Ballistic missile surge fuels global arms race

The Ukraine war and the Iran‑Israel conflict have made long‑range ballistic missiles the premier strike tool, revealing serious gaps in air‑defence capability. Ukraine continues to struggle with a chronic shortage of PAC‑3 interceptors, and the United States has nearly exhausted its ATACMS stockpiles, prompting a shift toward newer Precision Strike Missiles (PrSM). The high cost of these interceptors and the heavy use of rockets have spurred governments across Europe, Asia and North America to expand budgets for both offensive and defensive missile systems.

The collapse of the 1988‑2019 INF Treaty has accelerated the pursuit of intermediate‑ and long‑range weapons. NATO has earmarked roughly $50 billion for new long‑range capabilities, while national programs such as South Korea’s Hyunmoo‑5, Japan’s hypersonic missiles, a joint European strike initiative, and the U.S. Dark Eagle hypersonic system move toward operational status. Iran’s medium‑range missiles—Ghadr, Emad, Sejjil and Khorramshahr—have been launched in the thousands since early 2022, with ranges that could theoretically reach Ukraine, though a direct strike is deemed unlikely.

The expanding missile market is attracting significant investment in defence, aerospace and security firms, reshaping strategic thinking and force‑deployment decisions worldwide.