USD 263.60 billion
Factory Automation Market Size, Share, Growth Analysis, By Component(Sensors, controllers, switches and relays, industrial robots), By Industry Vertical(Automotive manufacturing, food and beverage, oil and gas processing, mining), By Region - Industry Forecast 2024-2031
Report ID:
SQMIG20I2239 |
Region:
Global |
Published Date: April, 2024
Pages:
202
|Tables:
68
|Figures:
75
Factory Automation Market Insights
Global Factory Automation Market size was valued at USD 263.60 billion in 2022 and is poised to grow from USD 286.53 billion in 2023 to USD 558.48 billion by 2031, growing at a CAGR of 8.7% during the forecast period (2024-2031).
The adoption of automation and control systems in manufacturing plays a pivotal role in reducing errors, leading to time and cost savings, and ultimately enhancing customer satisfaction.
The emergence of smart factories, integrating intelligent systems, components, machinery, and equipment, is reshaping processes through automation and self-optimization, significantly impacting the market. The convergence of digital and physical elements in manufacturing is revolutionizing the automation industry, striving for optimal performance.
The pursuit of zero-waste production and faster time-to-market is a driving force behind market growth. The Industrial Internet of Things (IIoT) and Industry 4.0 are pivotal in the technological evolution of smart factory automation, connecting machinery and devices via the Internet, dominating trends in the industrial sector.
Industry 4.0 and IoT-induced shifts in manufacturing necessitate enterprises to embrace agile, intelligent approaches to advance production, leveraging technologies that complement human labor with automation to mitigate industrial accidents resulting from process failures.
Automakers globally recognize the transformative potential of next-gen robots and automation technologies, promising improvements in productivity, quality, safety, and cost efficiency.
The escalating costs of labor across various domains and increasingly stringent quality standards further underscore the potential for factory automation to reduce production, operating, and labor expenses.
Market snapshot - 2024-2031
Global Market Size
Largest Segment
Automotive manufacturing
Fastest Growth
Automotive manufacturing
Growth Rate
8.7% CAGR
Global Factory Automation Market ($ Bn)
Country Share for Asia Pacific Region (%)
To get more reports on the above market click here to Buy The Report
Factory Automation Market Segmental Analysis
The global factory automation market is segmented on the basis of components, industry verticals, and region. Based on components, the market is segmented into sensors, controllers, switches and relays, industrial robots, drives, and others. By industry vertical, the market is categorized into automotive manufacturing, food and beverage, oil and gas processing, mining, and others. Region wise, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Analysis by Components
Industrial robots have traditionally been one of the biggest components of the factory automation market. These robots play an important role in the automation of various processes, improving accuracy, efficiency, and flexibility. The demand for industrial robots is driven by industries such as automotive and electronics manufacturing, where automation is needed to improve productivity and maintain high standards.
The sensors and controllers segment is one of the fastest growing segments in the enterprise automation market. As industries move towards connected and intelligent manufacturing, the demand for sensors and controls has increased. These features are critical for collecting data, monitoring processes, and enabling real-time decision-making in smart workplaces. The growing adoption of the Industrial Internet of Things (IIoT) and Industry 4.0 has further accelerated the growth of sensors and controllers in factory automation.
Analysis by Industry Verticals
Automotive manufacturing has traditionally been one of the largest segments in the factory automation market. Automakers are adopting automation solutions in many different areas, including assembly lines, inventory management, quality control, and more. The demand for accuracy, efficiency, and productivity in the automotive industry has been a driving force for the widespread use of industrial automation technologies.
While this may vary depending on timelines and specific market conditions, eCommerce logistics has shown remarkable growth in the adoption of factory automation as eCommerce platforms proliferate, faster and more accurate order fulfillment, and increased demand for companies in this segment to check warehouses, and select orders. The need for more flexible and efficient logistics operations with investments in automation technologies such as robotic systems was accelerating the growth of factory automation in this sector.
Global Factory Automation Market By Industry Verticals
To get detailed analysis on other segments, Request For Free Sample Report
Factory Automation Market Regional Insights
Asia-Pacific has become a dominant force in the global office automation market. Countries such as China, Japan, South Korea, and India have been significant contributors to the region’s strong market position. With its large manufacturing base, China tends to hold the largest market share. In the Asia-Pacific region, factory automation is growing rapidly due to the continuous expansion of industrial activities, government initiatives to promote smart manufacturing, and adoption of advanced technologies, especially as China leads the way in automation.
The United States is generally the most important country in the North American office automation market. The business unit benefits from advanced manufacturing processes, technological innovation, and a focus on increasing efficiency in industrial processes. While not always growing at a rapid pace, North America is seeing steady growth thanks to a hybrid of Industry 4.0 technologies, an increased emphasis on smart manufacturing, and automated solutions for being recognized to compete in the global market
Global Factory Automation Market By Region
- Largest
- Fastest
To know more about the market opportunities by region and country, click here to
Buy The Complete Report
Factory Automation Market Dynamics
Drivers
Increased Efficiency and Cost Savings
- The adoption of automated plants is largely driven by the demand for greater efficiency and cost savings in manufacturing. The use of scheduling and technology helps reduce errors, improve production accuracy, and improve resource efficiency. This saves manufacturers significant time and cost. Automation increases productivity, reduces waste, and improves overall efficiency. Companies are increasingly investing in automation to streamline their manufacturing processes, reduce labor costs, and gain a competitive advantage in the marketplace.
