Industry Overview:
The global factory automation market is estimated to reach USD 312,757.6 Mn in 2025, reflecting a y-o-y growth of 9.2%. The growth is driven by increasing industrial digitalization, rising labour shortages and the adoption of Industry 4.0 frameworks globally. The automation investments are surging across automotive, electronics and food processing sectors which is driven by efficiency mandates and high production precision requirements. The technologically advancement such as integration of AI-enabled robotics, industrial IoT platforms and digital twin technology is reshaping factory operations. The increasing government incentives promoting smart factory development and sustainability initiatives across globe which accelerates the shift toward connected and autonomous manufacturing ecosystems.
Industry Insights: Scale, Segments, and Shifts
Market Size & Growth: The global Factory Automation market is projected to reach USD 768,035.2 Mn by 2035, registering a CAGR of 9.4% between 2025 and 2035.
Segment Analysis: Industrial Robots hold about 46% of the market share driven due to their critical role in improving operational efficiency and precision; Programmable Logic Controllers (PLCs) are expected to show the fastest growth due to rising demand for smart and flexible production systems.
Regional Highlights: With rapid industrialization and adoption of smart manufacturing, the Asia Pacific region accounts for nearly 44% of the global market share in 2024. North America expected to shows strong demand driven by digital transformation initiatives.
Competitive Landscape: The market is moderately consolidated with competitors like ABB Ltd., Bosch Rexroth AG, Emerson Electric Co., Fanuc Corp., and Mitsubishi Electric Corp. These industry players are focusing on automation integration, digital control systems and strategic collaborations in smart manufacturing technologies.
Factors Shaping the Next Decade
Market Gaps / Restraints: High initial investment costs, integration complexity of legacy systems which Ensuring seamless interoperability across different platforms and technologies is a key technical hurdle and shortage of skilled labour limit widespread adoption of advanced factory automation especially in small and medium enterprises.
Key Trends and Innovations: The industry is forwarding toward fully integrated smart factories using robotics, digital twins and real-time IoT analytics. The implementations of edge AI, cloud platforms and predictive maintenance tools is enhancing efficiency and operational uptime.
Potential Opportunities: The growing demand for modular automation solutions which offer easy customization and integration with various equipment which making them attractive to diverse industries. The expansion of Industry 4.0 initiatives and increasing adoption of robotics and intelligent control systems in manufacturing sectors are expected to create significant growth avenues over the next decade.
Recent Industry Updates:
• October 2025: Siemens AG & rhobot.ai has Launched a commercial edge-native AI solution for manufacturing via the Siemens Xcelerator marketplace which enabling real-time optimisation of industrial control processes.
• November 2025: Siemens AG & NVIDIA Corporation showcased a new AI-era industrial tech stack integrating Siemens Xcelerator and NVIDIA Omniverse to support advanced digital twins and immersive factory simulations.
• June 2025: ABB Robotics Revealed their vision of “Autonomous Versatile Robotics” at automatica 2025 which is combining advanced AI vision, mobility, dexterity and autonomy in factory robots.
Industry Outlook Scope:
By Component
• Motors and Drives
• Actuators
• Sensors & Transducers
• Industrial Robots
• Software
o Human Machine Interface (HMI) Software
o Supervisory Control and Data Acquisition (SCADA)
o Manufacturing Execution Systems (MES)
o Product Lifecycle Management (PLM)
o Enterprise Resource Planning (ERP)
• Controllers
o Programmable Logic Controllers (PLCs)
o Distributed Control Systems (DCS)
o Industrial PCs
By Automation Type
• Fixed Automation
• Programmable Automation
• Flexible Automation
By Manufacturing Type
• Discrete Manufacturing
• Process Manufacturing
• Batch Manufacturing
• Continuous Manufacturing
By Deployment
• Mining
• On-premise
• Cloud-based
• Hybrid
By Application
• Material Handling
• Assembly & Packaging
• Inspection & Quality Control
• Welding & Machining
• Inventory / Warehouse Management
• Logistics / Intralogistics
• Other Applications
By Industry
• Automotive
• Electrical & Electronics
• Pharmaceuticals
• Food & Beverage
• Metals & Mining
• Packaging
• Aerospace & Defense
• Chemical & Petrochemical
• Oil & Gas
• Textile
• Semiconductors
• Logistics & Warehousing
Geographical Insights: Emerging Corridors of Growth
Regional Overview: Europe is witnessing rapid adoption of factory automation driven by its strong industrial base, sustainability goals and the EU’s push toward smart manufacturing initiatives under Industry 5.0. The Middle East & Africa are showing rapid automation adoption fueled by expanding industrial diversification and smart city projects and while South America is advancing through modernization of manufacturing hubs and government-backed digital transformation programs.
