0.38% over the forecast period
- The military expenditure of the country will be driven by the modernization of its armed forces and major participation in the peace keeping operations
- The Defense Ministry is expected to procure multi-role aircraft, transport aircraft, nuclear attack submarine, and frigates
Synopsis
This report offers detailed analysis of the French defense industry with market size forecasts covering the next five years. This report will also analyze factors that influence demand for the industry, key market trends, and challenges faced by industry participants.
In particular, it provides an in-depth analysis of the following:
- France defense industry market size and drivers: detailed analysis of the French defense industry during 2017-2021, including highlights of the demand drivers and growth stimulators for the industry. It also provides a snapshot of the country's expenditure and modernization patterns
- Budget allocation and key challenges: insights into procurement schedules formulated within the country and a breakdown of the defense budget with respect to the army, navy, and air force. It also details the key challenges faced by defense market participants within the country
- Porter's Five Force analysis of the French defense industry: analysis of market characteristics by determining the bargaining power of suppliers, bargaining power of buyers, threat of substitution, intensity of rivalry, and barriers to entry
- Import and Export Dynamics: analysis of prevalent trends in the country's imports and exports over the last five years
- Market opportunities: details of the top five defense investment opportunities over the coming 10 years
- Competitive landscape and strategic insights: Competitive landscape analysis of the French defense industry. It provides an overview of key players, together with insights such as key alliances, strategic initiatives, and a brief financial analysis
Reasons To Buy
- This report will give the user confidence to make the correct business decisions based on a detailed analysis of the French defense industry market trends for the coming five years
- The market opportunity section will inform the user about the various military requirements that are expected to generate revenues during the forecast period. The description includes technical specifications, recent orders, and the expected investment pattern by the country during the forecast period
- Detailed profiles of the top domestic and foreign defense manufacturers with information about their products, alliances, recent contract wins and financial analysis wherever available. This will provide the user with a total competitive landscape of the sector
- A deep qualitative analysis of the French defense industry covering sections including demand drivers, Porter's Five Forces Analysis, Key Trends and Growth Stimulators, and latest industry contracts
'
1 Introduction
1.1. What is this Report About?
1.2. Definitions
1.3. Summary Methodology
1.4. SDI Terrorism Index
1.5. About Strategic Defence Intelligence
2 Executive Summary
3 Market Attractiveness and Emerging Opportunities
3.1. Defense Market Size Historical and Forecast
3.1.1. French defense budget to grow at an estimated CAGR of 0.38% during 2017-2021
3.1.2. International peacekeeping operations contribution and the armed forces modernization drives the French defense industry
3.1.3. Defense budget as a percentage of GDP will remain at an average of 1.70% over the forecast period
3.2. Analysis of Defense Budget Allocation
3.2.1. Share of capital expenditure is expected to increase during the forecast period
3.2.2. Capital expenditure is anticipated to record a CAGR of 0.64% during the forecast period
3.2.3. Army accounted for the largest percentage share of the overall French defense budget
3.2.4. Army defense expenditure is estimated to reach US$26.7 billion in 2021
3.2.5. Air force defense expenditure expected to grow at a CAGR of 0.48% during 2017-2021
3.2.6. Naval expenditure is estimated to register a CAGR of 0.5%over the forecast period
3.2.7. Common services allocation is expected to increase over the forecast period
3.2.8. French Per-capita defense expenditure to increase during the forecast period
3.3. Homeland Security Market Size and Forecast
3.3.1. Homeland Security market in France is expected to grow at a CAGR of 1.16% during the forecast period