Restraints
High Initial Implementation Costs
- A distinctive mandate in the factory automation market is the high initial cost associated with the use of automation. Upfront costs to acquire and deploy automated systems, including robotics, sensors and control systems, can be significant. This financial crisis may discourage small and medium-sized enterprises (SMEs) from adopting automation, limiting market growth in this segment. But with technological advances and economic growth, costs tend to fall over time, allowing a wider range of businesses to acquire automation.
Request Free Customization of this report to help us to meet your business objectives.
Factory Automation Market Competitive Landscape
The global office automation market exhibits high competition characterized by the presence of major entrepreneurs trying to dominate the market. Well-known brands use their many products and innovative solutions, playing an important role. These companies continue to invest in research and development to introduce advanced automation technologies, with an emphasis on efficiency, interoperability and flexibility. In addition, collaboration, partnerships and acquisitions are common strategies used to increase market presence and expand industrial capacity Emerging players including Yokogawa Power Corporation and Omron Corporation are developing which stands out in providing specialized automation solutions. With Industry 4.0 and the growing capabilities of the Industrial Internet of Things (IIoT), competitive edge is increasing, forcing market participants to stand out through cutting-edge technologies and moving service offerings later on.
Top Player’s Company Profiles
- Siemens AG
- ABB Ltd.
- Rockwell Automation, Inc.
- Mitsubishi Electric Corporation
- Schneider Electric SE
- Emerson Electric Co.
- Honeywell International Inc.
- Yokogawa Electric Corporation
- Omron Corporation
- Fanuc Corporation
- Bosch Rexroth AG
- General Electric Company (GE)
- Keyence Corporation
- KUKA AG
- Yaskawa Electric Corporation
- Advantech Co., Ltd.
- Delta Electronics, Inc.
- Beckhoff Automation GmbH & Co. KG
- Panasonic Corporation
- National Instruments Corporation
Recent Developments
- In June 2022, Mitsubishi Electric Corp. extended plans to set up a new automated manufacturing plant in India, to create a global third-class manufacturing plant and increase revenue in the market as it is expanding rapidly. This strategic move is designed to strengthen the supply chain and position Mitsubishi Electric as a key player in the industrial sector. With the Indian market expanding at around 8%, especially in the automotive, pharmaceutical, food and beverage, data center, and textile industries, market growth is expected to continue with the upcoming offerings, which are set to begin operations in December By 2023, focus on manufacturing inverters and new factory automated control system products, which will enhance Mitsubishi’s ability to meet the growing demand in India.
- In May 2022, DENSO Corporation and Honeywell unveiled their joint venture to co-develop power plants specifically designed for the Lilium Jet. This groundbreaking initiative represents the first joint venture since the two companies formalized their agreement and marks. Denso's first foray into space Working close to Lilium's world-class flight, the first all-electric vertical landing ("eVTOL") in partnership with the newly developed electric motor seamlessly integrated into Lilium's aircraft engines. This strategic agreement confirms the companies' commitment to highlighting the introduction of innovative solutions in the aerospace industry.
Factory Automation Key Market Trends
- One of the most important trends in the factory automation market is the increasing adoption of collaborative robots or cobots. Unlike traditional industrial robots that work alone, cobots are designed to work with humans in a collaborative work environment. This trend stems from the need for flexible and scalable automation solutions. Cobots are secure, user-friendly, and can be easily configured and reconfigured for different tasks. Their use is particularly useful in industries where human-robot collaboration is important, such as in assembly lines or manufacturing where complex tasks requiring human intervention. Cobots increasingly expose changes towards a more collaborative and integrated approach to automation in manufacturing.
Factory Automation Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Component types team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
According to our analyses, the global factory automation market has witnessed tremendous growth driven by the increasing adoption of advanced technologies such as the Industrial Internet of Things (IIoT) Industry 4.0. The demand for cost savings, increased productivity and zero waste management has undoubtedly pushed the market further. The rise of collaborative robots (cobots) and the continued development of automation technologies underscore the industry’s commitment to innovation. Despite the initially high cost of implementation, the market is showing resilience, with steady revenue growth, reflecting an ongoing paradigm shift towards smarter, more agile and integrated products.
| Report Metric | Details |
|---|---|
| Market size value in 2022 | USD 263.60 billion |
| Market size value in 2031 | USD 558.48 billion |
| Growth Rate | 8.7% |
| Base year | 2023 |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
|
| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
To get a free trial access to our platform which is a one stop solution for all your data requirements for quicker decision making. This platform allows you to compare markets, competitors who are prominent in the market, and mega trends that are influencing the dynamics in the market. Also, get access to detailed SkyQuest exclusive matrix.
Buy The Complete Report to read the analyzed strategies adopted by the top vendors either to retain or gain market share
Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Factory Automation Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Factory Automation Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Factory Automation Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Factory Automation Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Factory Automation Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Factory Automation Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
USA (+1) 351-333-4748
