Global Industrial Automation Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Product;
Machine Vision Systems, X-Ray Inspection Systems, Metal Detection Systems, and Checkweighing Systems.By Component;
Hardware and Software.By Application;
Process Automation and Discrete Automation.By Geography;
North America, Europe, Asia Pacific, Middle East & Africa, and Latin America - Report Timeline (2021 - 2031).Introduction
Global Industrial Automation Market (USD Million), 2021 - 2031
In the year 2024, the Global Industrial Automation Market was valued at USD 252,558.37 million. The size of this market is expected to increase to USD 479,772.83 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 9.6%.
The global industrial automation market has witnessed substantial growth and transformation in recent years, driven by advancements in technology and increasing demand for efficiency across various industrial sectors. Industrial automation refers to the use of control systems, such as computers or robots, and information technologies for handling different processes and machinery in an industry to replace human intervention. This automation aims to streamline operations, improve productivity, enhance safety, and reduce operational costs.
One of the key drivers propelling the growth of the industrial automation market is the adoption of Industry 4.0 principles. Industry 4.0, often referred to as the fourth industrial revolution, integrates cyber-physical systems, the Internet of Things (IoT), and cloud computing to create smart factories and industrial processes. This integration enables real-time data exchange, predictive maintenance, and adaptive manufacturing, thereby optimizing production processes and enhancing overall operational efficiency.
Industries worldwide are increasingly focusing on automation to meet growing consumer demands for customized products and to maintain competitiveness in the global market. Automation not only improves speed and accuracy in manufacturing but also enables rapid adjustments to market demands, reducing time-to-market for new products.
The industrial automation market encompasses a wide range of technologies and solutions, including programmable logic controllers (PLCs), distributed control systems (DCS), human-machine interface (HMI) systems, robotics, and machine vision systems. These technologies are applied across various industries such as automotive, electronics, pharmaceuticals, food and beverage, and oil and gas, among others.
The adoption of industrial automation is not without challenges. Concerns about job displacement due to automation, cybersecurity risks, and initial high costs of implementation are factors that can impede the market growth to some extent. Nevertheless, as technology continues to evolve and as industries recognize the benefits of automation in improving operational efficiency and sustainability, the global industrial automation market is expected to expand significantly in the coming years.
Global Industrial Automation Market Recent Developments
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In March 2021, Siemens, a global technology company, introduced a new generation of industrial automation solutions with advanced digitalization and automation capabilities.
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In September 2023, ABB, a global technology leader, launched a new portfolio of industrial automation solutions, including robotics, machine vision, and motion control systems.
Segment Analysis
The Global Industrial Automation Market has been segmented by Product, Component, Application and Geography, rapid growth driven by advancements in technology and the increasing adoption of automation solutions across various industries. Key segments within this market include programmable logic controllers (PLCs), distributed control systems (DCS), human-machine interface (HMI), supervisory control and data acquisition (SCADA), and industrial robots. Programmable Logic Controllers (PLCs) are essential in industrial automation for controlling machinery and processes. They offer flexibility and reliability in manufacturing environments, enabling efficient production and customization of operations based on real-time data. Distributed Control Systems (DCS) play a crucial role in process industries such as oil and gas, chemical, and power generation. DCS integrates various control elements across a plant or manufacturing process, optimizing operational efficiency, and enabling centralized monitoring and control.
Human-Machine Interface (HMI) systems provide operators with a graphical interface to interact with machines and systems in real-time. HMIs enhance operational visibility, facilitate data-driven decision-making, and improve overall productivity by streamlining communication between humans and machines. Supervisory Control and Data Acquisition (SCADA) systems are pivotal in monitoring, gathering, and processing real-time data from remote locations. SCADA enables centralized control of geographically dispersed assets, enhancing operational efficiency, and ensuring timely responses to critical events.
Industrial Robots are transforming manufacturing processes with their ability to perform complex tasks with precision and consistency. From automotive assembly lines to electronics manufacturing, industrial robots increase productivity, reduce labor costs, and improve product quality. In conclusion, the industrial automation market continues to evolve with advancements in technology such as artificial intelligence, IoT integration, and cloud computing. These innovations are driving efficiency, scalability, and sustainability across industries, shaping the future landscape of industrial automation globally.
