1 Introduction 1.1 What is this Report About? 1.2 Definitions 1.3 Summary Methodology 1.4 ICD Research Terrorism Index 1.5 About ICD Research 1.6 About Strategic Defense Intelligence 2 Executive Summary 3 Market Attractiveness and Emerging Opportunities 3.1 Defense Market Size Historical and Forecast 3.1.1 German annual defense expenditure to reach US$XX billion by 2016 3.1.2 Defense expenditure driven by factors such as security of EU, peacekeeping initiatives and A400M development program 3.1.3 Defense expenditure as a percentage of GDP expected to decrease 3.2 Analysis of Defense Budget Allocation 3.2.1 Majority of defense budget allocated for the acquisition of advanced technology and equipment 3.2.2 Air force receives largest capital expenditure allocation 3.2.3 Capital expenditure for army is expected to increase 3.2.4 Capital expenditure of air force is expected to decrease 3.2.5 Naval capital expenditure is set to increase 3.2.6 R&D expenditure is expected to increase 3.3 Homeland Security Market Size and Forecast 3.3.1 Homeland security budget US$XX billion for 2010 3.3.2 Preventive defense measures used to counter terrorism threat 3.3.3 Germany has a moderate threat of terrorism 3.4 Benchmarking with Key Global Markets 3.4.1 German defense budget growth expected to be negligible over the forecast period 3.4.2 Germanys rank of the sixth-largest defense spender set to decline 3.4.3 Germany allocates XX% of its GDP for defense expenditure 3.5 Market Opportunities: Key Trends and Growth Stimulators 3.5.1 Demand for heavy lift helicopters to increase 3.5.2 Increased spending on Interactive Defense and Attack System for Submarines weapons 3.5.3 Demand for medium-altitude long-endurance (MALE) UAVs will increase 3.5.4 Germany plan to procure armored vehicles will increase business opportunities 4 Defense Procurement Market Dynamics 4.1 Import Market Dynamics 4.1.1 Network centric warfare capability for peacekeeping initiatives drive defense imports 4.1.2 Netherlands and the US are Germanys main arms suppliers 4.2 Export Market Dynamics 4.2.1 Superior defense technology and strong trade relationships with other countries will continue to drive defense exports 4.2.2 Germanys arms exports grew during 20052010 4.2.3 Germany is the third-largest arms exporter globally 4.2.4 Ships and armored vehicles are the main exported defense products 5 Industry Dynamics 5.1 Five Forces Analysis 5.1.1 Bargaining power of supplier: low 5.1.2 Bargaining power of buyer: high 5.1.3 Barrier to entry: low 5.1.4 Intensity of rivalry: low 5.1.5 Threat of substitution: low 6 Market Entry Strategy 6.1 Market Regulation 6.1.1 Investment policy promotes XX% FDI in the defense industry 6.2 Market Entry Route 6.2.1 Foreign defense OEMs form large conglomerates to enter the market 6.2.2 Foreign OEMs establish subsidiaries or form JV to enter the industry 6.3 Key Challenges 6.3.1 The European debt crisis will negatively affect defense procurements 6.3.2 Modernization of military through downsizing existing systems and personnel 6.3.3 German arms exports to large defense markets outside EU are minimal 7 Competitive Landscape and Strategic Insights 7.1 Competitive Landscape Overview 7.1.1 Foreign OEMs have strong collaborations with domestic defense firms 7.2 Key Domestic Companies 7.2.1 Heckler & Koch: overview 7.2.2 Heckler & Koch: products and services 7.2.3 Heckler & Koch: recent announcements and strategic initiatives 7.2.4 Heckler & Koch: alliances 7.2.5 Heckler & Koch: recent contract wins 7.2.6 Heckler & Koch: financial analysis 7.2.7 MAN Nutzfahrzeuge: overview 7.2.8 MAN Nutzfahrzeuge: products and services 7.2.9 MAN Nutzfahrzeuge: recent announcements and strategic initiatives 7.2.10 MAN Nutzfahrzeuge: alliances 7.2.11 MAN Nutzfahrzeuge: recent contract wins 7.2.12 MAN Nutzfahrzeuge: financial analysis 7.2.13 Eurocopter: overview 7.2.14 Eurocopter: products and services 7.2.15 Eurocopter: recent announcements and strategic initiatives 7.2.16 Eurocopter: alliances 7.2.17 Eurocopter: recent contract wins 7.2.18 Eurocopter: financial analysis 7.2.19 ESG Elektroniksystem- und Logistik: overview 7.2.20 ESG Elektroniksystem- und Logistik: products and services 7.2.21 ESG Elektroniksystem- und Logistik: recent announcements and strategic initiatives 7.2.22 ESG Elektroniksystem- und Logistik: alliances 7.2.23 ESG Elektroniksystem- und Logistik: recent contract wins 7.2.24 ESG Elektroniksystem- und Logistik: financial analysis 7.2.25 Diehl Stiftung: overview 7.2.26 Diehl Stiftung: products and services 7.2.27 Diehl Stiftung: recent announcements and strategic initiatives 7.2.28 Diehl Stiftung: alliances 7.2.29 Diehl Stiftung: recent contract wins 7.2.30 Diehl Stiftung: financial analysis 7.2.31 ThyssenKrupp Marine Systems: overview 7.2.32 ThyssenKrupp Marine Systems: products and services 7.2.33 ThyssenKrupp Marine Systems: recent announcements and strategic initiatives 7.2.34 ThyssenKrupp Marine Systems: alliances 7.2.35 ThyssenKrupp Marine Systems: recent contract wins 7.2.36 ThyssenKrupp Marine Systems: financial analysis 7.2.37 Thales Deutschland: overview 7.2.38 Thales Deutschland: products and services 7.2.39 Thales Deutschland: recent announcements and strategic initiatives 7.2.40 Thales Deutschland: alliances 7.2.41 Thales Deutschland: recent contract wins 7.2.42 Thales Deutschland: Financial Analysis 7.2.43 EADS: overview 7.2.44 EADS: product and services 7.2.45 EADS: recent announcements and strategic initiatives 7.2.46 EADS: alliances 7.2.47 EADS: recent contract wins 7.2.48 EADS: financial analysis 7.2.49 Airbus Military: overview 7.2.50 Airbus Military: products and services 7.2.51 Airbus Military: recent announcements and strategic initiatives 7.2.52 Airbus Military: alliances 7.2.53 Airbus Military: recent contract wins 7.2.54 Airbus Military: financial analysis 7.2.55 MBDA: overview 7.2.56 MBDA: products and services 7.2.57 MBDA: recent announcements and strategic initiatives 7.2.58 MBDA: alliances 7.2.59 MBDA: recent contract Wins 7.2.60 MBDA: financial analysis 7.2.61 Eurofighter Jagdflugzeug: overview 7.2.62 Eurofighter Jagdflugzeug: products and services 7.2.63 Eurofighter Jagdflugzeug: recent announcements and strategic initiatives 7.2.64 Eurofighter Jagdflugzeug: alliances 7.2.65 Eurofighter Jagdflugzeug: recent contract wins 7.2.66 Eurofighter Jagdflugzeug: financial analysis 7.2.67 Rheinmetall: overview 7.2.68 Rheinmetall AG: products and services 7.2.69 Rheinmetall: recent announcements and strategic initiatives 7.2.70 Rheinmetall: alliances 7.2.71 Rheinmetall: recent contract wins 7.2.72 Rheinmetall: financial analysis 8 Business Environment and Country Risk 8.1 Business Confidence 8.1.1 business confidence index 8.1.2 Market capitalization trend The Frankfurt Stock Exchange (FWB), Germany 8.1.3 FDI inflows by industry 8.1.4 Deployment of credit by industry 8.2 Economic Performance 8.2.1 GDP at constant prices 8.2.2 GDP per capita at constant prices 8.2.3 GDP at current prices 8.2.4 GDP per capita at current prices 8.2.5 GDP split by key industries 8.2.6 Agriculture agriculture net output at current prices (local currency) 8.2.7 Agriculture agriculture net output at current prices (us dollar) 8.2.8 Agriculture agriculture net output at current prices as a percentage of gdp 8.2.9 Manufacturing manufacturing net output at current prices (local currency) 8.2.10 Manufacturing manufacturing net output at current prices (us dollar) 8.2.11 Manufacturing manufacturing net output-current prices as a percentage of gdp 8.2.12 Manufacturing mining, manufacturing and utilities net output at current prices (local currency) 8.2.13 Manufacturing mining, manufacturing and utilities at current prices (us dollars) 8.2.14 Manufacturing mining, manufacturing and utilities at current prices, as a percentage of gdp 8.2.15 Construction construction net output at current prices, (local currency) 8.2.16 Construction construction net output at current prices (us dollar) 8.2.17 Construction construction output-current prices as a percentage of GDP 8.2.18 Industry crude steel production 8.2.19 Industry crude oil consumption 8.2.20 Inflation rate 8.2.21 Fiscal deficit as a percentage