After two challenging years marked by slowdowns, geopolitical tensions, and more cautious investment approaches, industrial automation is ready for a fresh start. While 2026 is unlikely to spark a new investment boom, it promises a period of more deliberate and balanced growth. Companies will focus on technologies that boost efficiency without compromising flexibility or sustainability, positioning themselves to navigate a complex and evolving market.
The Automation Market in 2026: Recovery and New Dynamics
Analysts predict a moderate rebound in industrial automation in 2026, following a slowdown in demand across various manufacturing sectors. Investment cycles are expected to stabilize, moving away from the post-pandemic peaks, but still enough to support gradual growth. Most of the order recovery will come from upgrading and modernizing existing plants rather than building new installations, with an emphasis on scalable and flexible solutions.
Growth will be driven by capital-intensive sectors such as automotive, food & beverage, pharmaceuticals, and logistics, where automation remains essential for improving productivity and addressing the shortage of skilled labor. Small and medium-sized enterprises are also increasingly exploring modular, adaptable solutions that can handle fluctuating volumes and smaller production batches.
Despite the recovery, market volatility persists. Decision-making timelines are longer, and budgets are carefully allocated toward technologies that deliver clear, measurable results. In this environment, automation suppliers are taking on a more consultative role, supporting companies in planning projects and defining realistic roadmaps where real value comes from seamless integration of technology into production processes.
Investment Trends and Strategies in 2026
In 2026, automation investments will go beyond simple equipment replacement or upgrades. Companies are expected to pursue more sophisticated strategies that combine efficiency, flexibility, and sustainability. Innovative financing options, such as operational leasing or pay-per-use models, will make it easier to adopt new technologies without tying up large amounts of capital.
Key priorities will include process digitalization, advanced monitoring systems, data analytics, and predictive maintenance. These tools help optimize performance, reduce risk, and enhance plant resilience. SMEs will benefit as well, adopting modular solutions that allow them to scale and adapt to changing production needs.
Suppliers are increasingly seen as strategic partners, not just vendors. Their role is to guide companies through investment planning and assess expected returns. For 2026, the goal is clear: create factories that are resilient, adaptable, and sustainable, able to respond quickly to market shifts while maintaining innovation and competitiveness.