Global Industrial Automation Segment Analysis
In this report, the Global Industrial Automation Market has been segmented by Product, Component, Application and Geography.
Global Industrial Automation Market, Segmentation by Product
The Global Industrial Automation Market has been segmented by Product into Machine Vision Systems, X-Ray Inspection Systems, Metal Detection Systems and Checkweighing Systems.
Machine vision systems are pivotal in automating visual inspections, employing cameras and image processing algorithms to detect defects or verify product characteristics with precision and speed beyond human capabilities. They find applications across industries like automotive, electronics, and pharmaceuticals, where quality assurance is paramount. X-ray inspection systems offer non-destructive testing capabilities, enabling thorough examination of internal structures for defects or contaminants in products such as food items, pharmaceuticals, and electronics. This technology ensures compliance with safety standards and enhances product integrity.
Metal detection systems are essential for food safety and manufacturing processes where detecting metallic contaminants in products is critical. These systems utilize electromagnetic fields to identify and reject contaminated products, ensuring consumer safety and regulatory compliance. Checkweighing systems contribute to quality control by accurately measuring the weight of products during manufacturing or packaging processes.
They help maintain consistency in product weight, ensuring compliance with regulatory requirements and minimizing material waste. Overall, these automation technologies not only improve operational efficiency and product quality but also contribute to reducing costs and enhancing competitiveness in the global market. As industries continue to embrace automation, the demand for advanced industrial automation solutions is expected to grow, driven by the need for higher productivity, stringent quality standards, and operational excellence.
Global Industrial Automation Market, Segmentation by Component
The Global Industrial Automation Market has been segmented by Product into Hardware and Software.
Hardware within industrial automation encompasses physical equipment such as sensors, actuators, controllers, and robotics. These devices are essential for capturing data, controlling processes, and executing tasks within automated systems. Advances in hardware technology have led to more precise and robust automation solutions capable of handling complex industrial operations.
Software forms another critical component of industrial automation, providing the intelligence and algorithms necessary to control and manage hardware components effectively. Automation software includes programmable logic controllers (PLCs), supervisory control and data acquisition (SCADA) systems, and industrial control systems (ICS). These software platforms enable real-time monitoring, data analysis, and decision-making, facilitating optimized production processes and predictive maintenance strategies.
Hardware and software advancements in industrial automation continue to revolutionize manufacturing, logistics, and other industrial sectors by improving operational efficiency, reducing costs, and enhancing overall competitiveness in the global market. As industries increasingly adopt automation technologies, the demand for sophisticated hardware and intelligent software solutions is expected to grow, further driving innovation and economic growth worldwide.
Global Industrial Automation Market, Segmentation by Application
The Global Industrial Automation Market has been segmented by Product into Process Automation and Discrete Automation.
Process automation involves the use of technology to monitor and control the processes that occur during the production of goods and services. It is widely utilized in industries such as oil and gas, chemical processing, power generation, and pharmaceuticals. The key focus of process automation is to optimize production processes, ensure consistency in output quality, improve efficiency, and reduce operational costs. Automation systems in process industries often include advanced control systems, distributed control systems (DCS), supervisory control and data acquisition (SCADA) systems, and industrial internet of things (IIoT) solutions.
Discrete automation, on the other hand, is employed in industries where products are manufactured by assembling various components or parts. This includes industries such as automotive manufacturing, electronics, consumer goods, and packaging. The primary goal of discrete automation is to enhance productivity, ensure precision in manufacturing processes, minimize defects, and accelerate time-to-market for new products. Automated systems used in discrete manufacturing typically include robotics, programmable logic controllers (PLCs), automated guided vehicles (AGVs), and computer numerical control (CNC) machines.
Both process automation and discrete automation play crucial roles in driving operational efficiency, improving product quality, and meeting the demands of increasingly complex global markets. As industries continue to adopt advanced automation technologies, the global industrial automation market is expected to witness significant growth in the coming years.
