Germany Factory Automation & Industrial Controls Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 10.66 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Germany Factory Automation & Industrial Controls Market Analysis
The German Factory Automation and Industrial Controls Market are expected to witness a CAGR of 10.66% over the forecast period (2021-2026). In the wake of COVID-19, operational and technological personnel working with understaffed teams left the critical ICS systems potentially (and uniquely) vulnerable. Such distractions in such times created opportunities for cyber-criminals or other bad actors to leverage multiple avenues to exploit these vulnerabilities, including Inadequate policies/procedures; Inappropriate remote access controls; Improper software maintenance; Improperly configured firewalls; and Failure to observe and/or respond to inappropriate activity in the system.
- According to the Organisation for Economic Co-operation and Development(OECD), Germany invests 2.88 % of its GDP in manufacturing innovation, well above the OECD average of 2.4 %. Over the last few years, the German automotive industry has dramatically increased its global position in car production. Furthermore, the manufacturing sector's sustainability is projected to be a significant driver for the market under consideration.
- Cobots, or collaborative robots, are becoming more popular among automakers and suppliers. These technologies are typically smaller, have greater dexterity, and can be used safely alongside human operators. For instance, BMW relies on cobots to improve the safety of workers within its plat and for the quality of goods and components produced. Other companies following the same include Nissan, Ford - specifically in their Germany, plant.
- With increased investments for factory automation in the country, the end-users are also focusing on adopting high-resolution Vision sensors for multiple inspections with a single image to generate rich data for the process and quality. To address the market requirements, vendors in the region are introducing an updated version of the sensor, introducing innovative products that are built on 3D technological principles. For instance, in March 2021, Sensopart introduced a 5-megapixel sensor Visor V50 with an integrated lens and lighting for flexible detection of objects at fluctuating distances.
- Moreover, recent controller vulnerabilities that attackers have exploited to disrupt operations are on the rise. This challenges the implementation of ICS as in order to secure ICS networks, there is usage of different communication protocols. Also, operational technology vendors uses their own proprietary implementation of the IEC-61131 standard for programmable logic controllers.
Germany Factory Automation & Industrial Controls Market Trends
This section covers the major market trends shaping the Germany Factory Automation & Industrial Controls Market according to our research experts:
Electric Motors Segment is Observing Significant Increase
- Rising industrialization and the growing proliferation of automation across various industries are propelling the demand for electric motors in the North American region. Therefore, large and energy-efficient motors are required to minimize the additional cost of production.
- The number of motors in process plants is increasing owing to the wide adoption in critical industrial operations. The management and monitoring of such assets are essential to preventing core process errors such as the proper mixing of ingredients.
- The integration of motor control, automation, and energy management help reduce costs while increasing production. Furthermore, intelligent motor control provides energy consumption data for each motor, and data from the devices can be captured by energy monitoring systems offered by companies such as Schneider Electric.
- Recently, in May 2021, Schneider Electric and Allied Electronics & Automation collaborated to create a limited-feature set of high-quality motor control and protection devices at a price point that is appropriate for smaller panel builders, OEMs, systems integrators, industrial contractors, and others.
- Based on Schneider's full-featured TeSys line, the TeSys product line provides an easy, simple solution with short-circuit ratings up to 35kA at 480V. It is conveniently accessible through Allied's e-commerce site. In the country, such distributor and vendor alliances generate market growth potential. During the projection period, such factors will contribute to the expansion of electric motors in the region.
Automotive and Transportation is Observing a Significant Increase
- The growing adoption of automation in manufacturing processes and digitization and AI involvement are primary factors driving industrial robots' demand in the automotive sector of the country.
- For instance, large industrial robots with a higher payload and extended arms capabilities handle spot welding on heavy body panels. Smaller robots weld lighter parts such as mounts and brackets. Robotic tungsten inert gas and metal inert gas welders can position the torch in exactly the same orientation for every cycle. Also, preserving high welding standards in every fabrication is now doable and feasible due to the repeatable arc and speed gap.
- BMW's smart factory in Regensburg, Germany, announced that technology-enabled the reduction of its quality issues by 5% in 2020. It was also able to cut the time needed to deploy new applications by 80%. Automotive and aerospace manufacturers in Germany are seeking support from engineering services providers as they adopt emerging technologies like 5G, artificial intelligence, and the Internet of Things to improve both products and processes.
- Germany was a at the forefront in the shift to zero-emission automobiles and EV manufacturing plants. Henkel established a unique cloud-based system that connected more than 30 facilities and 10 distribution hubs as one of several manufacturers at the forefront of the transformation. Another industry player, Allis-Gleaner Corp. (AGCO), used similar technology to combine digital solutions with intelligent line design, producing nine different tractor series on a single assembly line.
- Germany is one of the world's largest vehicle manufacturers, with Audi, BMW, Porsche, Volkswagen, and Mercedes-Benz. It is also a major manufacturer of electric and self-driving vehicles. According to figures from European Automobile Manufacturers Association (ACEA), in the second quarter of 2020, electrically-chargeable vehicle market share increased to 7.2% of total European car sales, compared to 2.4% share during the same period in 2019.
Germany Factory Automation & Industrial Controls Industry Overview
The German factory automation and industrial control market is moderately consolidated, with the presence of a few major companies. The companies are continuously investing in making strategic partnerships and product developments to gain more market share. Some of the recent developments in the market are:
- May 2021 - Emerson introduced the PACEdge industrial edge platform, which allows customers to easily construct and scale-up performance-improving applications to assist manufacturers in speed digital transformation projects. The PACEdge platform makes application creation easier by combining open-source technologies into a versatile, integrated, and secure platform for using machine data.
