Process Automation Market Size, Share, 2032
Process Automation Market Size and Forecast (2025 - 2032), By Component (Hardware, Software, Services), By Technology (Distributed Control System (DCS), Programmable Logic Controller (PLC), Supervisory Control and Data Acquisition (SCADA), Manufacturing Execution System (MES), Human Machine Interface (HMI), Others), By Industry Vertical (Oil & Gas, Power, Chemicals & Petrochemicals, Food & Beverages, Pharmaceuticals, Metals & Mining, Others), and Geography.
Market Overview:
The global process automation market is expected to reach a high CAGR of 8.5% over the Forecast Period 2025-2032, reaching USD 116.2 billion by 2032. Asia-Pacific currently dominates the market, with a 35% share in 2023. Key metrics include increasing adoption of Industrial Internet of Things (IIoT), growing demand for smart manufacturing solutions, and rising focus on operational efficiency across industries.
The process automation market is expanding rapidly, fuelled by the ongoing digital transformation of industries and the desire for increased productivity and lower operational costs. The COVID-19 pandemic has boosted market growth, emphasising the significance of automation in maintaining business continuity and resilience.
Market Dynamics:
Market Trend: Integration of artificial intelligence and machine learning in process automation systems
The process automation market is seeing a considerable increase in the integration of artificial intelligence (AI) and machine learning (ML) capabilities into automation systems. These innovative technologies are transforming the way industrial processes are optimised and regulated, allowing for predictive maintenance, adaptive process control, and intelligent decision-making.
According to recent industry statistics, AI-enhanced process automation solutions can increase overall equipment effectiveness (OEE) by up to 20% while also reducing unscheduled downtime by 30%. This efficiency gain is especially important in complicated production systems, where even minor changes can result in large cost reductions.
For example, in 2023, a prominent process automation business introduced an AI-powered control solution that used machine learning algorithms to continuously optimise process parameters in chemical plants. Early adopters of this technology reported a 15% reduction in energy consumption and a 10% improvement in production yield.
Market Driver: Increasing focus on industrial safety and regulatory compliance
The increased emphasis on industrial safety, as well as the necessity to meet severe regulatory standards, are major drivers of the process automation industry. As enterprises face increased responsibility to maintain worker safety and environmental protection, automation systems play an important role in monitoring and regulating key operations.
According to recent statistics from the International Labour Organisation, countries with high levels of industrial automation have 50% fewer workplace accidents than those with low levels. This association has resulted in greater investment in safety-related automation technologies across multiple industries.
In response to this trend, automation suppliers are creating advanced safety-integrated systems that combine process control and safety features. For example, a large automation manufacturer recently launched a new safety PLC platform that combines safety and standard control into a single system, decreasing complexity and boosting overall system reliability.
Market Restraint: High initial investment costs and complexity of implementation
Despite the obvious benefits of process automation, the large initial investment costs and complexity involved in installing these systems offer substantial barriers to market expansion. The cost of hardware, software, and services needed for extensive process automation can be prohibitively expensive, especially for small and medium-sized businesses (SMEs).
Industry analysts estimate that the average cost of adopting a full-scale process automation system in a medium-sized manufacturing plant is between $1 million and $5 million, with yearly maintenance costs of up to 10% of the initial investment. These high costs may hinder market adoption, especially in emerging economies and conventional industries.
To address this issue, several automation companies are looking into new business models, such as automation-as-a-service and modular automation solutions. Furthermore, there is an increasing tendency towards the creation of more user-friendly and scalable automation platforms, which reduce implementation complexity. However, the necessity for hefty initial investments remains a key barrier to widespread adoption of advanced process automation technology.
Segment Overview:
Distributed Control System (DCS) dominates the process automation market, accounting for 40% of total market share in 2023.
The Distributed Control System (DCS) segment of the process automation market is dominating, owing to its broad capabilities in regulating and monitoring complex industrial processes. DCS solutions are especially popular in industries that use continuous processes, such as oil and gas, power generation, and chemicals, since they allow centralised control and real-time data management for huge operations.
According to recent market data, DCS usage is expanding in emerging economies, particularly Asia-Pacific, as firms modernise their manufacturing facilities. For example, a major Chinese petrochemical business recently paid $100 million to upgrade its plants with modern DCS technologies, citing greater process efficiency and lower operational costs as important factors.
Other automation technologies, such as Programmable Logic Controllers (PLCs) and Manufacturing Execution Systems (MES), are gaining popularity in some business segments. PLCs are rapidly being used in discrete manufacturing industries due to their flexibility and cost-effectiveness, whereas MES is becoming critical for obtaining end-to-end visibility in smart manufacturing settings. According to industry analysts, while DCS will continue its lead position, the market share of PLCs and MES is predicted to expand, perhaps reaching 45% by 2031.
Regional Outlook:
Asia-Pacific leads the process automation market, with a YY% share in 2023.
Asia-Pacific's dominance in the process automation market may be due to growing industrialisation, increased expenditures in smart manufacturing initiatives, and government encouragement of Industry 4.0 adoption. The region's robust manufacturing base, particularly in China, Japan, and South Korea, has fuelled the adoption of modern automation technologies.
China, in particular, has been in the forefront of process automation adoption, spurred by the "Made in China 2025" plan, which promises to improve the country's manufacturing capabilities. The Chinese government's focus on smart manufacturing has resulted in major investments in automation technology across a wide range of industries, including automotive and electronics.
Furthermore, the region's increased emphasis on energy efficiency and environmental sustainability has boosted the use of process automation systems in industries such as electricity generation and chemicals. This tendency is especially obvious in countries such as India and Southeast Asia, where modernising ageing industrial infrastructure is a top concern.
The presence of large automation businesses in Asia-Pacific, such as Yokogawa, Fanuc, and Mitsubishi Electric, has also helped the area maintain its market leadership. These companies continue to invest in R&D and diversify their product offerings to satisfy the changing needs of regional sectors.
In April 2024, a top Japanese automation business announced a $300 million investment in Singapore's manufacturing and R&D facilities, with a focus on developing next-generation process automation solutions for the pharmaceutical and biotech industries.
The Asia-Pacific process automation market is expected to reach USD YY billion by 2031, expanding at a CAGR of 9.2% between 2024 and 2031. China accounts for more than 40% of the Asia-Pacific market share.
In India, the government has started a new project to encourage the use of process automation technologies in small and medium-sized businesses (SMEs), including financial incentives and technical assistance. This program is predicted to significantly boost the Indian process automation market during the next five years.
Competitive Intelligence:
The process automation market is characterised by fierce rivalry among significant players, with an emphasis on technology innovation and strategic alliances. Market leaders are investing extensively in R&D to create advanced automation solutions that use emerging technologies like AI, IoT, and edge computing.
Siemens AG continues to lead the market with a 20% market share, owing to its extensive portfolio of automation products and strong presence across numerous industries. The company has launched a new cloud-based automation platform that allows for seamless integration of OT and IT systems, in response to the growing need for digital transformation solutions.
Mergers and acquisitions have significantly influenced the competitive landscape. In 2023, a big industrial conglomerate purchased a specialised industrial software company, expanding its capabilities in process simulation and optimisation.
Looking ahead, industry observers foresee further rivalry from Asian manufacturers, notably in the PLC and SCADA markets. These new entrants are projected to challenge established firms with cost-effective solutions and short innovation cycles, potentially changing market dynamics in the future years.
Analyst Opinion:
The process automation industry is expected to increase significantly, owing to the convergence of numerous important variables. The growing demand for operational efficiency, together with improvements in AI, IoT, and edge computing technologies, presents an ideal environment for market growth. However, providers must overcome the constraints of high installation costs and complexity in order to achieve more market penetration, particularly among SMEs.
The development of autonomous process automation systems, which can self-optimise and adapt to changing conditions without the need for human involvement, is an especially exciting trend. This discovery has the potential to transform industrial operations, creating new opportunities for efficiency gains and cost savings across a wide range of industries.
Major Players:
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Siemens AG
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ABB Ltd.
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Emerson Electric Co.
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Schneider Electric SE
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Rockwell Automation, Inc.
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Honeywell International Inc.
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Yokogawa Electric Corporation
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Mitsubishi Electric Corporation
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General Electric Company
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Endress+Hauser Group
Key Developments:
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In September 2024, ABB Ltd. introduced a new generation of collaborative robots built for smooth interaction with existing process automation systems, aimed at the food and beverage industry.
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In July 2024, Emerson Electric Co. announced a strategic agreement with a top cloud services provider to create edge-to-cloud solutions for process industries, with a focus on real-time analytics and remote monitoring.
1. INTRODUCTION
1.1. Market Definitions & Study Assumptions
1.2. Market Research Scope & Segment
1.3. Research Methodology
2. EXECUTIVE SUMMARY
2.1. Market Overview & Insights
2.2. Segment Outlook
2.3. Region Outlook
3. COMPETITIVE INTELLIGENCE
3.1. Companies Financial Position
3.2. Company Benchmarking -- Key Players
3.3. Market Share Analysis -- Key Companies
3.4. Recent Companies Key Activities
3.5. Pricing Analysis
3.6. SWOT Analysis
4. COMPANY PROFILES (Key Companies list by Country) (Premium)
5. COMPANY PROFILES
5.1. Siemens AG
5.2. ABB Ltd.
5.3. Emerson Electric Co.
5.4. Schneider Electric SE
5.5. Rockwell Automation, Inc.
5.6. Honeywell International Inc.
5.7. Yokogawa Electric Corporation
5.8. Mitsubishi Electric Corporation
5.9. General Electric Company
5.10. Endress+Hauser Group
5.11. (LIST NOT EXHAUSTIVE)
6. MARKET DYNAMICS
6.1. Market Trends
6.1.1. Integration of artificial intelligence and machine learning in process automation systems
6.1.2. Growing adoption of edge computing for real-time process control
6.1.3. Increasing focus on cybersecurity in industrial automation systems
6.2. Market Drivers
6.2.1. Increasing focus on industrial safety and regulatory compliance
6.2.2. Rising demand for smart manufacturing and Industry 4.0 solutions
6.2.3. Growing need for operational efficiency and cost reduction
6.3. Market Restraints
6.3.1. High initial investment costs and complexity of implementation
6.3.2. Lack of skilled workforce for advanced automation technologies
6.4. Market Opportunities
6.5. Porter's Five Forces Analysis
6.5.1. Threat of New Entrants
6.5.2. Bargaining Power of Buyers/Consumers
6.5.3. Bargaining Power of Suppliers
6.5.4. Threat of Substitute Products
6.5.5. Intensity of Competitive Rivalry
6.6. Supply Chain Analysis
6.7. Value Chain Analysis
6.8. Trade Analysis
6.9. Pricing Analysis
6.10. Regulatory Analysis
6.11. Patent Analysis
6.12. SWOT Analysis
6.13. PESTLE Analysis
7. BY COMPONENT (MARKET SIZE/VALUE (US$ Mn), SHARE (%), MARKET FORECAST (%), YOY GROWTH (%)-- 2025-2032)
7.1. Hardware
7.2. Software
7.3. Services
8. BY TECHNOLOGY (MARKET SIZE/VALUE (US$ Mn), SHARE (%), MARKET FORECAST (%), YOY GROWTH (%)-- 2025-2032)
8.1. Distributed Control System (DCS)
8.2. Programmable Logic Controller (PLC)
8.3. Supervisory Control and Data Acquisition (SCADA)
8.4. Manufacturing Execution System (MES)
8.5. Human Machine Interface (HMI)
8.6. Others
9. BY INDUSTRY VERTICAL (MARKET SIZE/VALUE (US$ Mn), SHARE (%), MARKET FORECAST (%), YOY GROWTH (%)-- 2025-2032)
9.1. Oil & Gas
9.2. Power
9.3. Chemicals & Petrochemicals
9.4. Food & Beverages
9.5. Pharmaceuticals
9.6. Metals & Mining
9.7. Others
10. REGION (MARKET SIZE/VALUE (US$ Mn), SHARE (%), MARKET FORECAST (%), YOY GROWTH (%)-- 2025-2032)
10.1. North America
10.1.1. United States
10.1.2. Canada
10.1.3. Mexico
10.2. South America
10.2.1. Brazil
10.2.2. Argentina
10.2.3. Rest of South America
10.3. Europe
10.3.1. Germany
10.3.2. United Kingdom
10.3.3. France
10.3.4. Italy
10.3.5. Spain
10.3.6. Russia
10.3.7. Rest of Europe
10.4. Asia-Pacific
10.4.1. China
10.4.2. Japan
10.4.3. India
10.4.4. Australia
10.4.5. South Korea
10.4.6. Rest of Asia-Pacific
10.5. Middle-East
10.5.1. UAE
10.5.2. Saudi Arabia
10.5.3. Turkey
10.5.4. Rest of Middle East
10.6. Africa
10.6.1. South Africa
10.6.2. Egypt
10.6.3. Rest of Africa
*NOTE: All the regions mentioned in the scope will be provided with (MARKET SIZE/VALUE (US$ Mn), SHARE (%), MARKET FORECAST (%), YOY GROWTH (%)-- 2025-2032)
By Component:
- Hardware
- Software
- Services
By Technology:
- Distributed Control System (DCS)
- Programmable Logic Controller (PLC)
- Supervisory Control and Data Acquisition (SCADA)
- Manufacturing Execution System (MES)
- Human Machine Interface (HMI)
- Others
By Industry Vertical:
- Oil & Gas
- Power
- Chemicals & Petrochemicals
- Food & Beverages
- Pharmaceuticals
- Metals & Mining
- Others
By Region:
- North America
- Europe
- Asia-Pacific
- Latin America
- Middle East & Africa
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