Industrial Automation Market Size & Forecast
The Industrial Automation Market is projected to reach $368.05 billion by 2031, at a CAGR of 9.1% during the forecast period 2024–2031. The market growth is driven by government initiatives promoting industrial development, increasing investments in industrial automation, rising demand for energy-efficient systems, and increasing need for supply chain optimization. However, high CAPEX requirements and concerns about workforce displacement restrain the market's growth. Moreover, the increasing demand for sustainable solutions is expected to create market growth opportunities. However, cybersecurity risks associated with automated systems pose challenges to the market's growth.
Government Initiatives Promoting Industrial Development Fueling Market Growth
Major robot-producing nations, including Japan, South Korea, and the U.S., have increased automation applications in manufacturing industries. The Japanese government is investing in the Society 5.0 initiative to create a society that integrates digital technology and human capabilities. The initiative envisions the seamless integration of various technologies into everyday life. This includes AI, IoT devices, robotics, autonomous systems, and advanced data analytics. These technologies are expected to be used in various sectors, including healthcare, transportation, education, and manufacturing.
According to the International Federation of Robotics, South Korea's robot-related budget for 2020 was USD 126 million. In January 2021, the European Commission launched the Horizon2020 framework, 24 new robotics projects. This framework covers various research and innovation topics — from manufacturing, commercial, and healthcare use to consumer, transportation, and agri-food robotics.
In August 2020, the U.S. announced funding of USD 1 billion to establish 12 new research and development hubs nationwide. Moreover, AI institutes, along with the University of Oklahoma, University of Texas, University of Colorado, University of Illinois, University of California, and the Massachusetts Institute of Technology, conducted research on how technologies can be used in areas such as precision agriculture and weather forecasting, among others. Poland is a growing manufacturing power in Europe, as there is demand for new and innovative manufacturing technologies. The Polish government provides incentives for advanced manufacturing and industrial transformation. The Polish government also provides grants to support industry research.
Some of the developments in this market space are as follows:
- In March, ABB Ltd (Switzerland) collaborated with Automated Architecture Ltd (AUAR) (U.K.) to integrate robotic automation into the building process. The collaboration focuses on advancing the capabilities of robots enabled by vision and AI to build sustainable, low-energy homes.
- In February 2024, Automation Technology GmbH (Germany) launched a 3D sensor series, the ECS (Eco Compact Sensor) sensor, for machine vision applications in industries such as food and beverage, packaging, and robotics.
- In November 2023, SAP SE (Germany) launched the SAP Hong Kong Cloud ERP Experience Center to support midsize companies to automate their operations through cloud-based enterprise resource planning (ERP) technologies with embedded business AI and automation capabilities.
- In June 2023, Siemens AG (Germany) launched the SICAM 8 power automation platform. It includes two new software solutions: the SICAM HMI (Human Machine Interface) visualization tool and the SICAM S8000 software solution for power automation. It forms part of the Siemens Xcelerator portfolio, an open digital platform that enables customers to accelerate their digital transformation at scale.
- In February 2023, AVEVA Group Limited (U.K.) launched the AVEVA Manufacturing Execution System to help standardize and introduce best practices more quickly and at scale and improve operational efficiency and sustainability.
- In March 2022, Emerson Electric Co. (U.S.) launched MTConnect, an industrial control platform driver for enabling easy integration of Computer Numerical Control (CNC) machines with modern data analysis automation environments. The solution allows vital data that was previously isolated and inaccessible to be easily collected from machines, tools, robots, devices, and other manufacturing equipment.
![Industrial Automation Market Industrial Automation Market](https://www.meticulousresearch.com/public/website_images/Industrial-Automation-Market.webp)
Click here to: Get Free Sample Pages of this Report
Key Findings in the Industrial Automation Market Study:
In 2024, the Solutions Segment is Expected to Dominate the Industrial Automation Market
Based on offering, the global industrial automation market is segmented into solutions and services. In 2024, the solutions segment is expected to account for a larger share of the global industrial automation market. The solution segment is further segmented into plant instrumentation, plant-level controls, and enterprise-level controls. The large market share of this segment is attributed to the high adoption of enterprise resource planning (ERP), supervisory control and data acquisition (SCADA), product lifecycle management (PLM), distributed control systems (DCS) solutions for streamlining the production & enterprise processes across the manufacturing & industrial sectors, increasing demand for data analytics and predictive maintenance capabilities to optimize operations, reduce downtime, and improve overall equipment effectiveness (OEE), growing need to reduce operational costs and optimize resource utilization, and the emergence of Industry 4.0 & enabling technologies.
In 2024, the Semi-automatic Systems Segment is Expected to Dominate the Industrial Automation Market
Based on mode of automation, the global industrial automation market is segmented into semi-automatic systems and fully-automatic systems. In 2024, the semi-automatic systems segment is expected to account for the larger share of the global industrial automation market. The large market share of this segment is attributed to the lower cost of implementation compared to fully-automatic systems, the increasing need for a higher degree of flexibility between manual and automated processes, and the growing need for monitoring industrial systems closely and intervening promptly in cases of anomalies that lead to costly downtime or quality issues. However, the fully-automatic systems segment is projected to register the highest CAGR during the forecast period.
