Press release
Industrial Automation Market to Reach US$345.73 Bn by 2031, Driven by Smart Tech Adoption 2/2
✅Industrial Automation Market: Transforming the Future of Manufacturing and EfficiencyOverview of the Market
The global industrial automation market is witnessing a profound transformation driven by the increasing demand for operational efficiency, reduced human intervention, and technological advancements. Valued at US$184.34 billion in 2024, the market is projected to surge to US$345.73 billion by 2031, registering a robust CAGR of 9.4% during the forecast period. This growth reflects the widespread adoption of automation technologies across sectors like manufacturing, energy, automotive, and logistics.
One of the primary growth drivers is the rise in smart factories and the adoption of Industry 4.0 principles, which emphasize connectivity, data exchange, and automation. Among various segments, robotic process automation (RPA) is emerging as the leading segment due to its extensive use in repetitive task automation. Asia Pacific leads the global market, primarily due to rapid industrialization in China, Japan, and India, coupled with favorable government initiatives for industrial modernization.
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➤Key Highlights from the Report
➤The industrial automation market is expected to grow at a CAGR of 9.4% from 2024 to 2031
➤Asia Pacific is the leading region due to rapid industrial development and smart factory adoption
➤Robotic Process Automation (RPA) is the dominant segment in terms of technological adoption
➤Energy and manufacturing sectors are the largest consumers of industrial automation technologies
➤Artificial Intelligence and IoT integration are propelling next-gen automation solutions
➤Demand for remote monitoring and predictive maintenance is rising sharply
✅What are the benefits of adopting industrial automation in manufacturing?
Industrial automation brings numerous benefits to the manufacturing sector, enhancing productivity, precision, and operational efficiency. Automated systems minimize human error and allow for continuous production, significantly increasing throughput. This leads to cost reduction in the long term as machines can operate 24/7 with minimal supervision. Moreover, automation enables better quality control through real-time monitoring and consistent performance, improving product reliability. By integrating advanced technologies like machine learning, IoT, and predictive analytics, companies can make informed decisions, optimize maintenance schedules, and avoid unplanned downtimes. Additionally, it improves worker safety by taking over hazardous tasks and enabling remote operations. Overall, automation empowers manufacturers to stay competitive and responsive to market demands.
✅Market Segmentation
The industrial automation market can be segmented based on product type into supervisory control and data acquisition (SCADA), distributed control systems (DCS), programmable logic controllers (PLC), human-machine interface (HMI), and robotic systems. Among these, robotic systems and PLCs are gaining substantial traction due to their extensive application in precision tasks and assembly line operations.
From the end-user perspective, the market is categorized into manufacturing, oil & gas, automotive, energy & utilities, food & beverages, and pharmaceuticals. The manufacturing sector dominates the market, driven by the need for streamlined processes, operational efficiency, and high-quality output. Meanwhile, the energy sector is also adopting automation for grid monitoring and smart distribution.
✅Regional Insights
Asia Pacific dominates the global industrial automation market, backed by the rapid expansion of manufacturing facilities, increasing labor costs, and government incentives supporting digital transformation in countries like China, India, and Japan.
North America follows as a strong contender, owing to early adoption of advanced technologies, robust R&D infrastructure, and the increasing trend of smart factories in the United States and Canada.
✅Market Drivers, Restraints, and Opportunities
Market Drivers
One of the most significant drivers is the rising adoption of Industry 4.0 standards across industries, focusing on smart manufacturing through real-time data analytics, cloud computing, and interconnected devices. Companies are prioritizing automation to reduce production costs, increase productivity, and meet consumer expectations for quality and speed.
Market Restraints
Despite its advantages, the market faces challenges such as high initial investment costs and complexities in integrating new systems with legacy infrastructure. Small and medium enterprises (SMEs) often hesitate due to budget constraints and lack of skilled professionals capable of operating and maintaining sophisticated automation systems.
Market Opportunities
Opportunities lie in the rising trend of remote factory management, particularly post-pandemic, which has underlined the importance of resilience and remote operability. Moreover, the integration of AI and machine learning in automation systems promises to unlock new efficiencies and adaptive responses, creating lucrative growth avenues.
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☑Gain insights into leading segments and regional performance with actionable data
☑Stay updated with recent developments and strategic initiatives of key players
✅Company Insights
✦ABB Ltd.
✦Siemens AG
✦Rockwell Automation
✦Emerson Electric Co.
✦Honeywell International Inc.
✦Schneider Electric SE
✦Mitsubishi Electric Corporation
✦Yokogawa Electric Corporation
✦Fanuc Corporation
✦General Electric Company
■In 2024, Siemens launched its "Xcelerator" portfolio aimed at integrating AI and digital twins into industrial automation systems.
■ABB introduced a new line of modular robotic arms with built-in machine learning capabilities for real-time adaptive manufacturing.
✅Conclusion
The industrial automation market is on a fast-paced growth trajectory, propelled by technological evolution and the rising need for smart, efficient, and safe industrial operations. As businesses strive to enhance productivity, reduce operational costs, and embrace sustainable manufacturing practices, automation stands at the forefront of this transformation. With significant opportunities across emerging economies and increasing integration of AI, IoT, and advanced analytics, the market is poised for continued expansion and innovation. Organizations that embrace these advancements early will not only achieve operational excellence but also secure a strong competitive edge in the evolving global landscape.
✅About Persistence Market Research:
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