3.3.2. Counter terrorism activities, cyber security, police modernization, and gendarmerie drives the Homeland security expenditure of France
3.3.3. France falls under "highly affected" category in the terrorism index
3.3.4. France faces threats from terrorist organizations
3.3.5. France has a terrorism index score of 4.6
3.4. Benchmarking with Key Global Markets
3.4.1. France ranks among major Global Defense Markets
3.4.2. France is expected to remain among top 10 defense spending countries in the world
3.4.3. French defense budget as a percentage of GDP is expected to decline over the forecast period
3.5. Market Opportunities: Key Trends and Drivers
3.5.1. Infrastructure Construction
3.5.2. Multi-role Aircraft
3.5.3. Transport Aircraft
3.5.4. Nuclear attack submarines
3.5.5. Frigates
4 Defense Procurement Market Dynamics
4.1. Import Market Dynamics
4.1.1. Domestic companies are key supplier of equipment to French Ministry of Defense
4.1.2. Missiles and Aircraft accounted for a total share 63.1% in French defense imports
4.1.3. US, Spain, and the Netherlands are the major suppliers for France
4.2. Export Market Dynamics
4.2.1. France ranked fifth among the countries with the highest volume of defense exports
4.2.2. Asian countries are the major prospects for French defense exports
4.2.3. Aircraft accounted for the majority of French defense exports during 2011-2015
5 Industry Dynamics
5.1. Five Forces Analysis
5.1.1. Bargaining power of Supplier: Low
5.1.2. Bargaining power of Buyer: Medium
5.1.3. Barrier to entry: High
5.1.4. Intensity of rivalry: Medium to High
5.1.5. Threat of Substitution: Medium
6 Market Entry Strategy
6.1. Market Regulation
6.1.1. No formal offset policy in France
6.1.2. Foreign direct investment in the defense sector and transfer of defense-related products are subject to prior authorization
6.2. Market Entry Route
6.2.1. Foreign military sales (FMS) to France
6.2.2. Collaborations provide market entry opportunities
6.2.3. Joint equipment programs favored by the French government
6.3. Key Challenges
6.3.1. Increased preference for domestic and European defense companies impede the entry of non-European firms
6.3.2. Increased cost overruns and delay in product delivery
7 Competitive landscape and Strategic Insights
7.1. Competitive landscape Overview
7.2. Key Public Sector Companies
7.2.1. Dassault Aviation: Overview
7.2.2. Dassault Aviation: Major Products
7.2.3. Dassault Aviation: Recent Announcements and Strategic Initiatives
7.2.4. Dassault Aviation: Alliances
7.2.5. Dassault Aviation: Recent Contract Wins
7.2.6. Dassault Aviation: Financial Analysis
7.2.7. Thales: Overview
7.2.8. Thales: Major Products and Services
7.2.9. Thales: Recent Announcements and Strategic Initiatives
7.2.10. Thales: Alliances
7.2.11. Thales: Recent Contract Wins
7.2.12. Thales: Financial Analysis
7.2.13. Constructions Mécaniques de Normandie (CMN): Overview
7.2.14. Constructions Mécaniques de Normandie (CMN): Major Products and Services
7.2.15. Constructions Mécaniques de Normandie (CMN): Recent Announcements and Strategic Initiatives
7.2.16. Constructions Mécaniques de Normandie (CMN): alliances
7.2.17. Constructions Mécaniques de Normandie (CMN): Recent Contract Wins
7.2.18. EuroTorp: Overview
7.2.19. EuroTorp: Major products
7.2.20. EuroTorp: recent announcements and strategic initiatives
7.2.21. EuroTorp: Alliances
7.2.22. EuroTorp: Recent Contract Wins
7.2.23. Airbus Defense and Space: Overview
7.2.24. Airbus Defense and Space: Major Products and Services
7.2.25. Airbus Defense and Space: Recent Announcements and Strategic Initiatives.
7.2.26. Airbus Defense and Space: Alliances
7.2.27. Airbus Defense and Space: Recent Contract Wins
7.2.28. Safran Group: Overview
7.2.29. Safran Group: Major Products and Services
7.2.30. Safran Group: Recent Announcements and Strategic Initiatives
7.2.31. Safran Group: Alliances
7.2.32. Safran Group: Recent Contract Wins
7.2.33. Safran Group: Financial Analysis
7.2.34. Nexter Systems: Overview
7.2.35. Nexter Systems: Major Products and Services
7.2.36. Nexter Systems: Recent Announcements and Strategic Initiatives
7.2.37. Nexter Systems: Alliances
7.2.38. Nexter Systems: Recent Contract Wins
7.2.39. MBDA: Overview
7.2.40. MBDA: Major Products
7.2.41. MBDA: Recent Announcements and Strategic Initiatives
