Manufacturing Automation Market Forecasts to 2030 – Global Analysis By Component (Hardware, Software, Services and Other Components), Technology, Application, End User and By Geography

Manufacturing Automation Market Forecasts to 2030 – Global Analysis By Component (Hardware, Software, Services and Other Components), Technology, Application, End User and By Geography

According to Stratistics MRC, the Global Manufacturing Automation Market is accounted for $13.6 billion in 2024 and is expected to reach $26.4 billion by 2030 growing at a CAGR of 11.7% during the forecast period. The use of machinery to automate systems or processes is known as automation in manufacturing. Reducing costs and increasing production capacity are the ultimate goals of factory automation. Numerous jobs may be programmed into electromechanical devices, and automation is especially useful for repeated or extremely precise operations. By carrying out duties that may harm or jeopardize human workers, automation can also be employed in manufacturing business management, such as automated inventory scheduling and data sending and analysis for reporting.

According to the 2019 Singapore Government Trade Figures, the U.S. holds nearly 20% of Singapore's market share for automation equipment.

Market Dynamics:

Driver:

Higher demand for automation solutions

The integration of connected devices and sensors in automation systems has led to a surge in data collection, enabling analysis of trends, equipment failure predictions, and process optimization. This data-driven decision-making enhances performance and advanced safety features reduce workplace accidents and injuries. Moreover collaborative robots complement human operators, creating a safer, integration of energy-efficient systems, renewable energy sources, and sustainable practices in manufacturing automation can significantly reduce the carbon footprint of production facilities boosting the market.

Restraint:

Lack of knowledge and expertise

Companies with limited knowledge and expertise may be hesitant to adopt automation solutions due to uncertainty about their benefits and implementation methods. This can lead to missed opportunities for productivity and cost savings. Additionally, a lack of expertise can hinder innovation and keep companies competitive in an increasingly automated industry. Inadequate knowledge can result in incorrect system design and integration, leading to inefficiencies or costly revisions after implementation.

Opportunity:

Technological advancementsTechnological advancements have led to the development of advanced automation solutions, such as robotics, AI-driven machines, and smart sensors, resulting in a rapidly growing market. These technologies have opened up new market segments, such as collaborative robotics, machine learning-powered quality control, and IoT-enabled predictive maintenance solutions allowing faster production speeds and higher precision in manufacturing processes. This results in less waste and higher operational efficiency.

Threat:

Cybersecurity risks

Automated manufacturing systems are vulnerable to ransomware and malware attacks, which can cause system outages, data breaches, and loss of access to critical production assets and these attacks can disrupt production lines, causing significant downtime and productivity losses. Trade secrets, product blueprints, and intellectual property can be stolen, jeopardizing a company's market position and profitability hampers the market growth.

Covid-19 Impact

The Covid-19 pandemic significantly impacted the Manufacturing Automation Market by accelerating the adoption of automation and digital technologies. With workforce shortages, social distancing, and disruptions to supply chains, manufacturers sought automated solutions to maintain production continuity and reduce reliance on human labor. Although the initial economic downturn posed challenges, the pandemic ultimately spurred long-term growth and innovation in automation technologies.

The hardware segment is expected to be the largest during the forecast period

During the forecast period, the hardware segment is anticipated to register the largest market share as it is foundation of manufacturing automation, enabling machines to perform tasks like assembly, packaging, material handling, and quality control with precision. Advanced robotics and CNC machines have increased automation in industries like automotive and electronics. Hardware upgrades, like faster processors, high-precision actuators, and advanced sensors, improve productivity and efficiency by speeding up operations and reducing downtime.

The material handling segment is expected to have the highest CAGR during the forecast period

The material handling segment is projected to witness substantial growth during the estimation period owing to material handling systems, including conveyors, AGVs, robotic arms, and WMS, streamline production processes, minimize human labor, and reduce delays. They minimize physical strain on workers, especially in heavy lifting or repetitive tasks, promoting a safer work environment. Furthermore, these systems maintain consistent posture and ergonomics, reducing fatigue and promoting worker well-being, thereby reducing the risk of injury in the workplace.

Region with largest share:

During the projected timeframe, the North America region is expected to hold the largest market share owing to North American region, particularly the US, is a dominant player in the manufacturing automation sector, with a steady growth driven by large-scale industrial investments and digital transformation. Key industries like automotive, electronics, food and beverage, pharmaceuticals, and consumer goods are adopting automation solutions, with the automotive industry being a key player in integrating robotics and AI for production line optimization.

Region with highest CAGR:

The Asia Pacific region is projected to achieve the highest CAGR during the forecast period because APAC governments are promoting automation and Industry 4.0 technologies through policies like China's Made in China 2025 strategy. The demand for smart factories is increasing, leveraging IoT, big data analytics, and cloud computing for real-time monitoring and predictive maintenance. Economic growth in countries like India and Southeast Asia has fueled investments in manufacturing technologies to scale production and increase exports, highlighting the importance of these technologies in APAC manufacturing.

Key players in the market

Some of the key players in Manufacturing Automation market include ABB Ltd. , Analog Devices Inc., Emerson Electric Co., Fanuc Corporation, General Electric Company, Honeywell International, Inc., Mitsubishi Electric Corporation, Motoman, Omron Corporation, Reko Automation Inc., Rockwell Automation Inc., Schneider Electric, Teradyne, Inc., Yokogawa Electric Corporation and Danaher.

Key Developments:

In October 2024, Schneider Electric partnered with Noida international airport for building and energy management solutions. Through this collaboration, Schneider Electric will roll out complete building management solutions, comprising Electrical SCADA and Advanced Distribution Management System.

In August 2024, ABB announced that it has signed an agreement to acquire Födisch Group, a leading developer of advanced measurement and analytical solutions for the energy and industrial sectors.

In June 2024, ABB Robotics launched OmniCore™, an intelligent automation platform that is faster, more precise and more sustainable, to empower, enhance and futureproof businesses. The OmniCore platform, the result of more than $170 million of investment in next generation robotics, is a step change to a modular and futureproof control architecture.

Components Covered:
• Hardware
• Software
• Services
• Other Components

Technologies Covered:
• Robotics & Automation
• Industrial Internet of Things (IIoT)
• Artificial Intelligence (AI) & Machine Learning (ML)
• Cloud Computing & Analytics
• Additive Manufacturing
• Machine Vision Systems
• Other Technologies

Applications Covered:
• Assembly
• Material Handling
• Packaging
• Inspection & Quality Control
• Logistics & Warehousing
• Welding & Joining
• Testing & Measurement
• Other Applications

End Users Covered:
• Automotive
• Electronics & Semiconductors
• Aerospace & Defense
• Food & Beverages
• Energy & Utilities
• Healthcare & Medical Devices
• E-commerce & Retail
• Other End Users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements