Navy Military Production Rises 50% in Two Years
Naval Group reports naval production value climbed to $122 billion, with China leading construction as Western nations modernize fleets.
Updated on Nov. 2, 2026 in Military
Military production for navies, including ships and submarines, rose nearly 50% in value over the past two years, reaching $122 billion in 2024-2025 from $82 billion two years earlier. The figures were highlighted at the opening of the Euronaval defence trade show in Paris.
Why it matters
Western governments are responding to threats from Russia and instability in the Middle East, with fleet modernization accelerating since Russia's full-scale invasion of Ukraine in 2022. The Naval Group CEO called for closer cooperation among European and allied navies.
A Euronaval study puts naval military production at $122 billion in 2024-2025, up from $82 billion two years earlier, a nearly 50% rise. China led naval military construction over the period, ahead of the United States.
The players
Naval Group
Naval Group is a French state-influenced defence company that designs and builds warships and submarines for the French and export navies.
The details
Production for navies, covering both ships and submarines, grew sharply as Western countries modernized their fleets following Russia's 2022 invasion of Ukraine. The Naval Group CEO spoke at the opening of the Euronaval trade show in Paris, calling for closer coordination among European and allied navies.
Timeline
2022: Russia launches its full-scale invasion of Ukraine, prompting Western fleet modernization.
2024-2025: Naval military production reaches $122 billion, with China leading construction.
- 2026-11-02
Naval Group CEO addresses the opening of Euronaval in Paris.
Roadmap
The surge in naval production follows the modernization push that began after Russia's full-scale invasion of Ukraine in 2022, which reshaped Western defence priorities. The figures show that this shift has translated into a measurable increase in naval manufacturing value, with China now leading global naval construction ahead of the United States.
For taxpayers in NATO and allied countries, rising naval spending means larger defence budgets directed toward ship and submarine programs. Readers should watch for procurement announcements that could shape future defence costs.
The takeaway
Naval spending has risen steeply in a short period, and the Euronaval figures suggest that coordination among allied navies will be a central question for the years ahead. Tracking how these budgets translate into delivered ships will show whether production gains hold.
Further reading
For more on how defence budgets are shifting worldwide, explore our Military coverage.
