The factory automation and industrial controls market will demonstrate steady development from 2025 until 2035 because industries seek operational efficiency through digital transformations and need automated systems that scale for their operations. The industry employs solutions with three primary components to produce hardware and software together with services which optimize manufacturing operations while decreasing workforce requirements while enhancing continuous operational choices throughout manufacturing sectors.
The changing global markets drive manufacturers to adopt automated systems that connect their operations because it helps them stay competitive. The predicted market growth shows that it will rise from USD 152,330.8 million in 2025 to USD 260,203 million by 2035 at a 5.5% CAGR rate during the forecast period.
The market continues its growth due to industrial IoT connections as well as robotic systems and energy savings aims. Organizations face cybersecurity risks and high installation costs and integration complexities but they are investing money into flexible automation software connected to predictive analytics systems and cloud-managed control networks. The application of digital twins and AI-controlled software and machine network communication capabilities improve production understanding and intelligence.
The increasing government backing of smart manufacturing operations especially within developing economic environments is driving market demand. Factory automation and industrial controls maintain essential roles for industrial development because they enable manufacturing ecosystems to grow more flexible toward being agile and sustainable and more resistant to disruptions.
Key Market Metrics
| Metric | Value |
|---|---|
| Industry Size (2025E) | USD 152,330.8 million |
| Industry Value (2035F) | USD 260,203 million |
| CAGR (2025 to 2035) | 5.5% |
The market segments of factory automation and industrial controls exists through two dimensions of components and end-use industries while indicating implementation instrumentation in production settings. The system contains a combination of sensors with controllers and drives together with SCADA systems and HMI interfaces that jointly supervise industrial operations and maximize their effectiveness.
The market serves automotive and food and beverage industries alongside chemicals and electronics because these sectors require real-time control together with predictive maintenance and workforce assistance. The market segments demonstrate industry-wide demand for modular intelligent automation systems that create cost savings and improve productivity in new and established manufacturing plants.
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North America leading the charge with robust upgrades to the industrial base and digital factories. The USA lead demand powered by innovation in smart manufacturing and automation platforms integrated with cybersecurity.
The European focus is on automation for energy savings and regulatory compliance. Automotive, pharma and electronics manufacturing facilities in Germany, France and the UK adopt robotics and control systems.
Asia-Pacific leads in scale driven by extensive industrialization and government support. China, Japan, South Korea, and India increasingly apply automation in electronics, automotive, and machinery domains which can lead to efficiency gains.
Challenge: Integration Complexity and Legacy Infrastructure Constraints
The factory automation and industrial controls market faces in retrofitting smart systems to legacy environments. Seamless integration between legacy factories existing much on outdated PLCs, Analog, and production units independent from the Internet with IoT (Internet of things)-enabled platforms, therefore remains a global problem, often exceedingly costly to execute. Modernization efforts are complicated by compatibility issues, data silos, and cybersecurity vulnerabilities.
Many small and mid-sized manufacturers do not have the capital and technical workforce to complete full automation upgrades. Worse, inconsistent standards across devices and regions stymie interoperability, preventing the deployment of unified control architectures or actioning of real-time analytics to enable predictive maintenance, process optimization and so forth.
Opportunity: Industry 4.0, Edge Computing, and Energy Optimization
Despite of the obstacles the demand for intelligent automation systems is rapidly accelerating with global investments in Industry 4.0 cutting-edge tech. Advanced robotics, real-time data monitoring with IoT devices, and AI-driven controls are adopted by manufacturers in pursuit of higher efficiency, flexibility and product quality. Technologies such as edge computing and digital twin technology are allowing for decentralized decision making and predictive fault detection with very low latencies.
The integration of smart sensors, adaptive drives and condition-based maintenance tools is also being driven by increasing emphasis on energy efficient, low or zero carbon solutions. With resilient supply chains and smart manufacturing top priorities for governments and enterprises, factory automation is taking a key role in the digital transformation of industries such as the automotive, food and electronics.