Countries to Watch: Germany maintains its leading edge in innovative practices in robotics and control systems which shaping automation standards across Europe. The UAE is becoming a regional automation hub by investing heavily in advanced manufacturing and industrial digitalization. Brazil is accelerating automation adoption in automotive and process industries to enhance productivity and global competitiveness.
Regulatory Environment and Policy Support
Government Regulations & Supportive Policies: Regulations such as the EU Machinery Regulation 2023/1230 and ISO 10218 standards for industrial robots emphasizing the need for safety, cybersecurity and interoperability in automated systems. These frameworks are accelerating global adoption of connected and intelligent manufacturing technologies, driving the shift toward smart, efficient and compliant factory operations.
Key Government Initiatives: The Japan Smart Manufacturing Initiative and India’s Production Linked Incentive (PLI) Scheme are accelerating automation and domestic production capabilities.
Competitive Landscape and Strategic Outlook
The Factory Automation industry is moderately consolidated and with leading players expanding through mergers in R&D alliances and cross-industry technology collaborations. The Key companies are focusing on AI-driven process control, robotics integration and digital-twin solutions to enhance production efficiency. The emerging Asian firms are leveraging cost-competitive automation and cloud-enabled platforms to capture market share which driving a more agile and connected manufacturing ecosystem.
Industry Competition:
• ABB Ltd
• Advantech Co. Ltd.
• Bosch Rexroth AG
• Emerson Electric Co.
• Fanuc Corp.
• GE Vernova
• Honeywell International Inc.
• Keyence Corp.
• Mitsubishi Electric Corp.
• Omron Corp.
Analyst Perspective
The Factory Automation industry is evolving toward fully connected, AI-optimized and energy-efficient production environments. The next three to five years which rising investments in robotics with digital twins and predictive maintenance systems will redefine industrial performance standards. The Companies that embrace smart manufacturing ecosystems and data-driven decision frameworks early will secure a strategic edge and drive sustained which innovation-led growth in this rapidly advancing market.
What to Expect from Outlook:
1. Save time carrying out entry-level research by identifying the size, growth trends, major segments, and leading companies in the Global Factory Automation Market
2. Use PORTER’s Five Forces analysis to assess the competitive intensity and overall attractiveness of the Global Factory Automation Market sector.
3. Profiles of leading companies provide insights into key players’ regional operations, strategies, financial results, and recent initiatives.
4. Add weight to presentations and pitches by understanding the future growth prospects of the Global Factory Automation Market with a forecast for the decade by both market share (%) & revenue (USD Million).