Global Industrial Automation Market, Segmentation by Geography
In this report, the Global Industrial Automation Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Industrial Automation Market Share (%), by Geographical Region, 2024
The global industrial automation market has been experiencing significant growth and transformation across various geographical regions from 2020 to 2030. In North America, advancements in technology and a strong emphasis on manufacturing efficiency have driven the adoption of industrial automation solutions. The region is characterized by robust investments in automation technologies across industries such as automotive, aerospace, and electronics, contributing to substantial market expansion.
Europe has witnessed notable developments in industrial automation, propelled by stringent regulations, the adoption of smart manufacturing practices, and the presence of key players in the automation sector. Countries like Germany and France have been at the forefront of integrating automation technologies to enhance production capabilities and maintain competitive advantages in global markets.
In the Asia Pacific region, rapid industrialization, particularly in countries like China, Japan, and South Korea, has spurred the demand for industrial automation solutions. Factors such as the need for operational efficiency, rising labor costs, and government initiatives to promote automation in manufacturing have driven substantial market growth. The region is anticipated to continue as a major hub for industrial automation investments throughout the forecast period.
In the Middle East and Africa, industrial automation adoption has been influenced by initiatives aimed at economic diversification, especially in sectors such as oil and gas, mining, and manufacturing. The region's increasing focus on reducing dependency on oil revenues and enhancing industrial productivity is expected to drive significant market growth in automation technologies.
Latin America has also been witnessing steady growth in industrial automation adoption, driven by efforts to modernize manufacturing facilities, improve productivity, and meet international quality standards. Countries like Brazil and Mexico have emerged as key markets for automation solutions across industries such as automotive, food and beverage, and pharmaceuticals. Overall, the global industrial automation market is poised for continued expansion across all major geographical regions from 2020 to 2030, driven by technological advancements, regulatory support, and the imperative for businesses to enhance operational efficiency and competitiveness.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Industrial Automation Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Cost Reduction
- Demand for IoT
- Skill Shortages
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Predictive Maintenance -The global industrial automation market has witnessed significant growth driven by advancements in technology and the increasing adoption of automation solutions across various industries. One of the key trends shaping this landscape is the adoption of predictive maintenance strategies. Predictive maintenance utilizes data analytics, machine learning, and IoT sensors to monitor equipment conditions in real time. This proactive approach helps in predicting potential failures before they occur, thereby minimizing downtime and reducing maintenance costs.
Industries such as manufacturing, automotive, aerospace, and energy have increasingly embraced predictive maintenance to optimize operational efficiency and enhance asset reliability. By continuously monitoring equipment performance metrics like temperature, vibration, and fluid levels, organizations can schedule maintenance activities more effectively. This shift from reactive to proactive maintenance not only improves equipment uptime but also extends the lifespan of critical assets.
Predictive maintenance contributes to overall safety by identifying potential hazards early on, thereby mitigating risks associated with equipment failures. As industrial automation continues to evolve with advancements in AI and big data analytics, predictive maintenance is expected to become more sophisticated, enabling companies to achieve higher levels of operational excellence and competitiveness in the global market. This trend underscores a broader movement towards smarter, more connected industrial ecosystems where data-driven insights drive strategic decision-making and performance optimization.
Restraints:
- High Initial Costs
- Cybersecurity Concerns
- Compatibility Issues
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Complexity of Systems -The global industrial automation market has witnessed significant growth driven by advancements in technology and the increasing demand for efficient manufacturing processes across various industries. As industries strive to enhance productivity and reduce operational costs, automation solutions have become indispensable. These solutions encompass a wide array of technologies including robotics, control systems, sensors, and software, all aimed at automating processes traditionally performed by humans.
The complexity of industrial automation systems presents both opportunities and challenges. On one hand, these systems enable precise control, real-time monitoring, and improved quality in manufacturing. They also facilitate the integration of various production stages, leading to streamlined operations and enhanced flexibility. Such advancements contribute to overall efficiency gains and better resource utilization.