From 2020 to 2024, the market is expected to grow steadily, driven by manufacturers digitizing operations to deal with labour shortages, supply chain disruptions and quality control. SCADA systems, PLC upgrades, and robotics. While barriers remained in integrating cloud-based platforms into older production lines.
In the future of 2025 to 2035, the sector will focus on adaptive automation and decentralized architectures. Some standard features will be AI-enabled edge controllers, autonomous mobile robots, and smart HMI systems. If not, keep reading to find out why you should: Sustainability and process transparency will increase the demand for open standards in cyber-physical system integration continuous improvement of performance via self-correcting control loops and digital twin ecosystems.
Market Shifts: Comparative Analysis (2020 to 2024 vs. 2025 to 2035)
| Market Factor | 2020 to 2024 |
|---|---|
| Regulatory Landscape | Compliance with industrial safety and operational efficiency mandates. |
| Technological Advancements | Focus on SCADA, PLCs, and robotic process automation. |
| Sustainability Trends | Adoption of basic energy monitoring and resource optimization tools. |
| Market Competition | Dominated by automation OEMs and industrial software leaders. |
| Industry Adoption | Popular in automotive, packaging, and consumer electronics. |
| Consumer Preferences | Demand for reliability, safety, and remote operation. |
| Market Growth Drivers | Fueled by productivity goals and digital upgrades. |
| Market Factor | 2025 to 2035 |
|---|---|
| Regulatory Landscape | Stricter cybersecurity, energy reporting, and smart manufacturing standards. |
| Technological Advancements | Shift to edge AI, digital twins, autonomous controls, and 5G connectivity. |
| Sustainability Trends | Emphasis on carbon-neutral operations, predictive energy modelling, and smart metering. |
| Market Competition | Entry of AI tech firms, cloud service providers, and vertical solution integrators. |
| Industry Adoption | Expands to food processing, chemicals, pharma, and smart logistics. |
| Consumer Preferences | Preference for real-time analytics, adaptability, and sustainability-driven automation. |
| Market Growth Drivers | Accelerated by resilience planning, ESG mandates, and AI-native manufacturing systems. |
The USA factory automation and industrial controls market is evolving with manufacturers increasingly digitizing operations to enhance productivity and remain competitive on a global scale. Robotics adoption, SCADA systems and programmable logic controllers (PLCs) are florets in automotive, aerospace and food processing sectors.
USA firms are focusing on real time data analytics, predictive maintenance and energy-efficient automation. Now, federal infrastructure incentives and reshoring trends are providing additional wind at the back of investments in smart factory solutions at medium and large enterprises.
| Country | CAGR (2025 to 2035) |
|---|---|
| USA | 5.2% |
The United Kingdom factory automation and industrial controls market is on the rise, especially in verticals such as pharmaceuticals, automotive and packaging. Machine vision systems, industrial sensors, and AI integrated control platforms are all in increasing demand as businesses pursuit energy efficiency and higher throughput.
The Industrial Revolution 4.0 agenda in the UK is encouraging manufacturers to modernize their legacy systems and use modular, scalable automation platforms. Key drivers underpinning sustained growth include government initiatives championing digital transformation and sustainable manufacturing.
| Country | CAGR (2025 to 2035) |
|---|---|
| UK | 5.3% |
The European Union is a northwest region of the world with high industrial control and factory automation equipment manufacturing activities. Germany, Italy, and France are at the forefront of the region in the implementation of advanced robotics, human-machine interfaces (HMIs), and distributed control systems (DCS).
Despite the challenges, EU-based manufacturers are adopting IoT, digital twins and cybersecurity into their automation strategies to meet data safety mandates and carbon reduction objectives. Other initiatives, including public private partnerships and large-scale investments under Horizon Europe, accelerate also further the adoption of the technologies.
| Region | CAGR (2025 to 2035) |
|---|---|
| European Union | 5.5% |
Japan's market for factory automation and industrial controls systems is still very sophisticated, fueled by the country's need for precision, high efficiency, and labour-saving technologies. Industries including electronics, robotics, and automotive rely on SCARA robots, CNC machines, and sophisticated motion control systems.