of GDP 8.2.22 Trade balance as a percentage of GDP 8.2.23 Exports as a percentage of GDP 8.2.24 Imports as a percentage of GDP 8.2.25 Exports growth 8.2.26 Imports growth 8.2.27 Exchange rate US$EUR (annual average) 8.2.28 Exchange rate US$EUR (end of fiscal) 8.3 Infrastructure Quality and Availability 8.3.1 Transport total airports and ports 8.3.2 Transport railways system 8.3.3 Transport passenger vehicle production volume 8.3.4 Transport commercial vehicle production volume 8.3.5 Transport automotive components export trend 8.3.6 Transport automotive products import trend 8.3.7 Transport passenger vehicle export trend 8.3.8 Transport commercial vehicle export trend 8.3.9 Transport passenger car penetration 8.3.10 Utilities total installed capacity for electricity generation 8.3.11 Utilities installed capacity for conventional thermal electricity generation 8.3.12 Utilities electricity production 8.3.13 Utilities installed capacity for hydro-electricity generation 8.3.14 Utilities installed capacity for renewable electricity generation 8.3.15 Utilities electric power consumption 8.3.16 Utilities electricity exports 8.3.17 Utilities electricity imports 8.3.18 Healthcare healthcare expenditure 8.3.19 Healthcare healthcare expenditure as a percentage of GDP 8.3.20 Healthcare healthcare expenditure per capita 8.3.21 Technology R&D expenditure as a percentage of GDP 8.3.22 Communication total internet subscribers 8.3.23 Communication broadband internet subscribers 8.3.24 Communication personal computer penetration 8.3.25 Communication mobile phone penetration rate 8.4 Labor Force 8.4.1 Labor force 8.4.2 Unemployment rate 8.5 Demographics 8.5.1 Annual disposable income 8.5.2 Annual per capita disposable income 8.5.3 Annual consumer expenditure on food 8.5.4 Annual per capita consumer expenditure on food 8.5.5 Urban and rural population 8.5.6 Females as a percentage of the population 8.5.7 Males as a percentage of the population 8.5.8 Mean age of population 8.5.9 Median age of population 8.5.10 Population density 8.5.11 Age distribution total population 8.5.12 Age distribution-of male population 8.5.13 Age distribution of female population 8.5.14 Number of households 8.6 Political and Social Risk 8.6.1 Political Stability 8.6.2 Terrorism Index 8.6.3 Transparency Index 9 Appendix 9.1 Contact Us 9.2 About ICD Research 9.3 Disclaimer
List of Tables
Table 1: German Defense Expenditure, 20072011 Table 2: German Defense Expenditure, 20122016 Table 3: German Defense Expenditure as a Percentage of GDP, 20072011 Table 4: German Defense Expenditure as a Percentage of GDP, 20122016 Table 5: German Defense Budget Split Between Capital and Revenue Expenditure, 20072011 Table 6: German Defense Budget Split Between Capital and Revenue Expenditure, 20122016 Table 7: German Defense Capital Expenditure Breakdown (%), 20072011 Table 8: German Defense Capital Expenditure Breakdown (%), 20122016 Table 9: German Defense Capital Expenditure for Army (US$ million), 20072011 Table 10: German Defense Capital Expenditure for Army (US$ million), 20122016 Table 11: German Defense Capital Expenditure for Air Force (US$ million), 20072011 Table 12: German Defense Capital Expenditure for Air Force (US$ million), 20122016 Table 13: German Defense Capital Expenditure for Navy (US$ million), 20072011 Table 14: German Defense Capital Expenditure for Navy (US$ million), 20122016 Table 15: German Defense Capital Expenditure for R&D (US$ million), 20072011 Table 16: German Defense Capital Expenditure for R&D (US$ million), 20122016 Table 17: ICD Research Terrorism Index Table 18: Benchmarking with Key Markets 20072011 vs 20122016 Table 19: Benchmarking with Worlds Largest Defense Spenders 2011 and 2016 Table 20: Key Foreign Players and Operations in the German Defense Industry Table 21: Heckler & Koch product focus Table 22: Heckler & Koch Recent Contract Wins Table 23: MAN Nutzfahrzeuge product focus Table 24: MAN Nutzfahrzeuge alliances Table 25: Eurocopter product focus Table 26: Eurocopter Alliances Table 27: Eurocopter Recent Contract Wins Table 28: ESG