- April 2021- Google Cloud and Siemens collaborated to streamline production operations and boost shop floor efficiency. Siemens plans to integrate Google Cloud's top data cloud and artificial intelligence/machine learning (AI/ML) capabilities with its factory automation solutions to assist manufacturers in the manufacturing process.
Germany Factory Automation & Industrial Controls Market Leaders
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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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Emerson Electric Company
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ABB Ltd
*Disclaimer: Major Players sorted in no particular order
Germany Factory Automation & Industrial Controls Market News
- March 2021 - BP and SABIC (Saudi Basic Industries Corp.), Riyadh, Saudi Arabia, signed an agreement to jointly work at the Gelsenkirchen, Germany, a chemical complex. The companies say the new collaboration will help to increase the production of certified circular products that take used mixed plastics to make feedstock, reducing the number of fossil resources required in the petrochemical plants at the site.
- July 2020 - K+S, an international mining company, pursued an AP Sensing Linear Heat Detection (LHD) solution for early fire detection at a salt production site in Germany.
Germany Factory Automation & Industrial Controls Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
- 4.2 Industry Value Chain Analysis
-
4.3 Industry Attractiveness - Porter's Five
Forces Analysis
- 4.3.1 Bargaining Power of Suppliers
- 4.3.2 Bargaining Power of Consumers
- 4.3.3 Threat of New Entrants
- 4.3.4 Threat of Substitutes
- 4.3.5 Intensity of Competitive Rivalry
- 4.4 Assessment of Impact of Covid-19 on the Industry
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Gaining Prominence for Automation Technologies
- 5.1.2 Increasing Focus Towards Cost Optimization and Business Process Improvement
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5.2 Market Challenges
- 5.2.1 High Installation Costs
- 5.3 Technology Snapshot
6. MARKET SEGMENTATION
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6.1 By Type
- 6.1.1 Industrial Control Systems
- 6.1.1.1 Distributed Control System (DCS)
- 6.1.1.2 Programable Logic Controller (PLC)
- 6.1.1.3 Supervisory Control and Data Acquisition (SCADA)
- 6.1.1.4 Product Lifecycle Management (PLM)
- 6.1.1.5 Manufacturing Execution System (MES)
- 6.1.1.6 Human Machine Interface (HMI)
- 6.1.1.7 Other Industrial Control Systems
- 6.1.2 Field Devices
- 6.1.2.1 Machine Vision
- 6.1.2.2 Industrial Robotics
- 6.1.2.3 Electric Motors
- 6.1.2.4 Safety Systems
- 6.1.2.5 Sensors & Transmitters
- 6.1.2.6 Other Field Devices
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6.2 By End-user Industry
- 6.2.1 Oil and Gas
- 6.2.2 Chemical and Petrochemical
- 6.2.3 Power and Utilities
- 6.2.4 Food and Beverage
- 6.2.5 Automotive and Transportation
- 6.2.6 Pharmaceutical
- 6.2.7 Other End-user Industries
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles
- 7.1.1 Schneider Electric SE
- 7.1.2 Rockwell Automation Inc.
- 7.1.3 Honeywell International Inc.
- 7.1.4 Emerson Electric Company
- 7.1.5 ABB Ltd
- 7.1.6 Mitsubishi Electric Corporation
- 7.1.7 Siemens AG
- 7.1.8 Dassault Systems
- 7.1.9 Autodesk Inc.
- 7.1.10 Robert Bosch GmbH
- 7.1.11 Texas Instruments, Inc.
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK
** Subject To AvailablityGermany Factory Automation & Industrial Controls Industry Segmentation
The automation industry has been revolutionized by the combination of the digital and physical aspects of manufacturing aimed at delivering optimum performance. Further, the focus on achieving zero waste production and shorter time to market has augmented the growth of the market. The German Factory Automation and Industrial Control Market are Segmented by Type (Industrial Control Systems (Distributed Control System, Programmable Logic Controller, Supervisory Control and Data Acquisition, Product Lifecycle Management, Manufacturing Execution System, Human Machine Interface), Field Devices (Machine Vision, Industrial Robotics, Electric Motors, Saftey System, Sensor, and Transmitter)) and by End-User Industry (Oil and Gas, Chemical and Petrochemical, Power and Utilities, Food and Beverage, Automotive and Transportation, Pharmaceutical).
| By Type | Industrial Control Systems | Distributed Control System (DCS) |
| Programable Logic Controller (PLC) | ||
| Supervisory Control and Data Acquisition (SCADA) | ||
| Product Lifecycle Management (PLM) | ||
| Manufacturing Execution System (MES) | ||
| Human Machine Interface (HMI) | ||
| Other Industrial Control Systems | ||
| By Type | Field Devices | Machine Vision |
| Industrial Robotics | ||
| Electric Motors | ||
| Safety Systems | ||
| Sensors & Transmitters | ||
| Other Field Devices | ||
| By End-user Industry | Oil and Gas | |
| Chemical and Petrochemical | ||
| Power and Utilities | ||
| Food and Beverage | ||
| Automotive and Transportation | ||
| Pharmaceutical | ||
| Other End-user Industries |
Germany Factory Automation & Industrial Controls Market Research FAQs
What is the current Germany FA and ICS Market size?
The Germany FA and ICS Market is projected to register a CAGR of 10.66% during the forecast period (2024-2029)
Who are the key players in Germany FA and ICS Market?
Schneider Electric SE, Rockwell Automation Inc. , Honeywell International Inc., Emerson Electric Company and ABB Ltd are the major companies operating in the Germany FA and ICS Market.
What years does this Germany FA and ICS Market cover?
The report covers the Germany FA and ICS Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Germany FA and ICS Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Germany FA and ICS Industry Report
Statistics for the 2024 Germany FA and ICS market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Germany FA and ICS analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
