Industrial Automation Market Report 2025

The industrial automation market size has grown strongly in recent years. It will grow from $193.87 billion in 2024 to $205.11 billion in 2025 at a compound annual growth rate (CAGR) of 5.8%. The growth in the historic period can be attributed to the increasing adoption of robotics, strong economic growth in emerging markets, government support, and increasing automotive production.

The industrial automation market size is expected to see strong growth in the next few years. It will grow to $290.14 billion in 2029 at a compound annual growth rate (CAGR) of 9.1%. The growth in the forecast period can be attributed to the increasing adoption of IoT, rising healthcare expenditure, rising demand from the agriculture industry, and an increase in passenger air traffic. Major trends in the forecast period include leveraging artificial intelligence (AI) to improve efficiency and mass production, focusing on edge and cloud computing for real-time data processing, leveraging 5g technology, focusing on cybersecurity solutions, and focusing on cloud robots.

The growing importance of robotics is expected to drive the expansion of the industrial automation market. Robotics involves the design, manufacture, and operation of intelligent machines that assist humans. Its application in industrial automation is becoming more prevalent, as robots are used to manage various processes and machinery, enhancing efficiency, replacing manual labor, and improving speed and overall performance. For example, in April 2024, the International Federation of Robotics, a Germany-based non-profit organization, reported that in 2023, the total number of industrial robot installations increased by 12%, reaching 44,303 units. Thus, the rising significance of robotics is fueling growth in the industrial automation market.

An increase in passenger air traffic is projected to drive the growth of the industrial automation market in the future. Rising airline passenger traffic is anticipated to create greater demand for commercial airplanes, thereby boosting the need for automation in the aerospace industry. For instance, in July 2022, the International Air Transport Association, a Canada-based trade association representing the world’s airlines, reported that total air traffic in May 2022 increased by 83.1% compared to May 2021. Consequently, the rise in passenger air traffic is expected to fuel the growth of the industrial automation market.

Technological advancements, particularly the incorporation of Artificial Intelligence (AI) in robots, are key trends gaining momentum in the industrial automation market. AI enables robots to autonomously learn processes and even communicate with other robots and humans in certain scenarios. Market leaders are focusing on integrating AI technology into industrial robots to maintain their leadership positions. Mitsubishi Electric Corp., a Japan-based electronics company, announced plans in March 2022 to introduce new industrial robotic systems incorporating Maisart AI technologies, including high-precision speech recognition for operators to fine-tune robot movements as needed.

Major companies in the industrial automation market are increasingly focusing on developing innovative solutions like digital platforms to boost efficiency, enhance data analysis, and facilitate real-time monitoring of manufacturing processes. Digital platforms are online systems or software applications that allow users to connect, interact, and exchange information or services, often enabling automation, data analysis, and improved decision-making across various industries. For example, in September 2022, Siemens AG, a Germany-based leader in automation technology and industrial software, launched Siemens Xcelerator in India - a comprehensive software portfolio aimed at accelerating digital transformation. This platform integrates advanced technologies such as AI and IoT to improve productivity and streamline operations for manufacturers.

In March 2022, Directech Group, an Africa-based company specializing in industrial automation, acquired Autonumis, a UK-based company engaged in designing and manufacturing innovative refrigeration equipment. This acquisition supports Autonumis' operations and growth ambitions in the field of industrial automation, showcasing the ongoing developments in this dynamic market.

Major companies operating in the industrial automation market include Siemens AG, ABB Ltd, Mitsubishi Electric Corporation, Schneider Electric, Fanuc Corporation, Omron Corporation, Emerson Electric Co., Rockwell Automation, Inc., Yaskawa Electric Corporation, General Electric, EFACEC Electric International Engineering Co. Ltd, Precision Product Handling International Ltd, HK AA Industrial Co., International Coalition of Intelligent Manufacturing, Switek Technology Automation Co., Ltd, Youibot Robotics, InterTech Development Company, United magnetics co., ltd, Immetech Industrial Co., Ltd, Zinsser Analytic GmbH, Wiesemann & Theis GmbH, Lammers Automation GmbH, syskomp gehmeyr GmbH, vision-tec gmbh, Otc Daihen Europe Gmbh, Koch Textilpflege GmbH, Alukeep GmbH, WSCAD Nederland, Engmatec, Hexagon, Indusoft, Ltd, Sinkross, TEKKNOW, Roxor Industry, VERYSELL Industrial Systems Automation, FST Rus LLC, ProSoft, Rusatom Automated Control Systems, SMS-Automation, RONDO RUS, BFG Group, ProMach Innovation Center, Omnirobotic, Proment Inc., Denson Automation Inc, Rebel Automated Systems, Honeywell International Inc, Cognex Corporation, Teradyne Inc., National Instruments Corporation, Plexus Corp., Nauticus Robotics Inc., Novanta Inc., Yokogawa Electric, CI24 Controles Inteligentes, Rewo Uruguay, Danlesco Gulf LLC, ASCORP Industrial Complex LLC, Spex Insulation Contracting, Kimans Inc, Team Switchgear And Control L.L.C, Telinstra FZCO, Autochim Systems, Control Systems Integration (Pty) Ltd, Festo South Africa, DIRECTECH GROUP, SMC Corporation, JMP Group, Protea automation solutions.

Asia-Pacific was the largest region in the industrial automation market in 2024. The regions covered in the industrial automation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the industrial automation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

Industrial automation involves the computerized control and monitoring of processes, machines, or devices to carry out repetitive functions or tasks. Its purpose is to operate automatically, reducing and improving human work in various industries. These systems are governed by logical programming commands and robust machinery.

The key components of industrial automation include industrial robots, human-machine interfaces (HMI), industrial sensors, control valves, and other essential elements. HMIs are employed to monitor machinery, ensuring proper functionality, and they play a crucial role in machinery maintenance within industries. Various control systems, such as supervisory control and data acquisition (SCADA), distributed control system (DCS), programmable logic controller (PLC), Manufacturing Execution System (MES), component lifecycle management (PLM), enterprise resource planning (ERP), and human-machine interface (HMI), find applications in aerospace and defense, automotive, healthcare, energy and utilities, manufacturing, food and beverages, oil and gas, mining, transportation, and other diverse industries.

The industrial automation market research report is one of a series of new reports that provides industrial automation market statistics, including industrial automation industry global market size, regional shares, competitors with an industrial automation market share, detailed industrial automation market segments, market trends, and opportunities, and any further data you may need to thrive in the industrial automation industry. This industrial automation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The industrial automation market includes revenues earned by entities by manufacturing automation, automated quality inspection systems, process automation services, remote monitoring and control. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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