Elektroniksystem- und Logistik product focus Table 29: ESG Elektroniksystem- und Logistik Alliances Table 30: ESG Elektroniksystem- und Logistik Recent Contract Wins Table 31: Diehl Stiftung product focus Table 32: Diehl Stiftung Alliances Table 33: Diehl Stiftung Recent Contract Wins Table 34: ThyssenKrupp Marine Systems product focus Table 35: ThyssenKrupp Marine Systems Alliances Table 36: ThyssenKrupp Marine Systems Recent Contract Wins Table 37: Thales Deutschland product focus Table 38: Thales Deutschland Alliances Table 39: Thales Deutschland Recent Contract Wins Table 40: EADS product focus Table 41: EADS Alliances Table 42: EADS Recent Contract Wins Table 43: Airbus Military product focus Table 44: MBDA product focus Table 45: MBDA Alliances Table 46: MBDA Recent Contract Wins Table 47: Eurofighter Jagdflugzeug product focus Table 48: Eurofighter Jagdflugzeug Recent Contract Wins Table 49: Rheinmetall AG product focus Table 50: Rheinmetall Alliances Table 51: Rheinmetall Recent Contract Wins
List of Figures
Figure 1: German Defense Expenditure, 20072011 Figure 2: German Defense Expenditure, 20122016 Figure 3: German Defense Expenditure as a Percentage of GDP, 20072011 Figure 4: German Defense Expenditure as a Percentage of GDP, 20122016 Figure 5: German Defense Budget Split Between Capital and Revenue Expenditure, 20072011 Figure 6: German Defense Budget Split Between Capital and Revenue Expenditure, 20122016 Figure 7: German Defense Capital Expenditure Breakdown (%), 20072011 Figure 8: German Defense Capital Expenditure Breakdown (%), 20122016 Figure 9: German Defense Capital Expenditure for Army (US$ million), 20072011 Figure 10: German Defense Capital Expenditure for Army (US$ million), 20122016 Figure 11: German Defense Capital Expenditure for Air Force (US$ million), 20072011 Figure 12: German Defense Capital Expenditure for Air Force (US$ million), 20122016 Figure 13: German Defense Capital Expenditure for Navy (US$ million), 20072011 Figure 14: German Defense Capital Expenditure for Navy (US$ million), 20122016 Figure 15: German Defense Capital Expenditure for R&D (US$ million), 20072011 Figure 16: German Defense Capital Expenditure for R&D (US$ million), 20122016 Figure 17: ICD Research Terrorism Heat Map Figure 18: ICD Research Terrorism Heat Index Figure 19: Benchmarking with Key Markets 20072011 vs 20122016 Figure 20: Benchmarking with Worlds Largest Defense Spenders 2011 and 2016 Figure 21: Benchmarking with Large Defense Spenders as Percentage of GDP 2011 Figure 22: German Defense Imports by Supplier Country (%), 20052010 Figure 23: German Defense Imports by Category (%), 20052010 Figure 24: German Defense Exports (US$ Million), 20052010 Figure 25: Global Top Ten Arms Suppliers(%), 20052010 Figure 26: Top German Arms Importers by Country (%), 20052010 Figure 27: German Defense Exports by Category (%), 20052010 Figure 28: Industry Dynamics Porters Five Forces Analysis Figure 29: Rheinmetall Revenue Trend Analysis (EUR Million), 20052009 Figure 30: Rheinmetall Operating Profit Trend Analysis (EUR Million), 20052009 Figure 31: Rheinmetall Net Profit Trend Analysis (EUR Million), 20052009 Figure 32: German Business Confidence Index, 20082010 Figure 33: The Frankfurt Stock Exchange (FWB) Market Capitalization, 20032009 Figure 34: German FDI Inflows by Sector, 20032008 Figure 35: German Deployment of Credit by Sector, 20032009 Figure 36: German GDP Value at Constant Prices, 20032015 Figure 37: German GDP Per Capita at Constant Prices, 2003-2015 Figure 38: German GDP at Current Prices, 20032015 Figure 39: German GDP Per Capita at Current Prices, 20032015 Figure 40: German GDP Split by Key Industries, 2003 Vs 2009 Figure 41: German Agriculture Net Output at Current Prices (Local Currency), 20032015 Figure 42: German Agriculture Net Output at Current Prices (US Dollar), 20032015 Figure 43: German Agriculture Net Output at Current Prices (% of GDP), 20032015 Figure 44: German Manufacturing Net Output at Current Prices (Local Currency), 20032015 Figure 45: German Manufacturing Net Output at Current Prices (US Dollar), 