Shortage New

Global Smart Manufacturing Market – Growth, Trends, COVID-19 Impact, and Forecasts (2021 – 2026)

The Global Smart Manufacturing Market is expected to grow at a CAGR of 5.75% over the forecast period (2021-2026). Smart manufacturing systems, thus, allow easy data access to production volumes and operational data. This also enables companies to deploy advanced data analysis tools to analyze and identify the flaws in the operation and rectify them to improve the overall efficiency.

These are also enabling machine-to-machine learning, eliminating the need for human interference for critical decision-making steps. These technologies also enable predictive machine maintenance, allowing the companies to eliminate accidental failure of the systems.

Key Highlights
– Industry 4.0 has been aiding the transition of industries from having legacy systems to smart components and smart machines, facilitating digital factories, and later, to an ecosystem of connected plants and enterprises. Anticipating the increased adoption of IoT and digital transformation across industries, the European Commission estimated that IoT’s value in Europe itself is expected to exceed EUR 1 trillion in 2020.
– Smart manufacturing initiatives are also on the rise. Smart Manufacturing Leadership Coalition (SMLC), a combination of US-based industrial organizations, technology suppliers, laboratories, and universities, is currently working on next-generation Smart Manufacturing Platform and Smart Factory connectivity.
– Similarly, the Industrial Internet Consortium (IIC), another industry-led initiative, was established to bring together advanced technologies and organizations necessary to accelerate industrial automation growth.
– The outbreak of COVID-19 has triggered the manufacturing sector to re-evaluate its traditional production processes, primarily driving the digital transformation and smart manufacturing practices across the production lines. The manufacturers are also collectively being forced to devise and implement multiple new and agile approaches to monitor product and quality control. The pandemic has also created economic turmoil for small, medium, and large-scale industries alike across the globe. Adding to the woes, country-wise lockdowns have been inflicted by the governments to minimize the spread of the virus, which has further resulted in industries taking a hit.
– Smart manufacturing also utilizes Big Data analytics to refine complicated processes and manage supply chains. Big Data analytics allows an enterprise to use smart manufacturing to shift from reactionary practices to predictive ones. This change targets improved the efficiency of the process and performance of the product.

Key Market Trends

Automotive Industry is Expected to Drive the Market Growth

– The prime concern of the automotive industry is the length of a project. Hence, quick return-on-investment projects combined with low-cost automation and cost innovation help manufacturers improve competitiveness through productivity improvement. Value streams are expected to become more agile through adaptive manufacturing and extensive utilization of 3D printing. These value streams are expected to become more software-based.
– Also, automotive manufacturing is getting impetus from smart technologies, Industry 4.0, and IoT. For instance, discrete manufacturing is the manufacturing or production of distinct parts that can be individually touched and counted. The parts are mainly related to assembly lines. Discrete manufacturing includes products, such as cars, automotive parts, etc., that are getting increasingly connected.
– Smart manufacturing is also expected to help balance supply and demand, enhance product design, optimize manufacturing efficiency, and significantly reduce waste. Moreover, Industrial robots play a vital role in digital manufacturing, as it creates a virtual and connected ecosystem. Furthermore, it collects data associated with equipment, which is used to enhance efficiency and scheduling. It also helps in predicting and mitigating any unforeseen error.
– The automotive industry has invested billions into developing edge computing technology. According to Ericsson’s projections, the global number of connected vehicles may grow to around 700 million by 2025. The data volume transmitted between vehicles and the cloud may be about 100 petabytes per month.

China Occupies Maximum Market Share

– China’s manufacturing industry has retained higher growth over the past decade and has become the largest manufacturing country globally. In several industries, including steel, most of the global production comes from China. Manufacturing is one of China’s prominent features, and it is undergoing a rapid transformation. This large-scale transformation has aided the country in being a leading nation in the manufacturing market globally.
– After the implementation of Industry 4.0 in Germany and the Industrial Internet in the United States, the Chinese government launched the Made in China 2025 policy. This has emerged as a significant focus across the country’s entire manufacturing community to remain the largest manufacturing sector.
– Moreover, at the 2020 National People’s Congress, the CCP announced that in addition to doubling down on its Made in China 2025 and China Standards 2035 initiatives, it might spend approximately USD 1.4 trillion on a digital infrastructure public spending program. China’s New Infrastructure initiative presents exciting opportunities for global companies. Many smart factory adopters in different sectors need to enhance their manufacturing capabilities, such as new energy vehicles, railway, 5G equipment, logistics, and healthcare.
– Considering these factors, Chinese manufacturers adopt various smart manufacturing approaches, like Industry 4.0 and Industrial IoT, for future global competitiveness and survival. Such an instance over the forecast period is anticipated to drive the market for smart manufacturing significantly.

Competitive Landscape

The smart manufacturing market is moderately competitive and consists of several major players. The major players with prominent shares in the market are focusing on expanding their customer base across foreign countries. The companies are leveraging strategic collaborative initiatives to increase their market share and profitability. The companies operating in the market are also acquiring start-ups working on autonomous delivery robot technologies to strengthen their product capabilities.

– June 2021 – Honeywell Automation India Limited announced that Deepak Fertilizers and Petrochemicals Corporation Limited (DFPCL) selected Honeywell technology to convert their sprawling facility in Taloja, Maharashtra, into a Smart Factory. Honeywell also provided DFPCL with Managed Security Services, which will reduce the risk and impact of cyber-related disruptions and enable safer management of key elements of their ICS and OT.
– March 2021 – FANUC and Rockwell Automation formed a coalition to address the manufacturing skills gap with robotics and automation apprenticeship programs designed to upskill current and future workers for jobs in advanced manufacturing, robotics, and automation. The coalition has developed new apprenticeship programs offering people opportunities to gain credentials that include fundamental robotics (Robot Operator) and automation (PLC Operator). The program offers a second level of credentials for Robot and PLC Technicians.

TrustedParts x A

About The Author

TTI humancomponent Jennifer x
Medical Whitepaper Banner Ad
INDI Relion Banner x p
SUBSCRIBE Ad
FEBannerAds FE Q GDN x
EMSNOW MPU Ads
Nov Ads Global Reach x