Industrial Control & Factory Automation Market Poised for Explosive Growth with Smart Technologies

According to the latest market research study published by P&S Intelligence, the global industrial control and factory automation market is on a trajectory of remarkable growth, valued at USD 166.1 billion in 2024 and projected to reach USD 339.5 billion by 2032, advancing at a robust CAGR of 9.5% during the forecast period. Driven by rapid technological advancements, increasing adoption of AI and IoT, and supportive government initiatives, the industrial automation sector is redefining modern manufacturing and operational efficiency.

Industrial automation leverages cutting-edge control systems, including robots, sensors, and data acquisition tools, to streamline operations across diverse sectors. By reducing production costs, enhancing product quality, and boosting overall efficiency, automation enables businesses to achieve higher profitability while maintaining competitive advantage. The ongoing digital transformation in manufacturing ensures seamless supervision, predictive maintenance, and optimized resource utilization.

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Key Trends Driving the Market

• IoT and AI Integration: Manufacturers are increasingly investing in IoT-enabled smart devices and AI-powered systems to enable predictive maintenance, real-time monitoring, and autonomous operations. Recent industry data indicates that 34% of manufacturers prioritize AI investment, with predictive analytics and machine learning adoption also on the rise. Siemens AG, for example, showcased its AI-enhanced industrial Copilot ecosystem at Automate 2025, demonstrating the power of orchestrated AI agents across production workflows.
• Government Initiatives: National policies worldwide are promoting industrial automation to stimulate economic growth. Programs such as India’s “Make in India” and Singapore’s collaborations with the Food Innovation Resource Centre are accelerating the adoption of advanced automation solutions, including DCS, SCADA, PLC, and robotics. Investments in IT infrastructure further support digitalization in factories, ensuring operational excellence.
• Industry 4.0 Adoption: As the manufacturing sector embraces Industry 4.0, businesses are leveraging interconnected systems, cloud platforms, and machine vision to optimize production. The integration of AI, ML, and collaborative robots (cobots) is enabling real-time decision-making, improved accuracy, and flexible manufacturing processes.

Market Segmentation Highlights

• Components: Industrial robots dominate the market with a 50% share and are forecasted to grow at 10.3% CAGR. Advanced robotics with AI and IoT integration are transforming sectors such as automotive, electronics, pharmaceuticals, and food & beverage.
• Solutions: SCADA remains the largest solution category, while MES is emerging as the fastest-growing segment, offering real-time production monitoring and cloud-based deployment for SMEs.
• Industries: Automotive leads with a 55% market share, benefiting from high production volumes and increasing adoption of robotics and AI. Aerospace & defense are the fastest-growing sectors, driven by demand for customized production and advanced defense systems.

Geographical Insights

Asia-Pacific leads the global market with over 45% share, driven by strong manufacturing growth in India and China. Investments in electric and autonomous vehicles, smart factories, and next-generation industrial infrastructure are fueling regional expansion.

Key Players Driving Innovation

Leading companies shaping the industrial control and factory automation landscape include Schneider Electric SE, Rockwell Automation, Honeywell International, ABB Ltd., Mitsubishi Electric, Siemens AG, Omron Corporation, and General Electric. Recent developments highlight this momentum:

• Schneider Electric plans a 500,000-square-foot facility in Tamil Nadu to expand IT and manufacturing capacity.
• ABB Ltd. launched advanced industrial robots IRB 6730S, IRB 6750S, and IRB 6760 to meet growing automation demands.
• Honeywell introduced AI-driven digital technologies for operational safety and efficiency.

Outlook

With rising adoption of industrial internet of things (IIoT), AI-driven systems, and advanced robotics, the industrial control and factory automation market is set for unprecedented growth. Businesses embracing automation are poised to achieve higher productivity, reduced costs, and enhanced operational efficiency, while governments and industries worldwide continue to support this technological revolution.