20032015 Figure 46: German Manufacturing Net Output at Current Prices (% of GDP), 20032015 Figure 47: German Mining, Manufacturing and Utilities Net Output at Current Prices (Local Currency), 20032015 Figure 48: German Mining, Manufacturing and Utilities Output at Current Prices (US Dollar), 20032015 Figure 49: German Mining, Manufacturing, Utilities Output at Current Prices (% of GDP), 20032015 Figure 50: German Construction Net Output, at Current Prices (Local Currency), 20032015 Figure 51: German Construction Net Output, at Current Prices (US Dollar), 20032015 Figure 52: German Construction Output, at Current Prices (% of GDP), 20032015 Figure 53: German Crude Steel Production, 20032015 Figure 54: German Crude Oil Consumption, 20032015 Figure 55: German Inflation Rate, 20032015 Figure 56: German Fiscal Deficit as a percentage of GDP, 20032015 Figure 57: German Trade Balance as a percentage of GDP, 20032009 Figure 58: German Exports as a Percentage of GDP, 20032015 Figure 59: German Imports as a Percentage of GDP, 20032015 Figure 60: German Exports Growth, 20032015 Figure 61: German Imports Growth, 20032015 Figure 62: German Exchange Rate US$-EUR (Annual Average), 20032009 Figure 63: German Exchange Rate (End of Fiscal ), 20032009 Figure 64: German Airports and Ports, 2009 Figure 65: German Railways, 2009 Figure 66: German Passenger Vehicle Production, 20032015 Figure 67: German Commercial Vehicle Production, 20032015 Figure 68: German Automotive Components Exports, 20032015 Figure 69: German Automotive Components Imports, 20032015 Figure 70:German Passenger Vehicle Exports, 20032015 Figure 71: German Commercial Vehicle Exports, 20032015 Figure 72: German Passenger Car Penetration (per 1000 people), 20032015 Figure 73: German Total Installed Capacity for Electricity Generation, 20032015 Figure 74: German Installed Capacity for Conventional Thermal Electricity Generation, 20032015 Figure 75: German Electricity Production, 20032015 Figure 76: German Installed Capacity for Hydro-electricity Generation, 20032015 Figure 77: German Installed Capacity for Renewable Electricity Generation, 20032015 Figure 78: German Electric Power Consumption, 20032015 Figure 79: German Electricity Exports, 20032015 Figure 80: German Electricity Imports, 20032015 Figure 81: German Healthcare Expenditure, 20032015 Figure 82: German Healthcare Expenditure as a Percentage (%) of GDP, 20032015 Figure 83: German Per Capita Healthcare Expenditure, 20032015 Figure 84: German R&D Expenditure as a percentage of GDP, 20032015 Figure 85: German Internet Subscribers, 20032015 Figure 86: German Broadband Internet Subscribers, 20032015 Figure 87: German Personal Computer Usage (per 100 people), 20032015 Figure 88: German Mobile Phone Penetration (per 100 people), 20032015 Figure 89: German Size of Labor Force (in 1559 Age Group), 20032015 Figure 90: German Unemployment Rate, 20032015 Figure 91: German Annual Disposable Income, 20032015 Figure 92: German Annual Per Capita Disposable Income, 20032015 Figure 93: German Consumer Expenditure on Food, 20032015 Figure 94: German Annual Per Capita Consumer Expenditure on Food, 20032015 Figure 95: German Urban and Rural Population, 20032015 Figure 96: German Females as a Percentage of Population, 20032015 Figure 97: German Males as a Percentage of the Population, 20032015 Figure 98: German Mean Age of Population, 20032015 Figure 99: German Median Age of Population, 20032015 Figure 100: German Population Density, 20032015 Figure 101: German Population Distribution by Age, 20032015 Figure 102: German Male Population Distribution by Age, 20032015 Figure 103: German Female Population Distribution by Age, 20032015 Figure 104: German Number of Households, 20032015 Figure 105: Global Terrorism Heat Map, 2011 Figure 106: German Transparency Index, 20032009
Companies Mentioned
Germany, defense, budget, offset, regulation, capital expenditure, army, navy, air force, homeland, drivers, market opportunities, procurement, entry route, key challenge, announcements, alliances, contract awards, financial analysis, business environment |