As the workforce ages and fewer workers are available, Japanese manufacturers are betting the farm on fully automated production lines. Ongoing innovations such as sensor fusion, AI-enabled controls, and compact automation units propelled long-term market growth.
| Country | CAGR (2025 to 2035) |
|---|---|
| Japan | 5.0% |
The factory automation and industrial controls market in South Korea is booming, being fueled by the country’s manufacturing strength in electronics, semiconductors, and shipbuilding. Korean companies are quickly adopting cloud-based monitors, edge computing and smart robotics into factory floors.
The government’s Digital New Deal initiative is accelerating nationwide adoption of smart manufacturing technologies. It is also paying attention to export ready automation systems that gives worldwide standards on efficiency and flexibility, real time control.
| Country | CAGR (2025 to 2035) |
|---|---|
| South Korea | 5.8% |
Industrial manufacturing and industrial controls market called factory automation is another domain, which is part of diverse industries and consistently growing since it provides operational efficiency, accuracy and data-driven decisions through massive data processing at high speed and extravagant performance. Factory automation combines control technologies, robotics, and real-time monitoring tools to optimize processes, reduce human involvement, and maintain product uniformity.
At the product end, industrial control systems (ICS) is at the forefront of managing equipment and machine communications while optimizing process control on a centralized platform. Looking at end use, the automotive sector leads the way, leveraging automated systems for high-volume production and quality assurance, while also competing on a global scale with focus on safety standards and efficiency. Collectively, these sectors are establishing benchmarks for Industry 4.0 adoption, where intelligent automation delineates the frontier of manufacturing excellence.
Globally, companies have been adopting smart manufacturing strategies. As a result, they are heavily dependent on programmable logic controllers (PLCs), distributed control systems (DCS), supervisory control, and data acquisition (SCADA) platforms, which are the building blocks of industrial control systems. At the same time, automotive companies are making large investments in automated assembly lines, robotic welding and AI-enabled inspection, creating a strong case for integrated control solutions in production environments.
| Product Type | Market Share (2025) |
|---|---|
| Industrial Control Systems | 38.7% |
Industrial control systems dominate product-based segment in the factory automation market by providing real-time monitoring of manufacturing processes, ensuring product consistency, and minimizing system shutdown. OPCs are amongst the many systems (PLCs, DCS, SCADA, etc.) that allow active monitoring and automation of complex environments used in industrial processes.
Operators rely on the ICS platforms to communicate with machinery, track workflow data to make real-time adjustments to reduce waste and increase productivity. Industrial control systems are a scalable and cost-effective solution to meet the increasing production needs in both discrete and process manufacturing.
Predictive maintenance and energy efficiency are two other functions businesses perform with ICS. Robust sensing and data analysis capabilities identify anomalies or indications of possible failure, enabling early corrective actions prior to a failure event. These machineries harmonize smoothly in large-scale plants, enabling continuous operations with minimal human-involvement and monitoring.
Digital transformation is hitting industries worldwide, and ICS platforms are keeping pace-adding more integrated cybersecurity functionality and cloud connectivity to ensure they remain a must-have in modern industrial operations.
| End Use Industry | Market Share (2025) |
|---|---|
| Automotive | 41.2% |
Due to the adoption of advanced manufacturing systems, which aid, high-volume & high-precision production lines, the end-use segment of the factory automation & industrial controls market is dominated by automotive industry. Robotics, vision systems, and intelligent conveyors are integrated by automotive manufacturers for rapid cycle times, minimum defects, and assembly of intricate vehicle components.
Automated systems help reduce human error and improve operational efficiency, from engine assembly and chassis welding to final inspection. Intelligent industrial control systems such as currently in-turns hone these processes by allowing for feedback and process optimizations to occur in real-time, on-factory floor.
As EV production continues to grow, automotive companies have doubled down on smart factories powered by their energy consumption and carbon emission reduction strategies, which require fast configuration changes, data traceability, and adaptive machine controls.
These automation solutions minimize production bottlenecks and improve supply chain management, enabling OEMs and tier-one suppliers to ramp up production while maintaining quality. The automotive sector will continue to look smart automation sources to cater to the growing global demand of EVs & connected vehicle, thus driving the factory automation market forward, making it one of the most dynamic and influential end-user industries.
