Report Overview

The heightened focus on the modernization of military forces through the increasing adoption of drone, unmanned aerial vehicles (UAVs), and AI technological advancements in the aerospace and defense sector, autonomous navigation, and sophisticated cybersecurity solutions to thwart rising geopolitical tensions and terrorism is expected to boost the growth of Vietnam Military Drone (UAV) Market during the forecast period between 2026 and 2032.

Vietnam Military Drone (UAV) Market – Industry Trends & Forecast Report, 2032

Vietnam Military Drone (UAV) Market size was estimated at USD 94.98 million in 2025. During the forecast period between 2026 and 2032, Vietnam Military Drone (UAV) Market size is projected to grow at a CAGR of 17.83%, reaching a value of USD 299.57 million by 2032. The rapid expansion of Vietnam Military Drone Market is driven by increasing defense budgets, rising geopolitical tensions, and growing demand for enhanced surveillance and reconnaissance capabilities. Technological advancements in AI, autonomous navigation, and stealth features further propel adoption. Government is promoting domestic drone manufacturing for technological self-reliance. Additionally, asymmetric warfare strategies and cybersecurity concerns necessitate advanced drone solutions. Regulatory shifts and evolving military doctrines also contribute to the expansion of Vietnam Military Drone (UAV) Market, ensuring drones remain integral to modern defense operations.

Source: BlueWeave Consulting

Military Drone (UAV) – Overview

Military drones, also known as unmanned aerial vehicles (UAVs), play a crucial role in modern warfare. UAVs are used for intelligence, surveillance, reconnaissance (ISR), combat operations, and logistical support. Military drones range from small tactical UAVs to large, long-endurance systems capable of precision strikes. Advancements in AI, autonomous navigation, and stealth technology have enhanced their effectiveness. Countries are increasingly investing in drone capabilities to enhance their defense strategies, improve battlefield efficiency, and mitigate risks to personnel.

Vietnam Military Drone (UAV) Market

Growth Drivers

Modernization of Armed Forces with Advanced Technologies and Systems

Nations across the regions are significantly increasing their defense budgets, due to rising geopolitical tensions and evolving security threats. Major APAC countries, including China, India, Japan, and South Korea, are allocating substantial funds for military modernization, including drone or UAV technology and systems. This surge in military spending is driven by border security concerns, asymmetric warfare strategies, and the need for advanced surveillance capabilities. The Vietnamese government is also fostering domestic drone R&D and manufacturing to reduce its reliance on foreign suppliers. It, in turn, further accelerates the growth of Vietnam Military Drone (UAV) Market.

Challenges

High Initial Investments and Maintenance Costs

Vietnam Military Drone (UAV) Market faces significant growth challenges, due to the high initial investments required for the procurement and integration of UAVs into defense systems. Advanced drone technologies demand substantial financial resources for research, development, and deployment. Additionally, ongoing maintenance costs, including software updates, spare parts, and operational training, add to the financial burden. Budget constraints may limit the widespread adoption of military drones. Consequently, it may limit the growth of Vietnam Military Drone (UAV) Market despite increasing defense modernization efforts.

Impact of Escalating Geopolitical Tensions on Vietnam Military Drone (UAV) Market

Intensifying geopolitical tensions among countries across the regions, especially  in Asia Pacific, Europe, and Middle East regions, are driving increased investments in military drone technology. Nations are prioritizing unmanned aerial systems for surveillance, border security, and combat operations to strengthen defense capabilities. Rising territorial disputes and regional conflicts are accelerating demand for advanced drones with AI-driven intelligence and autonomous functionalities. For instance, during the Operation Sindoor, India announced that it had successfully hit and destroyed various strategic targets using its drones and missiles and defended its bordering territories by advanced anti-drone and anti-missile systems as well. Governments across the APAC region are also fostering domestic drone production to reduce reliance on foreign suppliers. Hence,  the heightened focus on drone warfare is reshaping military strategies and is fueling the expansion of Vietnam Military Drone (UAV) Market.

Vietnam Military Drone (UAV) Market

Segmental Coverage

Vietnam Military Drone (UAV) Market – By Type

Vietnam Military Drone (UAV) Market by type is divided into Fixed-Wing, Rotary Blade, and Hybrid segments. The fixed-wing segment holds the largest market share of Vietnam Military Drone (UAV) Market by type. The segment’s market dominance is attributed to its extended flight endurance, higher altitude capabilities, and suitability for long-range surveillance and reconnaissance missions. Fixed-wing drones are widely adopted by military forces across the region due to their operational efficiency in covering vast geographic areas, especially in border monitoring and strategic missions. These advantages make Fixed-Wing drones the preferred choice in Asia Pacific defense sector.

Source: BlueWeave Consulting

Vietnam Military Drone (UAV) Market – By Application

On the basis of application, Vietnam Military Drone (UAV) Market is divided into Intelligence, Surveillance, and Reconnaissance (ISR), Warfare Operations, Logistics & Supply segments. The Intelligence, Surveillance, and Reconnaissance (ISR) segment holds the largest share of Vietnam Military Drone (UAV) Market by application. The ISR segment’s market dominance is driven by the rising demand for real-time data, advanced surveillance capabilities, and border monitoring in countries like China and India. Governments are increasingly investing in ISR-enabled drones to enhance situational awareness and national security. Technological advancements in sensors and data analytics further boost this segment’s growth, making it the most critical application in regional military drone deployments.

Vietnam Military Drone (UAV) Market – By Range

Based on range, Vietnam Military Drone (UAV) Market is divided into Short Range, Medium Range, Long Range segments, High Altitude Long Endurance (HALE), and Medium Altitude Long Endurance (MALE) segments. The long-range segment holds the largest market share of Vietnam Military Drone (UAV) Market by range, due to an increasing demand for strategic surveillance, border monitoring, and long-endurance missions. Vietnam is increasingly investing in long-range drones to enhance intelligence, surveillance, and reconnaissance (ISR) capabilities. The ability of these drones to operate over vast distances with advanced payloads makes them essential for national security, contributing significantly to their leading position in the market.

Source: BlueWeave Consulting

Competitive Landscape

Major companies operating in Vietnam Military Drone (UAV) Market include AeroVironment, Inc., CTGroup (CT UAV), Elbit Systems Ltd, General Atomics Aeronautical Systems, Israel Aerospace Industries (IAI), Lockheed Martin, Northrop Grumman, Raytheon Technologies (RTX), SZ DJI Technology Co., Ltd, Thales Group, and Viettel Group. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In September 2025 - Viettel Group, the telecommunications company based in Vietnam, introduced a range of reconnaissance and tactical UAVs equipped with AI to detect, identify, and strike ground targets in real time.

Scope of the Report

Attributes	Details
Years Considered	Historical Data – 2019–2032
	Base Year – 2025
	Estimated Year – 2026
	Forecast Period – 2026–2032
Facts Covered	Revenue in USD Million
Market Coverage	Vietnam
Product/ Service Segmentation	Type, Application, Range
Key Players	AeroVironment, Inc., CTGroup (CT UAV), Elbit Systems Ltd, General Atomics Aeronautical Systems, Israel Aerospace Industries (IAI), Lockheed Martin, Northrop Grumman, Raytheon Technologies (RTX), SZ DJI Technology Co., Ltd, Thales Group, Viettel Group

 

By Type

• Fixed-Wing

• Rotary Blade

• Hybrid

By Application

• Intelligence, Surveillance, and Reconnaissance (ISR)

• Warfare Operations

• Logistics & Supply

By Range

• Short Range

• Medium Range

• Long Range

• High Altitude Long Endurance (HALE)

• Medium Altitude Long Endurance (MALE)

 

