| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 16.28 Billion |
| Market Size (2030) | USD 22.61 Billion |
| CAGR (2025 - 2030) | 6.78 % |
| Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
Germany FA And ICS Market Analysis
The Germany FA And ICS Market size is estimated at USD 16.28 billion in 2025, and is expected to reach USD 22.61 billion by 2030, at a CAGR of 6.78% during the forecast period (2025-2030).
- The manufacturing sector's growing proliferation of Industrial 4.0, IIoT, AI, etc., to drive productivity and operational efficiency are among the major factors supporting Germany's studied market's growth. Furthermore, rising labor costs and a labor shortage are also among the crucial factors driving the country's adoption of factory automation and industrial control solutions.
- Factory automation and industrial control refer to using control systems such as robotics, computers, information technology, and solutions such as IIoT, AI, etc., to handle various industrial operations, primarily to reduce human effort and drive operational efficiency and productivity.
- Germany is among the major industrialized economies in the European region. According to the Organisation for Economic Co-operation and Development(OECD), Germany invests 2.88 percent of its GDP in manufacturing innovation, well above the OECD average of 2.4 percent. 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 and Ford — specifically in their Germany plant.
- With increased investments in factory automation in the country, the end-users are also focusing on adopting advanced automation and industrial control solutions such as 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, Sensopart recently 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 rising. This challenges the implementation of ICS as to secure ICS networks; there is the usage of different communication protocols. Also, the higher installation cost involved further restraints the studied market's growth, especially in the small and medium industry segments.
Germany FA And ICS Market Trends
Growing Prominence of Automation Technologies to Drive the Growth
- Germany is among the leading countries in terms of industrialization rate in European and global contexts. Automobiles, machine building, electrical & electronics engineering, chemicals, and food processing are among the major industrial sectors of the country.
- Considering the prominence of the industrial sector in the country's GDP, the public and private sectors are taking initiatives such as framing supportive regulations, investing in advanced industrial and process technologies, etc., which in turn is driving the adoption of industrial automation and control solutions in the country. Adopting solutions such as integrated motor control, automation, and energy management are also increasing to help reduce costs while increasing production.
- The increasing investment in industrial robots is also creating a favorable scenario for the growth of the studied market in the country. For instance, according to Statistisches Bundesamt, in 2023, around 49 percent of German manufacturing companies with 250 or more employees used industrial robots. This was a increase compared to 47 percent in 2022.
- Further, higher labor cost is also among the significant factors driving the adoption of factory automation and industrial control solutions in Germany. According to Statistisches Bundesamt, in the first quarter of 2024, labor costs per hour worked in Germany were up by a seasonally and calendar-adjusted 2.5 percent, compared with the fourth quarter of 2023.
- Germany is also one of the world's largest producers and exporters of chemicals. Automating manufacturing processes is gaining high traction in the country. Furthermore, it is not only a significant consumer of automation equipment but is also considered a major manufacturer of automation equipment across Europe. Some significant players in automation and control equipment are Siemens, Schneider Electric, and KUKA, based out of Germany, thus driving a high flow of investments toward R&D activities and increased adoption of automation capabilities.
- The electricity grid in the country needs help to cope with the extent of renewable and distributed energy in the country, and many major power projects are on hold. At the same time, the government attempts to adapt the grid to the new demands being placed upon it. The measures by the four national grid operators to boost power transmission capacity sufficiently add up to a cost of EUR 50 billion (USD 52.6 billion). This is likely to escalate the usage of PLC to accumulate data and further take successive measures, thereby fueling the market studied.
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Automotive and Transportation to Hold a Significant Market Share
- The growing adoption of automation in manufacturing industries and the involvement of digitization and AI are primary factors driving industrial robot demand in the country's automotive sector. Large industrial robots with a higher payload and extended arms capabilities in automotive manufacturing 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 precisely 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.
- With the automobile industry shifting towards electric vehicles, the country is expected to continue to maintain its leading position. Industry 4.0 and fully autonomous manufacturing trends will likely shape the studied market's growth in the country. For instance, since 2000, KUKA, a leading German robot provider of orange robots, has become a significant supplier to the German automotive industry, supplying robots to automotive giants including Audi, Daimler, and BMW.
- Furthermore, the growing demand for automobiles in the country encourages manufacturers to adopt advanced automation and industrial control solutions to reduce production time and human-centric errors and enhance operational efficiency. According to KBA, the Federal Motor Transport Authority, passenger car registration in Germany has increased from 45.8 million in 2017 to 49.1 million in 2024.
- In June 2023, Ford Motor Co. invested USD 2 billion to retool its Cologne, Germany, factory to produce 250,000 electric vehicles yearly. The factory is designed to be highly efficient with a new production line, battery assembly capacity, and state-of-the-art automation. The Cologne EV plant will be vital to achieving the automaker’s goal of producing 2 million EVs annually by 2026. Overall, the market is expected to grow potentially during the forecast period.
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Germany FA And ICS Industry Overview
The market is semi- fragmented due to the presence of various factory automation and industrial control providers. However, vendors consistently focus on product development to enhance their visibility and global presence. The companies are also undergoing strategic partnerships and acquisitions to gain market traction and increase market share. Some major market players include ABB Ltd., Rockwell Automation, Honeywell International Inc., and Schneider Electric SE.
The factory automation and industrial controls market in Germany is evolving rapidly, driven by technological advancements such as AI, IoT, and robotics. However, challenges related to competitiveness and market reliance on specific sectors necessitate strategic responses from industry leaders to foster growth and innovation moving forward.
Germany FA And ICS 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
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Germany FA And ICS Market News
- November 2024: Elmo Motion Control, a global technology leader in motion control solutions, announced its participation at SPS (Smart Production Solutions) Germany 2024. Elmo shared the insights into future of motion control during the show. The product lines contain full functional safety options and deliver heightened motion accuracy, performance, and robustness for almost any machine.
- April 2024: Global technology, software and engineering leader Emerson presented the future of automation through its Floor to Cloud approach and innovative automation solutions at Hannover Messe in Hannover, Germany. Emerson demonstrated how real-time visibility and control can drive sustainability, enhance overall equipment effectiveness (OEE) and empower teams using data-informed decision-making.
Germany FA And ICS Industry Segmentation
The automation industry has been revolutionized by combining the digital and physical aspects of manufacturing to deliver optimum performance. Further, the focus on achieving zero waste production and a shorter time to market has augmented the market's growth. The impact of macroeconomic trends on the market is also covered under the scope of the study. Further, the disturbance of the factors affecting the market's evolution in the near future has been covered in the study regarding drivers and constraints.
The Germany Factory Automation and Industrial Control Market is segmented by product 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, safety systems, sensors, and transmitter)) and by end-user industry (oil and gas, chemical and petrochemical, power and utilities, food and beverage, automotive and transportation, pharmaceutical). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| 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 | |||
| 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 | |||
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Germany FA And ICS Market Research FAQs
How big is the Germany FA And ICS Market?
The Germany FA And ICS Market size is expected to reach USD 16.28 billion in 2025 and grow at a CAGR of 6.78% to reach USD 22.61 billion by 2030.
What is the current Germany FA And ICS Market size?
In 2025, the Germany FA And ICS Market size is expected to reach USD 16.28 billion.
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, and what was the market size in 2024?
In 2024, the Germany FA And ICS Market size was estimated at USD 15.18 billion. The report covers the Germany FA And ICS Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Germany FA And ICS Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Germany FA And ICS Industry Report
Statistics for the 2025 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 for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