1. Key
Findings
2. Introduction
2.1. Executive Summery
2.2. Regional Snapshot
2.3. Market Scope
2.4. Market Definition
3. Across
The Globe
3.1. Factors Affecting End Use Industries
3.2. Key Technologies
3.3. Upcoming Opportunities
3.4. Market Dynamics
3.4.1. Ongoing Market Trends
3.4.2. Growth Driving Factors
3.4.3. Restraining Factors
3.5. Value Chain Analysis
3.5.1. List of Technology Providers
3.5.2. List of Service Providers
3.5.3. List of Potential End Users
3.6. PORTER’s & PESTLE Analysis
3.7. Key Developments
3.8. Key Industry Patents
4. Global
Factory Automation Market Overview, By Component
4.1. Market Size (US$ Mn) Analysis, 2020 –
2035
4.2. Market Share (%) Analysis (2024 vs
2035), Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness
Analysis (2025-2035)
4.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
4.3.1. Motors and Drives
4.3.2. Actuators
4.3.3. Sensors & Transducers
4.3.4. Industrial Robots
4.3.5. Software
4.3.5.1. Human Machine Interface (HMI) Software
4.3.5.2. Supervisory Control and Data Acquisition
(SCADA)
4.3.5.3. Manufacturing Execution Systems (MES)
4.3.5.4. Product Lifecycle Management (PLM)
4.3.5.5. Enterprise Resource Planning (ERP)
4.3.6. Controllers
4.3.6.1. Programmable Logic Controllers (PLCs)
4.3.6.2. Distributed Control Systems (DCS)
4.3.6.3. Industrial PCs
5. Global
Factory Automation Market Overview, By Automation Type
5.1. Market Size (US$ Mn) Analysis, 2020 –
2035
5.2. Market Share (%) Analysis (2024 vs
2035), Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness
Analysis (2025-2035)
5.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
5.3.1. Fixed Automation
5.3.2. Programmable Automation
5.3.3. Flexible Automation
6. Global
Factory Automation Market Overview, By Manufacturing Type
6.1. Market Size (US$ Mn) Analysis, 2020 –
2035
6.2. Market Share (%) Analysis (2024 vs
2035), Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness
Analysis (2025-2035)
6.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
6.3.1. Discrete Manufacturing
6.3.2. Process Manufacturing
6.3.3. Batch Manufacturing
6.3.4. Continuous Manufacturing
7. Global
Factory Automation Market Overview, By Deployment
7.1. Market Size (US$ Mn) Analysis, 2020 –
2035
7.2. Market Share (%) Analysis (2024 vs
2035), Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness
Analysis (2025-2035)
7.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
7.3.1. On-premise
7.3.2. Cloud-based
7.3.3. Hybrid
8. Global
Factory Automation Market Overview, By Application
8.1. Market Size (US$ Mn) Analysis, 2020 –
2035
8.2. Market Share (%) Analysis (2024 vs
2035), Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness
Analysis (2025-2035)
8.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
8.3.1. Material Handling
8.3.2. Assembly & Packaging
8.3.3. Inspection & Quality Control
8.3.4. Welding & Machining
8.3.5. Inventory / Warehouse Management
8.3.6. Logistics / Intralogistics
8.3.7. Other Applications
9. Global
Factory Automation Market Overview, By Industry
9.1. Market Size (US$ Mn) Analysis, 2020 –
2035
9.2. Market Share (%) Analysis (2024 vs
2035), Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness
Analysis (2025-2035)
9.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
9.3.1. Automotive
9.3.2. Electrical & Electronics
9.3.3. Pharmaceuticals
9.3.4. Food & Beverage
9.3.5. Metals & Mining
9.3.6. Packaging
9.3.7. Aerospace & Defense
9.3.8. Chemical & Petrochemical
9.3.9. Oil & Gas
9.3.10. Textile
9.3.11. Semiconductors
9.3.12. Logistics & Warehousing
10. Global Factory Automation Market Overview, By Region
10.1. Market Size (US$ Mn) Analysis, 2020 – 2035
10.2. Market Share (%) Analysis (2024 vs 2035),
Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness Analysis
(2025-2035)
10.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
10.3.1. North America
10.3.2. Europe
10.3.3. Asia Pacific
10.3.4. Middle East & Africa
10.3.5. South America
11. North America Factory Automation Market Overview
11.1. Market Size (US$ Mn) Analysis, 2020 – 2035
11.2. Market Share (%) Analysis (2024 vs 2035),
Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness Analysis
(2025-2035)