7.2.42. MBDA: Alliances
7.2.43. MBDA: Recent Contract Wins
7.2.44. Airbus Helicopters: overview
7.2.45. Airbus Helicopters: products and services
7.2.46. Airbus Helicopters: recent announcements and strategic initiatives
7.2.47. Airbus Helicopters: alliances
7.2.48. Airbus Helicopters: recent contract wins
7.2.49. DCNS: Overview
7.2.50. DCNS: Major Products and Services
7.2.51. DCNS: Recent Announcements and Strategic Initiatives
7.2.52. DCNS: Alliances
7.2.53. DCNS: Recent Contract Wins
7.2.54. DCNS: Financial Analysis
7.2.55. Renault Truck Defense: Overview
7.2.56. Renault Truck Defense: Major Products and Services
7.2.57. Renault Truck Defense: Recent Announcements and Strategic Initiatives
7.2.58. Renault Truck Defense: Alliances
7.2.59. Renault Truck Defense: Recent Contract Wins
8 Business Environment and Country Risk
8.1. Economic Performance
8.1.1. GDP per capita at constant prices (US$)
8.1.2. GDP at current prices (US$)
8.1.3. Exports of goods and services (LCU)
8.1.4. Imports of goods and services (LCU)
8.1.5. Gross national disposable income (US$ billion)
8.1.6. LCU per US$ (period average)
8.1.7. Market capitalization of listed companies (US$ billion)
8.1.8. Market capitalization of listed companies (% of GDP)
8.1.9. Government cash surplus/deficit asa percentage of GDP (LCU)
8.1.10. Goods exports and imports as a percentage of GDP
8.1.11. Services imports and exports as a percentage of GDP
8.1.12. Foreign direct investment, net (BoP, current US$ billions)
8.1.13. Net foreign direct investment as a percentage of GDP
8.2. Mineral
8.2.1. Mining, Manufacturing, Utilities Output (US$ billion)
9 Appendix
9.1. About SDI
9.2. Disclaimer
Table 1: France Defense Expenditure (€ billion and US$ billion), 2012-2021
Table 2: France GDP Growth and Defense Expenditure as Percentage of GDP Growth, 2012-2021
Table 3: France Defense Budget Split Between Capital and Revenue Expenditure (%), 2012-2021
Table 4: France Defense Capital Expenditure (€ billion and US$ billion), 2012-2021
Table 5: French Defense Budget Split Between Army, Navy, Air Force and Common Services, 2012-2021
Table 6: French Defense Expenditure for Army (€ billion and US$ billion), 2012-2021
Table 7: French Defense Expenditure for Air Force (€ billion and US$ billion), 2012-2021
Table 8: French Defense Expenditure for Navy (€ billion and US$ billion), 2012-2021
Table 9: French Common Services Expenditure (€ billionand US$ billion), 2012-2021
Table 10: French Per Capita Defense Expenditure (US$), 2012-2021
Table 11: France Homeland Security Expenditure (€ billionand US$ billion), 2012-2021
Table 12: SDI Terrorism Index, 2016
Table 13: Benchmarking with Key Markets - 2012-2016 vs. 2017-2021
Table 14: FMS deals to France
Table 15: French Participation in International Defense Equipment Development Collaborations
Table 16: Dassault Aviation - Alliances
Table 17: Dassault Aviation - Recent Contract Wins
Table 18: Thales - Major Products and Services
Table 19: Thales - Alliances
Table 20: Thales - Recent Contract Wins
Table 21: Constructions Mécaniques de Normandie (CMN) - Alliances
Table 22: Constructions Mécaniques de Normandie (CMN) - Recent Contract Wins
Table 23: EuroTorp - Alliances
Table 24: EuroTorp - Recent Contract Wins
Table 25: Airbus Defense and Space - Major Products and Services
Table 26: Airbus Defense and Space - Alliances
Table 27: Airbus Defense and Space - Recent Contract Wins
Table 28: Safran Technologies - Products
Table 29: Safran Group - Alliances
Table 30: Safran Group - Recent Contract Wins
Table 31: Nexter Systems - Major Products
Table 32: Nexter Systems - Alliances
Table 33: Nexter Systems - Recent Contract Wins
Table 34: MBDA - Major Products
Table 35: MBDA - Alliances
Table 36: MBDA - Recent Contract Wins
Table 37: Airbus Helicopters- Product focus
Table 38: Airbus Helicopters - Alliances
Table 39: Airbus Helicopters - Recent Contract Wins
Table 40: DCNS - Major Products and Services
Table 41: DCNS - Alliances
Table 42: DCNS - Recent Contract Wins
Table 43: Renault Truck Defense - Major Products and Services
Table 44: Renault Truck Defense - Alliances
Table 45: Renault Truck Defense - Recent Contract Wins
Figure 1: France Defense Expenditure (€billion), 2012-2021
Figure 2: France Defense Expenditure (US$ Billion), 2012-2021
Figure 3: France GDP Growth and Defense Expenditure as Percentage of GDP Growth,2012-2021
Figure 4: France Defense Budget Split Between Capital and Revenue Expenditure (%),2012-2021
Figure 5: France Defense Capital Expenditure (€billion), 2012-2021
Figure 6: France Defense Capital Expenditure (US$ Billion), 2012-2021
Figure 7: French Defense budget Split Between Army, Navy, Air Force and Common Services, 2012-2021
Figure 8: French Army Expenditure (€ billion), 2012-2021
Figure 9: French Defense Expenditure for Army (US$ billion), 2012-2021
Figure 10: French Defense Expenditure for Air Force (€ billion), 2012-2021
Figure 11: French Defense Expenditure for Air Force (US$ billion), 2012-2021
Figure 12: French Defense Expenditure for Navy (€billion), 2012-2021
Figure 13: French Defense Expenditure for Navy (US$ Billion), 2012-2021
Figure 14: French Defense Expenditure for Common Services (€billion), 2012-2021
Figure 15: French Defense Expenditure for Common Services (US$ Billion), 2012-2021
Figure 16: French Per Capita Defense Expenditure (US$), 2012-2021
Figure 17: French Homeland Security Expenditure (€ billion), 2012-2021
Figure 18: French Homeland Security Expenditure (US$ billion), 2012-2021
Figure 19: SDI Terrorism Heat Map, 2016
Figure 20: SDI Terrorism Index, 2016
Figure 21: Benchmarking with Key Markets, 2012-2016 vs. 2017-2021
Figure 22: Defense Expenditure of the World's Largest Military Spenders (US$ billion),2016 and 2021
Figure 23: Defense Expenditure as a Percentage of GDP of Largest Military Spenders (%), 2016
Figure 24: Infrastructure Construction Market Size (US$ Million), 2016 -2026
Figure 25: Multi-Role Aircraft Market Size (US$ Million), 2016 -2026
Figure 26: Transport Aircraft Market Size (US$ Million), 2016 -2026
Figure 27: Submarine-Nuclear Attack Market Size (US$ Million), 2016-2026
Figure 28: Frigates Market Size (US$ Million), 2016-2026
Figure 29: French Defense Import Trend (US$ Million), 2011-2015 (TIV values*)
Figure 30: French Defense Imports by Category (%), 2011-2015
Figure 31: French Defense Imports by Country (%), 2011-2015
Figure 32: French Defense Export Trend (US$ Million), 2011-2015 (TIV values)
Figure 33: French Defense Exports by Country (%), 2011-2015
Figure 34: : French Defense Exports by Category (%), 2011-2015
Figure 35: Industry Dynamics - Porter's Five Forces Analysis
Figure 36: Dassault Aviation - Revenue Trend Analysis (€ Billion), 2011-2015
Figure 37: Dassault Aviation - Operating Profit Trend Analysis (€ Million), 2011-2015
Figure 38: Dassault Aviation - Net income Trend Analysis (€ Million), 2011-2015
Figure 39: Thales - Revenue Trend Analysis (€ Billion), 2011-2015
Figure 40: Thales - Operating Profit Trend Analysis (€ Million), 2011-2015
Figure 41: Thales - Net Profit Trend Analysis (€ Million), 2011-2015
Figure 42: Safran Group - Revenue Trend Analysis (€ Billion), 2011-2015
Figure 43: Safran Group - Operating Profit Trend Analysis (€ Million), 2011-2015
Figure 44: Safran Group - Net Profit Trend Analysis(€ Million), 2011-2015
Figure 45: DCNS - Revenue Trend Analysis (€ Billion), 2011-2015
Figure 46: DCNS - Operating Profit Trend Analysis (€ million), 2011-2015
Figure 47: DCNS - Net Profit Trend Analysis (€ million), 2011-2015
Figure 48: French GDP Per Capita at Constant Prices (US$), 2015-2025
Figure 49: France GDP at Current Prices (US$ Billion), 2015-2025
Figure 50: French Exports of goods and services (LCU), 2005-2014
Figure 51: French Imports of goods and services (US$), 2005-2014
Figure 52: French Gross national disposable income (US$ billion), 2005-2013
Figure 53: French LCU per US$, 2015-2024
Figure 54: French market capitalization of listed companies (US$ billion), 2005-2012
Figure 55: French market capitalization of listed companies (% of GDP), 2005-2012
Figure 56: French Government cash surplus/deficit as % of GDP (LCU), 2005-2012
Figure 57: France- Goods exports and imports as a % of GDP (%), 2005-2014
Figure 58: French Services imports and exports as a % of GDP (%), 2005-2014
Figure 59: French Foreign direct investment, net (BoP, current US$ billion), 2005-2014
Figure 60: French Net foreign direct investment as % of GDP, 2005-2014
Figure 61: French Mining, Manufacturing, Utilities Output (US$ billion), 2005-2014
Dassault Aviation
Thales
Constructions Mécaniques de Normandie (CMN)
EuroTorp
Airbus Defense and Space
Safran group
Nexter Systems
MBDA
Airbus Helicopters
DCNS
Renault Truck Defense.