The factory automation and industrial controls global market is the backbone of Industry 4.0 as they enable smart manufacturing through the integration of real-time control, data, and operational efficiency. It includes a wide array of technologies ranging from programmable logic controllers (PLCs), distributed control systems (DCS), SCADA platforms, human-machine interfaces (HMIs), sensors, actuators, and robotics.
Demand is propelled by labour productivity, uptime, energy efficiency, and scalable manufacturing. Industries, from automotive and electronics to food processing and pharmaceuticals, are embracing intelligent automation and cyber-physical systems. A blend of automation giants, industrial software developers, and components manufacturers are competing in this market on system interoperability, predictive analytics, and edge-to-cloud integration.
Market Share Analysis by Company
| Company Name | Estimated Market Share (%) |
|---|---|
| Siemens AG | 20-24% |
| Rockwell Automation, Inc. | 15-19% |
| Mitsubishi Electric Corporation | 12-16% |
| Schneider Electric SE | 9-13% |
| ABB Ltd. | 7-11% |
| Emerson Electric Co. | 6-10% |
| Other Companies (combined) | 18-26% |
| Company Name | Key Offerings/Activities |
|---|---|
| Siemens AG | Released next-gen SIMATIC automation controllers integrated with Industrial Edge analytics in 2025. |
| Rockwell Automation | Launched scalable FactoryTalk Automation Suite with enhanced digital twin support in 2024. |
| Mitsubishi Electric Corp. | Developed compact PLCs and servo controllers optimized for small-to-mid manufacturing in 2025. |
| Schneider Electric SE | Introduced EcoStruxure Automation Expert platform with open IEC 61499 architecture in 2024. |
| ABB Ltd. | Rolled out integrated motion and robotics automation packages for smart factories in 2025. |
| Emerson Electric Co. | Expanded DeltaV DCS capabilities for modular, hybrid, and batch process automation in 2024. |
Key Company Insights
Siemens AG
Siemens leads the factory automation space with its comprehensive SIMATIC platform, offering modular control, predictive maintenance, and real-time analytics. Its integration with Industrial Edge and Mind Sphere enhances cross-device intelligence across sectors.
Rockwell Automation, Inc.
Rockwell Automation specializes in connected enterprise solutions, delivering integrated control and visualization tools via FactoryTalk and Allen-Bradley systems. Its focus on IT-OT convergence supports digital twin environments and industrial cybersecurity.
Mitsubishi Electric Corporation
Mitsubishi Electric provides high-speed automation solutions with scalable controllers, energy-saving drives, and compact robotics. Its iQ-R and iQ-F series help manufacturers digitize processes while maintaining reliability and low operational cost.
Schneider Electric SE
Schneider’s Eco Struxure platform promotes open, interoperable automation across discrete and process industries. Its support for plug-and-produce capabilities aligns with modular, flexible factory demands.
ABB Ltd.
ABB brings together robotics, control, and condition monitoring through its ABB Ability platform. It focuses on hybrid automation, adaptive production, and integrated safety for industries ranging from metals to electronics.
Emerson Electric Co.
Emerson is strong in process automation, particularly in chemical, life sciences, and oil & gas sectors. Its DeltaV system enables modular architecture, IIoT integration, and flexible batch control in highly regulated environments.
Other Key Players (18-26% Combined)
Numerous other technology providers support the global factory automation market by delivering complementary components, custom solutions, and regionalized automation services:
The overall market size for the factory automation and industrial controls market was USD 152,330.8 million in 2025.
The factory automation and industrial controls market is expected to reach USD 260,203 million in 2035.
The increasing demand for productivity and efficiency in manufacturing, rising integration of industrial control systems, and growing automation adoption in the automotive sector fuel the factory automation and industrial controls market during the forecast period.
The top 5 countries driving the development of the factory automation and industrial controls market are the USA, UK, European Union, Japan, and South Korea.
Industrial control systems and automotive sector lead market growth to command a significant share over the assessment period.
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Factory Automation And Industrial Controls Market
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