The Mexico factory automation and industrial controls market was valued at USD 240.85 billion the previous year and is expected to register a CAGR of 9.00% during the forecast period to become USD 403.93 billion in the next five years. Rising energy prices, several environmental regulations, and the general trend toward sustainable manufacturing are expected to increase the adoption rate of products like machine vision systems, robots, and others, increasing market demand for smart factories. The region is experiencing growth in factory automation owing to Mexico’s manufacturing economy, which gives rise to automation and is primed for inward industrial investment. For instance, recently, Bosch invested EUR 100 million (USD 120 million) in a smart factory for automotive parts in Celaya, Mexico, creating 1,200 additional jobs.
The Mexican factory automation and industrial controls market is pushing towards fragmentation and consists of several major players. In terms of market share, some significant players presently dominate the market. However, with innovative and sustainable products and solutions, many companies are growing their market presence by securing unique contracts and tapping into new markets.
In August 2022, Honeywell announced the expansion of its Research and Development Center for Technological Solutions. It aims to attract specialized local talent for the venue, where the brand has invested more than USD 8 million and is located in Tecnoparque in Mexico City.
In August 2022, ABB announced that it signed an agreement to acquire Siemens’ low-voltage NEMA motor business. With manufacturing operations in Guadalajara, Mexico, this acquisition gives a well-regarded product portfolio, a long-standing North American consumer base, and an experienced operations, sales, and management team. The business operates around 600 people and generated revenues of approx. USD 63 million recently, and the transaction is anticipated to close in the second quarter of 2023.
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