ID: MRFR/E&P/1337-HCR | 188 Pages | Published By Anshula Mandaokar on March 2023
According to forecasts, the Industry Controls and Factory Automation Market is expected to reach approximately USD 272.17 billion at a CAGR of 9.30% from 2022 to 2030.
The industrial sector has been swiftly evolving with the continuous introduction of advanced technologies like robots, artificial intelligence, and others. by 2030. Additionally, automation allows production and material handling processes to be completed quickly using intelligent manufacturing infrastructure. Industries are implementing industrial automation and control systems to boost efficiency and save labor costs. In addition, the industrial industry has been quickly adopting new technologies and enhanced networking architectures due to Industry 4.0. Additionally, technological advancement, expanding infrastructure opportunities, and increased operational efficiency demands all influence factory automation. However, high initial and subsequent capital expenditures, a lack of technical know-how, and a lack of maintenance awareness are impeding the growth of the industrial automation industry.
The industrial automation sector has seen ongoing investments in its advancements and has significantly increased its contribution to economic growth. However, the industrial automation market's value chain has been significantly disrupted by the COVID-19 epidemic. Additionally, this will lead to a decline in the shipments of industrial automation components and solutions and the associated revenue. Additionally, the COVID-19 pandemic has affected practically every industry worldwide, including machinery and industrial automation. Additionally, as a result, the market's growth tendency decreased in the first half of 2020. This is anticipated to end in the year's second half due to rising demand brought on by concerns over smart automation, energy efficiency, and resource efficiency.
The digitization and Industry 4.0 revolution have significantly accelerated the expansion of automation in various industries by enabling smarter and digital instruments, including robotics and control systems, to enhance production processes. Some of the major reasons projected to propel expansion in the industrial control and factory automation market include the expanding accessibility of industrial robots in the manufacturing industry and energy performance in the production process. But some of the challenges projected to obstruct demand growth during the projection period include costly initial capital investments, volatility in raw material prices, and government regulation scenarios.
Governments worldwide assist in industries' growth to ensure their nations' comprehensive development. Industries' structural development has resulted in using numerous automation and communication components and technologies. Governments are concentrating on the growth of discrete and process industries. India's manufacturing industry's growth is fueled by the government's national manufacturing policy (NMP). The Make in India policy is one of the measures the Indian government has launched to encourage businesses to automate their manufacturing facilities.
The cost-effectiveness of industrial automation processes is offset by the substantial initial capital expenditures needed for employee training and technology implementation. With the fragmented nature of the market, the return on investment (ROI) cannot be predicted. Small and medium-sized businesses (SMEs) are reluctant to utilize the benefits of technology because of the high upfront expenses and unpredictable return on investment. However, government initiatives like the Make in India movement and the Government of India's MSME company financing program are anticipated to remove this barrier and soon open up new markets for solutions.
The digital supply chain across industries has changed due to Industry 4.0. Organizations must embrace industry 4.0 by customers' evolving needs, such as fast and personalized services. The market participants collaborate with tech-savvy businesses to provide novel solutions based on rapidly evolving technologies. Companies are concentrating on using 5G, industry 4.0, digital transformation, and software capabilities through partnerships and collaborations to help manufacturers scale up their business and realize the potential of industry 4.0 technologies and solutions. In the upcoming years, these alliances and collaborations are projected to increase demand for automation solutions across industries.
The industry controls and factory automation market segmentation, based on component, is industrial robots, machine vision, control valves, HMI, industrial PC, and industrial 3D printing. The industrial robots component type segment is anticipated to dominate the market. Manufacturing organizations use the extensive use of industrial robots and cutting-edge equipment to optimize processes that call for quickness, sturdiness, and accuracy is the cause of this increase. Additionally, industrial 3D printing witnessed significant growth. The sector is anticipated to increase due to the aggressive three-dimensional printing R&D and the rising demand for prototype applications from different industrial verticals, particularly healthcare, automotive, aerospace, and military.
The industry controls and factory automation market segmentation, based on solution, is SCADA, PLC, DCS, PAM, PLM, and MES. The market growth was prominently high in the DCS sector. This rapid adoption of IIOT is driving a DCS's market growth. The Supervisory Control and Data Acquisition (SCADA) market is predicted to grow at a considerable CAGR due to the increased use of industry 4.0.
