Analysing the industrial automation control market

The global industrial automation control market is expected to grow at a CAGR of approximately 8% during the period 2016–2020, according to technology researcher Technavio’s latest report, which covers the market outlook and growth prospects of the market.

The report categorises the market into two end-user segments: discrete industries and process industries. The discrete industries such as automotive, electric power, electronics and semiconductor accounted for approximately 33% of the market in 2015, with process industries accounting for the remainder.

“The high adoption of the industrial automation control system in process industries such as the oil and gas, chemical and petrochemical, and food and beverages industries is contributing to market growth. The companies using industrial automation solutions have better control and visibility of the entire production plant, which enables the plant operators to negate operational errors and lower the scope of human intervention,” said Bharath Kanniappan, a lead automation research expert from Technavio.

Technavio’s study segments the global industrial automation control market into three regions: APAC, Americas and EMEA.

In emerging economies, such as India and China, the demand for automobiles, oil and gas, and power is increasing due to rapid urbanisation and industrialisation, making APAC the fastest growing region for the industrial automation control market, which is predicted to exceed US$37 billion by 2020, growing at a CAGR of almost 9%.

The number of end users and the need for plant optimisation is rapidly rising, creating significant opportunities for future market growth in the APAC industrial automation control market.

In the Americas, the industrial automation control market is expected to reach US$25 billion by 2020, growing at a CAGR of over 6%, driven by oil and gas companies in the region pursuing plans to increase their productivity and efficiency and upgrade their systems, processes and technology.

In the US, the food and beverage industry is seeking to extend competitive pricing to its customers, which can be achieved with automation solutions to help manufacturers meet the demand for high-quality products at low prices.

In EMEA, the industrial automation control market is expected to reach US$33 billion by 2020, growing at a CAGR of over 7%, driven by a European Union economic stimulus package which will increase investment in factory modernisation, and high levels of automation in the automotive industry.

Vendors highlighted in the report include: ABB, Emerson, Honeywell and Siemens.