In 2024, the Oil & Gas Segment is Expected to Dominate the Industrial Automation Market
Based on end-use industry, the global industrial automation market is segmented into oil & gas, automotive, food & beverage, semiconductors & electronics, chemicals & materials, consumer goods, mining & metals, power, pharmaceuticals & biotech, machines & tools, paper & pulp, aerospace & defense, and other end-use industries. In 2024, the oil & gas segment is expected to account for the largest share of the global industrial automation market. The large market share of this segment is attributed to the growing need to streamline operations across the entire value chain of oil & gas production, increasing demand for automated monitoring systems to minimize environmental impact and enhance safety, and the growing need to prevent unplanned downtime, extend asset lifespan, and reduce maintenance costs. However, the automotive segment is projected to register the highest CAGR during the forecast period.
Asia Pacific to be the Fastest Growing Regional Market
Based on geography, the global industrial automation market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. Asia-Pacific is projected to register the highest CAGR during the forecast period due to rapid industrialization and urbanization, increasing adoption of smart manufacturing solutions in the region, the increasing adoption of industrial robots, the advent of Industry 4.0, expansion of automotive industry, increasing need to enhance productivity, efficiency, and competitiveness in manufacturing sectors such as automotive, electronics, machinery, and consumer goods, increasing technological advancements in robotics, artificial intelligence, IoT, and growing need to automate production processes to reduce reliance on manual labor and remain cost-competitive.
Industrial Automation Market:Competitive Analysis
The report includes a competitive landscape based on an extensive assessment of the key growth strategies adopted by the leading market participants in the industrial automation market in the last three to four years. The key players profiled in the industrial automation market report are ABB Ltd (Switzerland), Rockwell Automation Inc. (U.S.), Siemens AG (Germany), Yaskawa Electric Corporation (Japan), Schneider Electric SE (France), Yokogawa Electric Corporation (Japan), KUKA AG (Germany), Emerson Electric Co. (U.S.), FANUC CORPORATION (Japan), Honeywell International Inc. (U.S.), Mitsubishi Electric Corporation (Japan), OMRON Corporation (Japan), Advantech Co., Ltd. (Taiwan), Hitachi Ltd. (Japan), and General Electric Company (U.S.).
Industrial Automation Market Report Summary:
Particular
|
Details
|
Number of Pages
|
422
|
Format
|
PDF
|
Forecast Period
|
2024-2031
|
Base Year
|
2023
|
CAGR
|
9.1%
|
Estimated Market Size (Value)
|
$368.05 billion by 2031
|
Segments Covered
|
By Offerings
- Solution
- Enterprise-level Controls
- Product Lifecycle Management (PLM)
- Enterprise Resource Planning (ERP)
- Manufacturing Execution Systems (MES)
- Plant Instrumentation
- Motors & Drives
- Robots
- Articulated Robots
- Cartesian Robots
- SCARA
- Collaborative Robots
- Other Robots
- Sensors
- Machine Vision Systems
- Cameras
- Optics and LED Lighting
- Relays & Switches
- Other Plant Instrumentation Components
- Plant-level Controls
- Supervisory Control and Data Acquisition (SCADA)
- Distributed Control Systems (DCS)
- Programmable Logic Controllers (PLC)
- Other Plant-level Controls
- Services
- Integration & Installation Services
- Maintenance & Support Services
- Advisory, Training, & Consulting Services
- Safety & Security Services
By Mode of Automation
- Semi-automatic Systems
- Fully-automatic Systems
By End-use Industry
- Oil & Gas
- Upstream
- Midstream
- Downstream
- Chemicals & Materials
- Paper & Pulp
- Pharmaceuticals & Biotech
- Mining & Metals
- Food & Beverage
- Beverages & Distilleries
- Dairy Processing
- Bakery & Confectionary
- Meat, Poultry, and Seafood Products
- Fruits & Vegetables
- Oil & Fats
- Other F&B Applications
- Power
- Consumer Goods
- Automotive
- Machines & Tools
- Semiconductors & Electronics
- Aerospace & Defense
- Other End-use Industries
|
Countries Covered
|
North America (U.S., Canada), Europe (Germany, France, U.K., Italy, Netherlands, Sweden, Spain, RoE), Asia-Pacific (China, Japan, India, Singapore, South Korea, RoAPAC), Latin America (Mexico, Brazil, RoLATAM), and Middle East & Africa (UAE, South Africa, Saudi Arabia, RoMEA).
|
Key Companies
|
ABB Ltd (Switzerland), Rockwell Automation Inc. (U.S.), Siemens AG (Germany), Yaskawa Electric Corporation (Japan), Schneider Electric SE (France), Yokogawa Electric Corporation (Japan), KUKA AG (Germany), Emerson Electric Co. (U.S.), FANUC CORPORATION (Japan), Honeywell International Inc. (U.S.), Mitsubishi Electric Corporation (Japan), OMRON Corporation (Japan), Advantech Co., Ltd. (Taiwan), Hitachi Ltd. (Japan), and General Electric Company (U.S.).
|
Key questions answered in the report: