Industrial Control and Factory Automation Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Component (Sensors, Control Values, Switches & Relays, Industrial Robots, Others), By Industrial Control Systems (Distributed Control System (DCS), Programmable Logic Controller (PLC), Supervisory Control and Data Acquisition (SCADA), Product Lifecycle Management (PLM), Human Machine Interface (HMI), Others), By Application (Automotive, Aerospace & Defense, Food & Beverage, Chemical, Energy & Utilities, Healthcare, Oil & Gas, Transportation, E-Commerce, Others), By Region and Competition 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 226.85 Billion
CAGR (2026-2031)	12.56%
Fastest Growing Segment	Industrial Robots
Largest Market	North America
Market Size (2031)	USD 461.36 Billion

Market Overview

The Global Industrial Control and Factory Automation Market will grow from USD 226.85 Billion in 2025 to USD 461.36 Billion by 2031 at a 12.56% CAGR. Industrial control and factory automation encompasses the use of control systems such as computers and robots alongside information technologies to handle various processes and machineries in an industry to replace human intervention. The primary drivers supporting market growth include the urgent need for high manufacturing efficiency and the ongoing shortage of skilled labor in industrial sectors which necessitates automated solutions. Furthermore the integration of Industry 4.0 technologies facilitates seamless data exchange and enhances production capabilities without relying on extensive manual oversight.

One significant challenge impeding market expansion is the high initial capital investment required for implementing advanced automation systems which can be prohibitive for small and medium enterprises. According to the Association for Advancing Automation, in 2025, North American companies purchased 17,635 robots valued at 1.094 billion dollars during the first half of the year. This statistic indicates a sustained interest in automation technologies despite financial barriers that may restrict access for smaller manufacturing entities.

Key Market Drivers

Advancements in Artificial Intelligence and Machine Learning for Predictive Maintenance serve as a primary catalyst for the Global Industrial Control and Factory Automation Market. Manufacturers are increasingly deploying AI-driven algorithms to analyze vast datasets from machinery, enabling the prediction of equipment failures before they occur and significantly reducing unplanned downtime. This technological shift allows for the transition from reactive repair models to strategic asset management, thereby optimizing resource allocation and extending the lifespan of critical infrastructure. According to Rockwell Automation, March 2024, in the '9th Annual State of Smart Manufacturing Report', 83% of manufacturers expect to use Generative AI in their operations in 2024, highlighting the rapid adoption of these intelligent systems to enhance operational resilience and efficiency.

The proliferation of Collaborative Robots (cobots) in assembly lines is another dominant force propelling market expansion, driven by the requirement for flexible manufacturing systems that support mass customization. Unlike traditional industrial robots, cobots are designed to work safely alongside human operators, facilitating versatile production environments that can quickly adapt to changing product specifications without extensive reconfiguration. This integration is supported by substantial global activity in robotic deployments. According to the International Federation of Robotics, September 2024, in the 'World Robotics 2024' report, the manufacturing industry installed 541,302 new industrial robots globally in 2023, underscoring the scale of this automation wave. Furthermore, according to MHI, in 2024, 55% of supply chain leaders are increasing their investment in supply chain technology and innovation, reflecting the broader financial commitment to automated industrial ecosystems.

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Key Market Challenges

The high initial capital investment required for deploying industrial control and factory automation systems presents a substantial barrier to market expansion. Implementing these advanced technologies involves significant upfront costs, not only for the robotic hardware and control units but also for software integration, engineering customization, and specialized personnel training. For many small and medium-sized enterprises, these expenses are often prohibitive, forcing them to continue with manual processes despite the potential efficiency gains. Even for larger corporations, the sheer scale of financial commitment can lead to delayed procurement decisions, particularly during periods of economic uncertainty when capital budgets are scrutinized.

This financial burden directly dampens market momentum by restricting the volume of new installations. When capital becomes expensive or cash flows tighten, the inability to justify the immediate return on investment slows down the adoption rate across key manufacturing sectors. This trend of hesitation is reflected in recent industry performance metrics which show a contraction in activity. According to the VDMA Robotics + Automation Association, in 2024, the sector recorded a 6 percent decline in turnover, falling to 15.2 billion euros. Such a contraction highlights how investment constraints can tangibly hamper industry growth and reduce the overall turnover of the global market.

Key Market Trends

The Utilization of Industrial 5G and Wireless Connectivity is rapidly transforming factory environments by eliminating the constraints of physical cabling and enabling ultra-low latency communication between machines. This trend supports the deployment of private wireless networks that ensure reliable, high-bandwidth data transmission for mission-critical applications such as remote control and real-time monitoring. By transitioning to these robust wireless infrastructures, manufacturers can seamlessly connect disparate systems and reconfigure production layouts without the downtime associated with rewiring. This technological shift is delivering swift financial validation for industrial operators. According to Nokia, June 2024, in the '2024 Industrial Digitalization Report', 93% of enterprises utilizing private wireless networks achieved a return on investment within 12 months, demonstrating the immediate operational value and efficiency gains of untethered industrial connectivity.

Concurrently, the Emergence of Sustainable and Energy-Efficient Automation has become a decisive factor as manufacturers align production goals with rigorous environmental standards and cost-reduction targets. This trend involves the strategic integration of hardware, such as high-efficiency motors and variable speed drives, alongside intelligent software that optimizes energy consumption patterns across the entire facility. Companies are increasingly prioritizing carbon footprint reduction and resource optimization, moving beyond simple output metrics to embrace responsible manufacturing practices. This commitment to green operations is now a universal priority across the sector. According to ABB, April 2024, in the report 'From Insight to Implementation: Business Perspectives on Energy Efficiency Investments', 99% of businesses are actively investing in or planning to invest in energy efficiency measures, highlighting the widespread transition toward environmentally resilient industrial ecosystems.

Segmental Insights

The Industrial Robots segment is currently the fastest-growing component of the Global Industrial Control and Factory Automation Market. This growth is driven by the widespread transition toward Industry 4.0, which prioritizes connected and autonomous manufacturing environments. Data aligned with the International Federation of Robotics suggests that the urgent need to offset labor shortages and enhance production consistency is accelerating adoption rates. Additionally, the development of safer collaborative robots enables facility operators to automate complex assembly tasks that were previously restricted to manual execution. Consequently, manufacturers are increasingly integrating these automated solutions to optimize output and maintain operational resilience.

Regional Insights

North America holds a dominant position in the Global Industrial Control and Factory Automation Market due to the extensive adoption of smart manufacturing technologies and substantial investments in industrial Internet of Things solutions. The region benefits from a strong industrial infrastructure and the presence of major technology providers that drive innovation in production processes. Furthermore, the National Institute of Standards and Technology plays a vital role by establishing guidelines for cybersecurity and interoperability, which encourages secure automation integration. This focus on operational efficiency and regulatory support ensures North America remains the leading revenue contributor.

Recent Developments

• In May 2024, Siemens announced a significant breakthrough in factory automation with the launch of the Simatic Automation Workstation. This new solution allowed manufacturers to consolidate multiple hardware components, such as programmable logic controllers (PLCs), human-machine interfaces (HMIs), and edge devices, into a single software-based workstation. The technology was designed to bring IT workflows into operational technology (OT) environments, providing centralized control and management of factory hardware. A major automotive manufacturer was identified as the first customer to deploy this software-defined automation technology across its production facilities, marking a shift toward more adaptable and software-centric industrial control systems.
• In April 2024, Rockwell Automation strengthened its long-standing collaboration with Microsoft to integrate advanced artificial intelligence and cloud capabilities into industrial operations. Announced during the Hannover Messe trade fair, this partnership focused on connecting the physical and digital worlds through three key technology innovations. The collaboration enabled the creation of real-time digital twins and the deployment of AI-assisted tools for manufacturing execution systems. By leveraging these joint solutions, the companies aimed to assist manufacturers in optimizing their design, operation, and maintenance processes, thereby enhancing overall productivity and accelerating the digital transformation of the factory floor.
• In April 2024, ABB unveiled its latest generation of AI-powered robotic solutions, including its first autonomous mobile robots (AMRs) equipped with Visual Simultaneous Localization and Mapping (vSLAM) technology. This development followed the company's strategic acquisition of a specialist in 3D vision navigation, allowing the new robots to navigate dynamic industrial environments with unprecedented speed and accuracy. These innovations were presented to the market as part of the company's effort to address skilled labor shortages and improve flexibility in logistics and manufacturing. The integration of artificial intelligence enabled these mobile robots to make intelligent decisions, significantly boosting efficiency in complex factory settings.
• In March 2024, Schneider Electric expanded its industrial automation portfolio by releasing two new collaborative robots, the Lexium RL 3 and RL 12, which were showcased at the MODEX supply chain event. These new cobots were designed to address the increasing demand for smart machines that can handle high-speed motion and precise positioning in manufacturing environments. The company integrated these robotic systems into its EcoStruxure architecture, allowing for seamless data flow from the shop floor to top-level management systems. This launch aimed to help industrial facilities improve production efficiency and flexibility while solving complex sourcing and commissioning challenges.

Key Market Players

• Schneider Electric SE
• Rockwell Automation Inc.
• Honeywell International Inc.
• ABB Limited
• Siemens AG
• Robert Bosch GmbH
• Emerson Electric Company
• Yokogawa Electric Corporation
• Omron Corporation
• Mitsubishi Electric Corporation

By Component	By Industrial Control Systems	By Application	By Region
Sensors Control Values Switches & Relays Industrial Robots Others	Distributed Control System (DCS) Programmable Logic Controller (PLC) Supervisory Control and Data Acquisition (SCADA) Product Lifecycle Management (PLM) Human Machine Interface (HMI) Others	Automotive Aerospace & Defense Food & Beverage Chemical Energy & Utilities Healthcare Oil & Gas Transportation E-Commerce Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Industrial Control and Factory Automation Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Industrial Control and Factory Automation Market, By Component:

• Sensors
• Control Values
• Switches & Relays
• Industrial Robots
• Others

• Industrial Control and Factory Automation Market, By Industrial Control Systems:

• Distributed Control System (DCS)
• Programmable Logic Controller (PLC)
• Supervisory Control and Data Acquisition (SCADA)
• Product Lifecycle Management (PLM)
• Human Machine Interface (HMI)
• Others

• Industrial Control and Factory Automation Market, By Application:

• Automotive
• Aerospace & Defense
• Food & Beverage
• Chemical
• Energy & Utilities
• Healthcare
• Oil & Gas
• Transportation
• E-Commerce
• Others

• Industrial Control and Factory Automation Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE