PUBLISHER: Orion Market Research | PRODUCT CODE: 1882933
PUBLISHER: Orion Market Research | PRODUCT CODE: 1882933
Automotive Manufacturing Equipment Market Size, Share & Trends Analysis Report by Equipment Type (CNC Machine, Injection Molding Machine, Metal Stamping Machine, Robot, and Others) by Mode of Operation (Automatic and Semi-Automatic) and By Vehicle Type (Passenger Vehicles and Commercial Vehicles) Forecast Period (2026-2035)
Industry Overview
Automotive manufacturing equipment market was valued at $15.9 billion in 2025 and is projected to reach $22.9 billion by 2035, growing at a CAGR of 3.3% during the forecast period (2026-2035). The global automotive manufacturing equipment market is witnessing substantial growth, driven by the accelerating transformation of the automotive industry toward electrification, automation, and sustainability. Modern manufacturing facilities are increasingly adopting advanced equipment such as CNC machines, injection molding systems, metal stamping presses, industrial robots, automated guided vehicles (AGVs), conveyors, and DC torque tools to improve precision, productivity, and flexibility across production lines.
The market expansion is propelled by the surge in electric vehicle (EV) production, which is driving demand for specialized manufacturing equipment capable of handling high-precision components, battery packs, and lightweight materials. For instance, in February 2022, Scania and ABB are collaborating on $108 million, 18,000-square-meter electric vehicle battery assembly plant in Sodertalje, Sweden, set to be fully operational by 2023. The facility will use ABB robots, including the IRB 390, IRB 4600, and IRB 6700, to assemble battery modules from cells, which are then delivered directly to vehicle assembly. This project supports Scania's goal to electrify heavy vehicles and advance industrial automation and digitalization. The partnership builds on over 40 years of collaboration, including work on charging solutions and Europe's largest lithium-ion battery factory with Northvolt, highlighting ABB's role in enhancing manufacturing flexibility for the EV transition.
Market Dynamics
Digital Integration & Collaborative Ecosystems
Strategic collaborations between industrial automation leaders and digital engineering platforms are reshaping the automotive manufacturing equipment market. The integration of virtual twin and simulation technologies is enabling manufacturers to design, validate, and optimize production processes in a digital environment before physical deployment, improving precision and reducing commissioning time. For instance, in February 2025, Dassault Systemes partnered with KUKA to enhance robotics and automation efficiency by integrating its 3DEXPERIENCE platform into KUKA's mosaixx digital ecosystem. This collaboration allows KUKA customers easier access to Dassault's virtual twin and simulation technologies, enabling manufacturers to design, simulate, and optimize operations digitally before implementation. By combining KUKA's industrial automation expertise with Dassault's virtual engineering capabilities, the partnership aims to accelerate digital transformation across industries such as automotive, aerospace, and electronics, fostering innovation, adaptability, and efficiency in factory automation.
Sustainability & Energy Efficiency Imperatives
Sustainability mandates are prompting equipment manufacturers to innovate toward energy-efficient and resource-optimized systems. Electric and hybrid-powered machinery, regenerative drive systems, and intelligent motor controls are reducing energy consumption and carbon footprints across production facilities. In addition, circular manufacturing principles are gaining traction, with a focus on equipment longevity, modularity, and recyclability. Governments and OEMs are aligning sustainability targets with operational efficiency, spurring investment in clean technologies and eco-friendly automation systems to meet stringent emission and energy-use standards. For instance, Siemens launched its Sinamics S200 servo drive system designed to enhance energy efficiency in automated production environments, including automotive assembly lines. The system incorporates regenerative braking technology and intelligent motion control to recover energy during deceleration phases, reducing overall power consumption.
Market Segmentation
Robots Segment Dominates with Automation and Precision Manufacturing Advantages
The robotics segment is projected to dominate the global automotive manufacturing equipment market, driven by increasing deployment of advanced robotic solutions for welding, painting, assembly, and material handling to enhance throughput, ensure consistent quality, and reduce operational costs. For instance, in May 2024, ABB introduced two new large industrial robots, the IRB 7710 and IRB 7720, expanding its modular robot lineup to a total of 46 variants with payload capacities ranging from 70 kg to 620 kg. These models are designed for applications in automotive manufacturing, general industry, and logistics, covering processes such as press automation, body assembly, battery production, and palletizing. Equipped with ABB's OmniCore controller, the robots deliver high precision (up to 0.6 mm accuracy) and reduced cycle times, supporting faster and more efficient production. Their energy-efficient design and regenerative technology can lower energy use by up to 30%, contributing to more sustainable industrial operations. Moreover, in September 2025, FANUC America presents a range of robotic and CNC automation solutions at FABTECH 2025 in Chicago, focusing on improving manufacturing productivity, flexibility, and precision. The exhibits will include demonstrations of collaborative and coordinated robotic welding, space-efficient work cells, and flexible machining systems. Highlights include cobots performing synchronized welding and assembly, multi-arm robots coordinating complex welds, and compact cells designed for high utilization in limited spaces.
The global automotive manufacturing equipment market is further divided by region, including North America (the US and Canada), Europe (the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, Australia and New Zealand, ASEAN Countries, and the Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).
Asia-Pacific Leading the Global Automotive Manufacturing Equipment Market Growth
Asia-Pacific continues to lead the global automotive manufacturing equipment market, driven by its expanding industrial base, government-supported skill development programs, and strong focus on automation and robotics integration. The region's growing emphasis on technical education and industry-academia collaboration is equipping the workforce with advanced manufacturing competencies essential for Industry 4.0 transformation. For instance, in October 2024, ABB Robotics and NAMTECH signed an MoU to establish a School of Robotics in India. The initiative aims to strengthen robotics education, close the skills gap in automation, and prepare students for future manufacturing and Industry 4.0 opportunities. ABB will contribute its global expertise, research capabilities, and network of innovation partners to develop hands-on, industry-aligned curricula in collaboration with NAMTECH's academic framework. This partnership reflects India's growing emphasis on technical education and aligns with its rapid adoption of industrial robots, up 59% in 2023, signaling strong potential for automation-driven job growth. Moreover, in July 2023, Nidec Machine Tool Corporation opened a new factory for Nidec India Precision Tools Ltd (NMTI) in Ranipet, near Chennai, expanding its production capacity by 1.5 times. Operational since July 1, the facility manufactures hob cutters, pinion cutters, and other precision tools used in gear machining for automotive, construction, and agricultural machinery.
The major companies operating in the global automotive manufacturing equipment market include ABB Ltd., Durr Group, FANUC Corp., KraussMaffei Group, Hurco Companies, Inc., KUKA SE & Co. KGaA, Yaskawa Electric Corp., Makino Inc., Okuma Corp., DMG MORI AG, ENGEL Austria GmbH, ARBURG GmbH + Co KG, AIDA Engineering, Ltd., TRUMPF GmbH + Co. KG, and Comau S.p.A., among others. Market players are leveraging partnerships, collaborations, mergers, and acquisition strategies for business expansion and innovative product development to maintain their market positioning.
Recent Developments