Industrial and Factory Automation Market Size (2024 – 2030)

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The Industrial and Factory Automation Market was estimated to be worth USD 161.15 billion in 2023 and is projected to reach a value of USD 281.60 billion by 2030, growing at a CAGR of 8.3% during the forecast period 2024-2030.

Industrial and factory automation is the use of an external control element to manage a variety of processes and associated process equipment. SCADA, PLC, machine vision systems, sensors, and other services are some of these control aspects. The incorporation of these control devices with moving machines boosts output while lowering labor costs and waste generation. In industries, high-tech robots and Remote Terminal Units (RTUs) are employed for efficient manufacturing processes. Real-time data interchange and communication capabilities between the field and the controller have improved thanks to the implementation of Internet of Things (IoT) power in these devices. Therefore, all production systems have improved as a result of industrial automation.

Global Industrial and Factory Automation Market Drivers:

The market for industrial and factory automation may expand more quickly as a result of government measures to promote industrial automation:

Governments all across the world are assisting in the growth of industries to ensure the comprehensive development of their nations. For the structural growth of industries, this has resulted in the use of numerous automation and communication components and technologies. The development of the discrete and process industries is a priority for governments. For instance, the Singaporean government has worked with several groups, such as the Food Innovation Resource Centre and the Singapore Food Manufacturing Association (SFMA), to adopt the most up-to-date automation techniques in the food and beverage sector, including SCADA, PLC, DCS, robots, and cables. The growth of India's manufacturing industry is being fueled by the government's national manufacturing strategy (NMP). One of the initiatives the Indian government has introduced to encourage companies to automate their manufacturing plants is the Make in India program.

Industry Adoption and the market expansion of industrial and factory automation can be fueled by Industry 4.0 concepts for manufacturing:

Due to the adoption of industrial 4.0 concepts in the manufacturing, oil and gas, food and beverage, chemical, and automotive industries, the market for industrial controls is expanding quickly. With the introduction of Industry 4.0, the majority of procedures and systems in the manufacturing industry are becoming automated, enabling production facilities to run continuously without any human mistakes. This shortens the whole production cycle time while maintaining the standard of the operations from the stage of acquiring raw materials to the creation of finished goods. Automation systems like SCADA, HMI, DCS, and PLC may be used to operate and control machines installed in industrial facilities. Industry 4.0 combines cloud computing, IoT, and cyber-physical systems. It helps the industrial sector by enabling remote manufacturing processes and smart real-time data collecting. Operational effectiveness, productivity, product quality, asset utilization, supply chain management, workplace safety, and environmental sustainability may all be improved thanks to Industry 4.0. Therefore, it is anticipated that throughout the projected period, market participants would benefit greatly from the implementation of Industry 4.0 concepts for automation in a variety of industries.

Global Industrial and Factory Automation Market Challenges:

The market may be hampered by a lack of competent labor to run industrial automation systems and devices:

Only qualified staff should operate industrial automation devices and systems since the complexity of the production processes may be misconstrued by untrained people, which can lead to errors and malfunctions. Due to a lack of suitable content, human and financial resources, usability issues, and technological issues, industrial automation systems may experience difficulties working. As a result, a lack of expertise prohibits automation from being used in many firms. It presents a challenge for the market for factory automation and industrial controls as well. The US-based National Council for Advanced Manufacturing (NACFAM) has adopted supply chain integration, sustainable manufacturing, technical innovation, and talent development strategies for advanced manufacturing. NACFAM claims that certain small and medium-sized businesses (SMEs) are unable to help the defense sector due to a lack of experience brought on by a lack of familiarity with cutting-edge and innovative technology. In the end, this hinders the automation of the defense sector.

COVID-19 Impact on Global Industrial and Factory Automation Market:

2020 has seen a decline in the market for industrial and factory automation as a result of COVID-19, which will also hurt the revenue these goods produce. As a result, the industry's overall growth slowed down in the first half of 2020. The second half of the year is likely to see a reversal of this trend as demand increases due to growing concern over intelligent automation and increasing energy efficiency. The industrial & factory automation market's value chain has been significantly impacted by the COVID-19 epidemic. The pandemic has had a significant negative influence on the countries that create the majority of the world's industrial and factory automation industry, including the United States, China, South Korea, and Japan. Due to the global downturn, there is now low demand in the discrete and process sectors, which is anticipated to persist for the foreseeable future.

Global Industrial and Factory Automation Market Recent developments:

• In April 2022: The OpreX Vortex Flowmeter VY Series was unveiled by Yokogawa. These flowmeters are made to withstand a greater variety of pressures, temperatures, and fluid kinds. They may use information from pressure gauges and readings from a built-in temperature sensor to do exact temperature and pressure-compensated computations.
• In March 2022: Emerson introduced MTConnect, a driver for the industrial control platform that enables simple computer numerical control (CNC) machine connection with contemporary data analysis automation systems. Data from machines, robots, tools, and gadgets may now be collected and analyzed collectively on one platform, which was before not possible. The new driver promises less downtime, more effectiveness, and higher output.

INDUSTRIAL AND FACTORY AUTOMATION MARKET REPORT COVERAGE:

Global Industrial and Factory Automation Market Segmentation

Global Industrial and Factory Automation Market Segmentation: By Component

• Industrial Robots
• Machine Vision
• Process Analyzer
• Field Instruments
• Human Machine Interface
• Industrial PC
• Industrial Sensors
• Industrial 3D Printing
• Vibration Monitoring

Sensors, industrial robots, machine vision, control valves, industrial personal computers, and control devices are the different segments of the market. In 2022, sensors accounted for the greatest market share. Due to their extensive usage in the automotive, medical, consumer electronics, and armed services industries, sensors are becoming more and more popular in the industrial automation control industry. In addition, because of technological developments, force/torque sensors, and end-effectors, manufacturers are significantly automating these jobs using robotics. Polishing is an example of a monotonous, taxing task that may be automated for efficient outcomes.

Industrial robots are devices that can automatically complete a variety of activities including welding, painting, assembling, picking, and putting. They are extensively employed in sectors of the economy such as medicines, metal and equipment, food and beverage, electronics, and automotive.  The market share for industrial robots increased the quickest. Industrial robot demand is growing due to factors including rising labor costs, increased automation demand, bettering quality and productivity, and technical improvements.

Global Industrial and Factory Automation Market Segmentation: By Solution

• SCADA
• PLC
• DCS
• MES
• Industrial Safety
• PAM

The market segments include manufacturing execution systems, industrial safety, distributed control systems, supervisory control and data acquisition, programmable logic controllers, supervisory control and data acquisition, and plant asset management. The biggest market share was obtained by the Distributed Control System (DCS). Instead of being centralized, a distributed control system (DCS) is a digital automated industrial control system that has spatially isolated control loops spread over a manufacturing facility, device, or regulation zone. Different portions of the plan can receive instructions thanks to the placement of DCSs, which ensure that every component of a manufacturing facility is controlled by one or more controllers. It commands the greatest attention. Industrial safety is the market category that is expanding the quickest. Increased worker safety rules and standards, expanding need for automation and digitalization in hazardous situations, and the rising use of industrial robots and cobots are all contributing reasons to the market growth for industrial safety.

Global Industrial and Factory Automation Market Segmentation: By Industry

• Process Industry
• Discrete Industry

Process industry and discrete industry are two subcategories of the market.  The global market was controlled by the process industry. Process industries are exemplified by additives, food, beverages, petroleum, base metals, paper and paper products, pharmaceutical firms, and other industries. The major end-user of a DCS (Distributed Control System) is the process industry since this sector often monitors and controls fluids like water, milk, and oil. The DCS continually manages and controls the liquid flow and the mixing of various industrial components throughout the production process, working with valves and other instruments. PLCs (Programmable Logic Controllers) are also widely utilized in process industries including the food, water, and oil and gas sectors.

Global Industrial and Factory Automation Market Segmentation: By Region

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Throughout the projected period, Europe will lead the market for industrial and factory automation. This rise may be ascribed to the widespread usage of manufacturing-related supporting technologies like industrial robots, big data, and cybersecurity, as well as to the requirement for mass production. The manufacturing industries have seen a surge in the sales of robots. The region's need for industrial automation is being driven by the growing market for electronic goods and the necessity to automate manufacturing Over the course of the projection, it is anticipated that the Industrial and Factory Automation market in Asia Pacific will grow significantly, followed by that in Europe. The United States, Mexico, and Canada. The seamless integration of marketplaces is what makes this region prosperous. The market is consistently expanding in terms of profits. The majority of the North American economy is under US control due to its very wide industrial demand. In terms of advancements and upgrades, manufacturers in this region have a lot more freedom than those in Europe and certain parts of Asia. However, a few companies in North America have reached a saturation point, prompting the creation of fresh strategies to address market shortcomings.

Key Players:

1. ABB Ltd.
2. Emerson Electric Co.
3. Siemens AG
4. Omron Corp
5. Mitsubishi Corp
6. Honeywell International Inc.
7. General Electric Co
8. Rockwell Automation
9. Yokogawa Electric Corp
10. Schnieder Electric SE
11. Fanuc Corp