{"id":38879,"date":"2018-07-17T14:43:41","date_gmt":"2018-07-17T14:43:41","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2018\/07\/17\/how-is-the-global-defense-industry-performing-3-takeaways-from-a-key-report-on-revenue\/"},"modified":"2026-08-07T23:11:48","modified_gmt":"2026-08-07T23:11:48","slug":"how-is-the-global-defense-industry-performing-3-takeaways-from-a-key-report-on-revenue","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/industry\/2018\/07\/17\/how-is-the-global-defense-industry-performing-3-takeaways-from-a-key-report-on-revenue\/","title":{"rendered":"How is the global defense industry performing? 3 takeaways from a key report on revenue"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">WASHINGTON \u2014 Deloitte has released a detailed snapshot of the worldwide defense industry and contracting environment. The report by the U.K.-based consulting firm analyzes 2017 results from the aerospace and defense industry, with three notable conclusions.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><b>1. Overall, the global defense sector has grown, but there\u2019s been a slowdown for the commerical aerospace market.<\/b><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">According to the report, A&amp;D industry revenues grew by 2.7 percent to reach $685.6 billion in 2017. Mainly powered by increased defense spending in the U.S. and Europe, \u201cthe increased military actions\/growth in Russia, China, and North Korea and continued hostilities in the Middle East region are spurring the increased defense spending,\u201d report author Robin Lineberger said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Global commerical aerospace revenue growth cooled, increasing by only 1.2 percent in 2017 (down from more than double that rate the year before) largely due to \u201ca slowdown in twin-aisle aircraft deliveries in the U.S.,\u201d the report noted.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><b>2. American industry still dwarfs other nations in revenue, but there are surprising developments in Europe.<\/b><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The U.S. continues to comprise the majority of global A&amp;D revenue at 60 percent, with the U.S. Department of Defense as the major customer. However, European revenues enjoyed a major expansion and quadrupled their rate of growth from 2016. \u201cEuropean defense spending is increasing,&#8221; Lineberger noted.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The American efforts to <a href=\"https:\/\/www.defensenews.com\/smr\/nato-priorities\/2018\/07\/11\/trump-wants-nato-to-aim-for-4-percent-spending\/\" target=_blank>pressure NATO members on defense spending<\/a> played a key role in European defense revenue growth, according to the report. \u201cBased on the recent European leaders commitments to meet the 2% goal at the most recent NATO leadership summit, we expect European defense spending to continue to increase.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><b>3. Top industry players remain on top. <\/b><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The big dogs continue to dominate, as the revenues of the top 20 global A&amp;D companies accounted for 73.6 precent of overall A&amp;D industry revenues in 2017. The study described the industry as \u201cconcentrated\u201d in these larger firms.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Boeing led as the top performer in the metric of revenue ($93.3 billion), besting rivals Airbus Group ($75.2 billion) and Lockheed Martin ($51 billion).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Unless tensions in areas like <a href=\"https:\/\/www.marinecorpstimes.com\/flashpoints\/2018\/04\/27\/marines-want-russian-styled-aircraft-to-realistically-practice-challenging-them\/\" target=\"_blank\">Eastern Europe<\/a> and the <a href=\"https:\/\/www.defensenews.com\/global\/asia-pacific\/2018\/05\/18\/show-of-force-china-lands-bombers-on-south-china-sea-airfield\/\" target=\"_blank\">South China Sea<\/a> are resolved, \u201cexpect the Western countries to continue to expand and modernize their forces as a defensive measure,\u201d Lieberger said, \u201cthus sustaining the spending and potentially increasing it.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>American industry still dwarfs other nations in revenue, but there are surprising developments in Europe.<\/p>\n","protected":false},"author":7,"featured_media":82254,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":12,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[160,46,11,12,36,48],"tags":[],"coauthors":[3041],"class_list":["post-38879","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news-roundup","category-europe","category-global","category-industry","category-newsletters","category-the-americas"],"acf":{"subheadline":"","legacy_arc_id":"RCJDWZ5H7ND5DHEQ6QMCK4RMBU","arc_canonical_url":"\/industry\/2018\/07\/17\/how-is-the-global-defense-industry-performing-3-takeaways-from-a-key-report-on-revenue\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>How is the global defense industry performing? 3 takeaways from a key report on revenue - Defense News<\/title>\n<meta name=\"description\" content=\"American industry still dwarfs other nations in revenue, but there are surprising developments in Europe.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How is the global defense industry performing? 3 takeaways from a key report on revenue\" \/>\n<meta property=\"og:description\" content=\"American industry still dwarfs other nations in revenue, but there are surprising developments in Europe.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/one.sightlinemg.com\/defensenews\/industry\/2018\/07\/17\/how-is-the-global-defense-industry-performing-3-takeaways-from-a-key-report-on-revenue\/\" \/>\n<meta property=\"og:site_name\" content=\"Defense News\" \/>\n<meta property=\"article:published_time\" content=\"2018-07-17T14:43:41+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-08-07T23:11:48+00:00\" \/>\n<meta name=\"author\" content=\"Andrew C. 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