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Key Trends Influencing the Growth of the Automotive Manufacturing Equipment Market in 2025: Development Of Innovative Products To Drive The Revenues In The Market
Automotive Manufacturing Equipment Market
What Is the Expected CAGR for the Automotive Manufacturing Equipment Market Through 2025?
The market size of automotive manufacturing equipment has seen a swift expansion in the past few years. The market will increase from a worth of $7.53 billion in 2024 to a projected value of $8.38 billion in 2025, representing a compound annual growth rate (CAGR) of 11.2%. This significant growth during the historic period has been due to factors such as economic expansion, changes in consumer preferences, regulatory standards, internationalization of supply chains, and improvements in cost efficiency.
What's the Projected Size of the Global Automotive Manufacturing Equipment Market by 2029?
In the coming years, the market size of automotive manufacturing equipment is anticipated to experience significant growth. It is projected to reach $12.06 billion by 2029, growing at a compound annual growth rate (CAGR) of 9.5%. This growth during the forecast period can be credited to factors such as the adoption of electric vehicles, the integration of industry 4.0, environmental sustainability efforts, resilience in supply chain, and increasing demands for customization. Key trends to expect within this forecast period include the incorporation of industry 4.0 technologies, the emergence of collaborative robots (cobots), the implementation of Augmented Reality (AR) and Virtual Reality (VR), the use of 3D printing/additive manufacturing, a shift to flexible and modular production systems, and the development of sophisticated material handling systems.
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Top Growth Drivers in the Automotive Manufacturing Equipment Industry: What's Accelerating the Market?
The growing preference for electric vehicles is anticipated to fuel automotive manufacturing equipment market growth. Defined as cars primarily or entirely powered by electricity, as opposed to conventional vehicles that use internal combustion engines and depend on gasoline or diesel fuel, electric vehicles (EVs) are a key factor in the future of transportation. The vital role of automotive manufacturing equipment in the evolution of electric cars is of note, as this is where precision, efficiency and innovation combine to steer an eco-friendly automotive revolution. For example, the International Energy Agency, a France-based intergovernmental organisation, reported in July 2023 that while electric vehicle sales in 2022 stood at 10 million, an increase to 14 million is projected in 2023. Consequently, rising demand for electric vehicles is spurring the growth of the automotive manufacturing equipment market. The escalating adoption of Industry 4.0 is also predicted to drive growth in this sector. The fourth industrial revolution, Industry 4.0 is marked by the fusion of smart technologies, automation and data exchange in manufacturing processes. The uptake of this revolution enhances automotive manufacturing equipment through capabilities such as real-time data monitoring, predictive maintenance and linked systems for top efficiency and optimised production. For instance, the US-based non-profit organisation, the Central Indiana Corporate Partnership, stated in December 2022 that the implementation rate of Industry 4.0 technologies in various sectors, such as autonomous mobile robots, increased from 11% in 2021 to 16%. It follows that the accelerating adoption of Industry 4.0 is triggering the growth of the automotive manufacturing equipment market.
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What Trends Will Shape the Automotive Manufacturing Equipment Market Through 2029 and Beyond?
Big firms in the market are pushing to increase their earnings by focusing on product innovation. One example of such innovation is the development of a serial-link robot; a robotic arm setup where a series of sturdy links are connected from end to end in a chain-like formation. Take for example FANUC, a Japanese robotics company, that unveiled the M-1000iA, the biggest serial-link robot, in January 2022. This heavy-duty robot is designed to handle bulky items like automotive parts, construction materials and battery packs for electric vehicles. Thanks to its serial-link design, this robot has an enhanced range of motion in all directions, enabling it to stretch its arm straight up or swivel it backward. With a carrying capacity of 1000 kg, a horizontal reach of 3,253mm, and a vertical reach of 4,297mm, the M-1000iA is the perfect choice for manufacturers looking to boost productivity and optimize efficiency on the production line.
What Are the Main Segments in the Automotive Manufacturing Equipment Market?
The automotive manufacturing equipment market covered in this report is segmented -
1) By Equipment Type: CNC Machine, Conveyor Belt, Injection Molding Machine, Robot, Stamping Machine, Welding Machine
2) By Mode of Operation: Automatic, Semi-Automatic
3) By Vehicle Type: Passenger Vehicle, Commercial Vehicle
Subsegments:
1) By CNC Machine: Lathes, Milling Machines, Drilling Machines, Grinding Machines
2) By Conveyor Belt: Roller Conveyors, Belt Conveyors, Chain Conveyors, Overhead Conveyors
3) By Injection Molding Machine: Hydraulic Injection Molding Machines, Electric Injection Molding Machines, Hybrid Injection Molding Machines
4) By Robot: Articulated Robots, Cartesian Robots, SCARA Robots, Collaborative Robots
5) By Stamping Machine: Mechanical Stamping Machines, Hydraulic Stamping Machines, Pneumatic Stamping Machines
6) By Welding Machine: Arc Welding Machines, Resistance Welding Machines, Laser Welding Machines, Ultrasonic Welding Machines
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Which Top Companies are Driving Growth in the Automotive Manufacturing Equipment Market?
Major companies operating in the automotive manufacturing equipment market report are Siemens AG, Denso Corporation, Mitsubishi Electric Corporation, ABB Ltd., Emerson Electric Co., JTEKT Corporation, Seiko Epson Corporation, Rockwell Automation Inc., Bosch Rexroth AG, FANUC Corporation, Hexagon AB, Trumpf GmbH, Dürr Group, Daifuku Co. Ltd., Yaskawa Electric Corporation, KUKA AG, DMG MORI Co. Ltd., Amada Co. Ltd., ATS Automation Tooling Systems Inc., Nachi-Fujikoshi Corporation, Schuler AG, Stäubli International AG, Okuma Corporation, Cognex Corporation, AIDA Engineering Ltd., HD Hyundai Robotics, Fronius International GmbH, Kawasaki Heavy Industries Ltd., Universal Robots A/S, Comau SpA
Which Regions Will Dominate the Automotive Manufacturing Equipment Market Through 2029?
North America was the largest region in the automotive manufacturing equipment market in 2024. The regions covered in the automotive manufacturing equipment market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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