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentations
2. Executive Summary
3. Vietnam  Military Drone (UAV) Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Increasing Allocation toward Defence
         2. Rising Geopolitical Tensions & Border Surveillance Needs
         3. Advancements in AI & Autonomous Drone Technologies
      2. Restraints
         1. High Initial Investments & Maintenance Costs
         2. Regulatory Challenges & Airspace Restrictions
         3. Cybersecurity Risks & Vulnerability to Hacking
      3. Opportunities
         1. Expansion of Military Cargo Drone Operations
         2. Government Initiatives Supporting Domestic Drone Manufacturing
      4. Challenges
         1. Ethical Concerns & Public Opposition to Military Drone Usage
         2. Complex Integration with Existing Defense Systems
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Vietnam  Military Drone (UAV) Market Strategies
5. Vietnam  Military Drone (UAV) Market: Pricing Analysis
6. Vietnam  Military Drone (UAV) Market Overview
   1. Market Size & Forecast, 2019–2032
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Type
         1. Fixed-Wing
         2. Rotary Blade
         3. Hybrid
      2. By Application
         1. Intelligence, Surveillance, and Reconnaissance (ISR)
         2. Warfare Operations
         3. Logistics & Supply
      3. By Range
         1. Short Range
         2. Medium Range
         3. Long Range
         4. High Altitude Long Endurance (HALE)
         5. Medium Altitude Long Endurance (MALE)
7. Competitive Landscape
8. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Vietnam  Military Drone (UAV) Company Market Share Analysis, 2026
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
9. Impact of Escalating Geopolitical Tensions on Vietnam  Military Drone (UAV) Market
10. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
    1. AeroVironment, Inc.
    2. CTGroup (CT UAV)
    3. Elbit Systems Ltd
    4. General Atomics Aeronautical Systems
    5. Israel Aerospace Industries (IAI)
    6. Lockheed Martin
    7. Northrop Grumman
    8. Raytheon Technologies (RTX)
    9. SZ DJI Technology Co., Ltd
    10. Thales Group
    11. Viettel Group
    12. Other Prominent Players
11. Key Strategic Recommendations
12. Research Methodology
    1.  Qualitative Research
       1.  Primary & Secondary Research
    2.  Quantitative Research
    3.  Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.  Breakdown of Primary Research Respondents, By Region
    5.  Assumptions & Limitations

*Financial information of case of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable

List of Figures

Figure 1        Vietnam  Military Drone (UAV) Systems Segmentation      

Figure 2        Vietnam  Military Drone (UAV) Systems Market Value Chain Analysis       

Figure 3        Company Market Share Analysis, 2025

Figure 4        Vietnam  Military Drone (UAV) Systems Market Size, By Value (USD Million), 2019–2032

Figure 5        Vietnam  Military Drone (UAV) Systems Market Share, By Type, By Value, 2019–2032       

Figure 6        Vietnam  Military Drone (UAV) Systems Market Share, By Application, By Value, 2019–2032

Figure 7        Vietnam  Military Drone (UAV) Systems Market Share, By Range, By Value, 2019–2032     

List of Tables

Table 1         Vietnam  Military Drone (UAV) Systems Market Size, By Value (USD Million), 2019–2032

Table 2         Vietnam  Military Drone (UAV) Systems Market Size, By Type, By Value, 2019–2032

Table 3         Vietnam  Military Drone (UAV) Systems Market Size, By Application, By Value, 2019–2032

Table 4   AeroVironment Inc Company Overview

Table 5   AeroVironment Inc Financial Overview

Table 6   CTGroup (CT UAV) Company Overview

Table 7   CTGroup (CT UAV) Financial Overview

Table 8     Elbit Systems Ltd Company Overview

Table 9     Elbit Systems Ltd Financial Overview

Table 10   General Atomics Aeronautical Systems Company Overview

Table 11   General Atomics Aeronautical Systems Financial Overview

Table 12   Israel Aerospace Industries (IAI) Company Overview

Table 13   Israel Aerospace Industries (IAI) Financial Overview

Table 14   Lockheed Martin Corp Company Overview

Table 15   Lockheed Martin Corp Financial Overview

Table 16   Northrop Grumman Corp Company Overview

Table 17   Northrop Grumman Corp Financial Overview

Table 18   RTX Corp Company Overview

Table 19   RTX Corp Financial Overview

Table 20   SZ DJI Technology Co., Ltd Company Overview

Table 21   SZ DJI Technology Co., Ltd Financial Overview

Table 22   Thales Group Company Overview

Table 23   Thales Group Financial Overview

Table 24   Viettel Group Company Overview

Table 25   Viettel Group Financial Overview