By region, the industry controls and factory automation market has been categorized into Asia-Pacific, Europe, North America, and the Rest of the World. The fastest CAGR is anticipated for Europe during the review period. The largest share of the market was in Asia-Pacific.
With a major revenue share in 2021, the Asia-Pacific region dominated the industrial automation and control systems market. Key market players and developing businesses are present, which are responsible for this robust expansion. The rising need for improved industrial plant management systems in China and India is driving market expansion in this region. It's a common tendency for traditional manufacturing facilities to be incorporated into smart factories, which helps to increase public acceptance of industrial automation. Additionally, government programs in India like Make in India and MSME help small and medium-sized companies embrace cutting-edge manufacturing techniques.
In 2021, Europe held a significant market share. With a sharp rise in competition and rising end-user demands, the manufacturing facilities in the area have been compelled to adopt the newest technical advancements and digital transformation capabilities to optimize their business operations. This has resulted in a considerable expansion. Significant corporations are putting industrial automation goods on the market and are also being used in many regional sectors, including the automobile, healthcare, manufacturing, and others.
There are tier-1, tier-2, and local companies in the market. The projected period is expected to see continued prominence of organic and inorganic growth strategies, including product launches, mergers & acquisitions, technical developments, and expansion. For instance, in July 2022, Rockwell Automation, Inc., the world's biggest company committed to industrial automation and digital transformation, announced the Asia-Pacific introduction of the PowerFlex AC variable frequency drive portfolio to suit a wide range of motor control applications. Customers will benefit from increased flexibility, performance, and intelligence in their next-generation drive thanks to TotalFORCE Technology. Furthermore, in May 2022, Honeywell and DENSO Corporation worked together to develop an electric motor for the Lilium Jet. This is the two firms' joint venture, representing DENSO's introduction into the aerospace market.
Prominent players in the industry controls and factory automation market research include Emerson, ABB, Siemens, Schneider Electric, General Electric, Rockwell Automation, Yokogawa, Honeywell, Endress+Hauser, Omron, Wika, Fanuc, Stratasys, Mitsubishi Electric Corporation, Dwyer, and 3D Systems.
The study's objectives are outlined in five stages. They are as mentioned below:
To determine and evaluate the market's size for the industry controls and factory automation market report is categorized by components and solutions by value (in US dollars). Additionally, to comprehend the need for and consumption by consumers in the industry controls and factory automation market forecast between 2022 and 2030
To determine and infer the drivers, restraints, opportunities, and challenges in the industry controls and factory automation market growth (Profitability, Benchmarking, Volume, Value, Macro-Economic Factors, Y-o-Y Growth Analysis)
To find out the factors which are impacting the industry controls and factory automation market size among the consumers (Gross Margin, Sales Footprint, Strategy, Channels, Economic Outlook, Growth Projections)
To determine and understand the various factors involved in the market affected by the pandemic
To provide detailed information into the leading market players operating in the market. The company's financial performance during the last two to three years will be described, along with product offers, recent developments, SWOT assessments, and significant business efforts.
|Market Size||2030: USD 272.17 billion|
|CAGR||9.30% CAGR (2022-2030)|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Growth Factors, Competitive Landscape, and Trends|
|Segments Covered||Components and Solution|
|Geographies Covered||Europe, North America, Asia-Pacific, and the Rest of the World (RoW)|
|Key Vendors||Emerson, ABB, Siemens, Schneider Electric, Mitsubishi Electric Corporation, General Electric, Rockwell Automation, Yokogawa, Honeywell, Endress+Hauser, Omron, Wika, Fanuc, Stratasys, Dwyer, and 3D Systems.|
|Key Market Opportunities||Government initiatives to promote industrial automation|
|Key Market Drivers||Implementing industry 4.0 manufacturing concepts|
The industry controls and factory automation market forecast period is 2022 - 2030
A CAGR of 9.30% is anticipated for the market in the upcoming ten years, according to industry controls and factory automation market research.
Europe is predicted to have the highest CAGR during 2022 - 2030
In 2021, Asia-Pacific accounted for the biggest proportion
The market size is expected to be USD 272.17 billion by 2030.
Emerson, ABB, Siemens, Schneider Electric, Mitsubishi Electric Corporation, General Electric, Rockwell Automation, Yokogawa, Honeywell, Endress+Hauser, Omron, Wika, Fanuc, Stratasys, Dwyer, and 3D Systems are the largest businesses present on the world market.