11.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
11.3.1. By Country
11.3.1.1. U.S.
11.3.1.2. Canada
11.3.1.3. Mexico
11.3.2. By Component
11.3.3. By Automation Type
11.3.4. By Manufacturing Type
11.3.5. By Deployment
11.3.6. By Application
11.3.7. By Industry
12. Europe Factory Automation Market Overview
12.1. Market Size (US$ Mn) Analysis, 2020 – 2035
12.2. Market Share (%) Analysis (2024 vs 2035),
Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness Analysis
(2025-2035)
12.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
12.3.1. By Country
12.3.1.1. UK
12.3.1.2. Italy
12.3.1.3. Spain
12.3.1.4. Germany
12.3.1.5. France
12.3.1.6. Rest of Europe
12.3.2. By Component
12.3.3. By Automation Type
12.3.4. By Manufacturing Type
12.3.5. By Deployment
12.3.6. By Application
12.3.7. By Industry
13. Asia Pacific Factory Automation Market Overview
13.1. Market Size (US$ Mn) Analysis, 2020 – 2035
13.2. Market Share (%) Analysis (2024 vs 2035),
Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness Analysis
(2025-2035)
13.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
13.3.1. By Country
13.3.1.1. China
13.3.1.2. Japan
13.3.1.3. India
13.3.1.4. South Korea
13.3.1.5. Rest of Asia Pacific
13.3.2. By Component
13.3.3. By Automation Type
13.3.4. By Manufacturing Type
13.3.5. By Deployment
13.3.6. By Application
13.3.7. By Industry
14. Middle East & Africa Factory Automation Market Overview
14.1. Market Size (US$ Mn) Analysis, 2020 – 2035
14.2. Market Share (%) Analysis (2024 vs 2035),
Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness Analysis
(2025-2035)
14.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
14.3.1. By Country
14.3.1.1. GCC
14.3.1.2. South Africa
14.3.1.3. Rest of Middle East & Africa
14.3.2. By Component
14.3.3. By Automation Type
14.3.4. By Manufacturing Type
14.3.5. By Deployment
14.3.6. By Application
14.3.7. By Industry
15. South America Factory Automation Market Overview
15.1. Market Size (US$ Mn) Analysis, 2020 – 2035
15.2. Market Share (%) Analysis (2024 vs 2035),
Y-o-Y Growth (%) Analysis (2024-2035) & Market Attractiveness Analysis
(2025-2035)
15.3. Market Absolute $ Opportunity Analysis,
2020 – 2035
15.3.1. By Country
15.3.1.1. Brazil
15.3.1.2. Argentina
15.3.1.3. Rest of South America
15.3.2. By Component
15.3.3. By Automation Type
15.3.4. By Manufacturing Type
15.3.5. By Deployment
15.3.6. By Application
15.3.7. By Industry
16. Country Wise Market Analysis
16.1. Growth Comparison By Key Countries
17. Competitive Landscape
17.1. Market Share (%) Analysis, By Top Players
17.2. Maret Structure Analysis, By Tier I &
II Companies
18. Company Profiles
18.1. ABB Ltd
18.1.1. Company Overview
18.1.2. Business Segments
18.1.3. Financial Insights
18.1.4. Key Business Aspects (Noise Analysis)
18.2. Advantech Co. Ltd.
18.3. Bosch Rexroth AG
18.4. Emerson Electric Co.
18.5. Fanuc Corp.
18.6. GE Vernova
18.7. Honeywell International Inc.
18.8. Keyence Corp.
18.9. Mitsubishi Electric Corp.
18.10. Omron Corp.
18.11. Rockwell Automation Inc.
18.12. Schneider Electric SE
18.13. Siemens AG
18.14. Texas Instruments Inc.
18.15. Yokogawa Electric Corp.
19. Analysis & Recommendations
19.1. Targeting Segment
19.2. Targeting Region
19.3. Market Approach
20. Research Methodology
21. Disclaimer
