Pulp and Paper Automation Market Report 2026

The pulp and paper automation market size has grown strongly in recent years. It will grow from $6.79 billion in 2025 to $7.28 billion in 2026 at a compound annual growth rate (CAGR) of 7.3%. The growth in the historic period can be attributed to increasing demand for operational efficiency, expansion of large-scale pulp and paper plants, rising energy cost pressures, availability of industrial automation solutions, growing focus on production optimization.

The pulp and paper automation market size is expected to see strong growth in the next few years. It will grow to $9.58 billion in 2030 at a compound annual growth rate (CAGR) of 7.1%. The growth in the forecast period can be attributed to increasing investments in smart manufacturing initiatives, rising adoption of AI-driven process optimization, expansion of digital twin technologies, growing emphasis on sustainability compliance, increasing demand for real-time production analytics. Major trends in the forecast period include increasing deployment of mill-wide automation systems, rising adoption of advanced process control solutions, growing integration of predictive maintenance platforms, expansion of energy optimization automation, enhanced focus on quality consistency.

The growing need for industrial automation is anticipated to drive the expansion of the pulp and paper automation market in the coming years. Industrial automation employs advanced technologies like robotics, control systems, and computer software to streamline and optimize manufacturing operations, reducing human involvement while boosting efficiency and productivity in industrial environments. These automation systems oversee and regulate different stages of pulp and paper production to enhance product quality, minimize waste, and lower energy consumption. For example, in April 2024, the International Federation of Robotics, a Germany-based global organization, reported that manufacturing companies in the United States significantly increased their automation efforts, with total industrial robot installations rising 12% to 44,303 units in 2023. Consequently, the rising adoption of industrial automation is fueling the growth of the pulp and paper automation market.

Major companies operating in the pulp and paper automation market are developing innovative products such as Bleached Chemi-Thermo Mechanical Pulp (BCTMP) technology to drive their revenues in the market. BCTMP is a mechanical pulping process that uses sodium sulfite for impregnation. The BCTMP technology produces high-brightness, hardwood-based, customized TCF (total chlorine-free) pulps for various uses, including printing and writing papers, tissue products, paperboard products, wood-free papers, and specialty papers. For instance, in January 2023, Valmet, a Europe-based developer and supplier of process technologies, automation, and services for the pulp, paper, and energy industries, launched the Valmet Polymer Concentration Measurement (Valmet PCM), an advanced optical inline polymer measurement system. This innovation is designed to measure polymer concentration in real-time, enabling the optimization of polymer usage in industrial wastewater treatment as well as in paper and board production applications. The Valmet PCM is the first of its kind, offering enhanced accuracy and efficiency in monitoring and controlling polymer concentration, ultimately contributing to improved process performance and resource utilization.

In July 2023, Valmet Oyj, a Finland-based developer and supplier of process technologies, automation, and services for the pulp, paper, and energy industries, acquired Körber’s business area tissue for an amount of EUR 380 million (0.4294 billion USD). This acquisition aims to strengthen Valmet's position in the tissue industry and create the market's most comprehensive technology, automation, and service offering, covering the entire tissue value chain. The acquisition complements Valmet's tissue-making offering with solid expertise and complete solutions from tissue conversion and packaging technologies. Körber is a Germany-based company that offers pulp and paper automation.

Major companies operating in the pulp and paper automation market are Siemens AG, Honeywell International Inc., ABB Ltd., Emerson Electric Co., Schneider Electric SE, Rockwell Automation Inc., Omron Corporation, Andritz AG, Metso Corporation, Valmet Corporation, Voith Group, Yokogawa Electric Corporation, Fuji Electric Co. Ltd., Fanuc Corporation, BTG Group BV, Ecolab Inc., Solenis LLC, Kemira Oyj, Hitachi Ltd., General Electric Company.

Europe was the largest region in the pulp and paper automation market in 2025. The regions covered in the pulp and paper automation market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the pulp and paper automation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The pulp and paper automation market consists of sales of operator training systems (OTS), control valves, packaging equipment, material handling equipment, process electrochemical systems, and process engineering tools. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

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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