The implementation and management of complex automation systems require specialized expertise and substantial investment. Integration with existing infrastructure, ensuring compatibility across different components, and cybersecurity concerns add layers of complexity. Moreover, as systems become more interconnected and reliant on data exchange, issues related to reliability, scalability, and adaptability to changing market dynamics arise.
In conclusion, while the industrial automation market continues to expand, driven by technological innovations and operational imperatives, managing the complexity of these systems remains a critical consideration for businesses aiming to leverage automation for competitive advantage and sustainable growth. Balancing technological sophistication with practical implementation strategies is essential to harnessing the full potential of industrial automation in the global market.
Opportunities:
- Industry 4.0 Adoption
- Cloud-Based Solutions
- AI and Machine Learning Integration
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Remote Monitoring -The global industrial automation market has been experiencing significant growth, driven by advancements in technology and increasing demand for efficiency and productivity in industrial processes. One key aspect of industrial automation that has gained prominence is remote monitoring.
Remote monitoring allows industrial facilities to monitor and control their operations from a centralized location, often using IoT (Internet of Things) devices and sensors. This capability enables real-time data collection and analysis, enhancing decision-making and operational efficiency. By leveraging remote monitoring, companies can reduce downtime, optimize resource utilization, and ensure compliance with regulatory requirements.
Remote monitoring plays a crucial role in predictive maintenance strategies, where data collected from equipment sensors can be analyzed to predict potential failures before they occur. This proactive approach helps in minimizing unplanned downtime and maintenance costs, thereby improving overall equipment effectiveness (OEE) and profitability.
In conclusion, as industrial automation continues to evolve, remote monitoring stands out as a pivotal technology that empowers industries to achieve higher levels of efficiency, safety, and competitiveness in the global market.
Competitive Landscape Analysis
Key players in Global Industrial Automation Market include.
- Advantech Co. Ltd.
- Clarke Solutions LLC
- Cognex Corp.
- Illinois Tool Works Inc.
- Inspection Systems Pty Ltd.
- John Bean Technologies Corp.
- Mettler-Toledo International Inc.
- Peco InspX
- Teledyne Technologies Inc.
- Thermo Fisher Scientific Inc.
- ABB Ltd
- Schneider Electric SE
- Honeywell International Inc.
- Mitsubishi Electric Corporation
- Yokogawa Electric Corporation
- Emerson Electric Co.
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Product
- Market Snapshot, By Component
- Market Snapshot, By Application
- Market Snapshot, By Region
- Global Industrial Automation Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
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Cost Reduction
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Demand for IoT
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Skill Shortages
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Predictive Maintenance
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- Restraints
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High Initial Costs
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Cybersecurity Concerns
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Compatibility Issues
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Complexity of Systems
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- Opportunities
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Industry 4.0 Adoption
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Cloud-Based Solutions
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AI and Machine Learning Integration
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Remote Monitoring
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- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Industrial Automation Market, By Product, 2021 - 2031 (USD Million)
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Machine Vision Systems
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X-Ray Inspection Systems
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Metal Detection Systems
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Checkweighing Systems
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- Global Industrial Automation Market, By Component, 2021 - 2031 (USD Million)
- Hardware
- Software
- Global Industrial Automation Market, By Application, 2021 - 2031 (USD Million)
- Process Automation
- Discrete Automation
- Global Industrial Automation Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Industrial Automation Market, By Product, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Advantech Co. Ltd.
- Clarke Solutions LLC
- Cognex Corp.
- Illinois Tool Works Inc.
- Inspection Systems Pty Ltd.
- John Bean Technologies Corp.
- Mettler-Toledo International Inc.
- Peco InspX
- Teledyne Technologies Inc.
- Thermo Fisher Scientific Inc.
- ABB Ltd
- Schneider Electric SE
- Honeywell International Inc.
- Mitsubishi Electric Corporation
- Yokogawa Electric Corporation
- Emerson Electric Co.
- Company Profiles
- Analyst Views
- Future Outlook of the Market