Japan Factory Automation Market Size and Growth Overview (2025-2033)

Market Size in 2024: USD 13.84 Million

Market Forecast in 2033: USD 26.41 Million

Market Growth Rate 2025-2033: 7.45%

According to the latest report by IMARC Group, the Japan factory automation market size reached USD 13.84 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 26.41 Million by 2033, exhibiting a growth rate (CAGR) of 7.45% during 2025-2033. 

Grab a sample PDF of this report: https://www.imarcgroup.com/japan-factory-automation-market/requestsample

How AI is Reshaping the Future of Japan's Factory Automation Market?

• AI integration into automation systems, including robotics and IoT, is enabling continuous monitoring and optimization of production, improving efficiency and product quality.
• Government support in Japan is accelerating automation adoption, exemplified by ABB’s DCS contract for a biomass power plant, enhancing operational visibility via AI systems.
• Collaborative robots (cobots) powered by AI are increasingly employed to work alongside humans, enhancing production flexibility and safety.
• Mobile robots and warehouse automation, augmented by AI, have improved logistics productivity by up to 25% per shift.
• Digital twin technology, as implemented by DENSO for automated lines, utilizes AI for real-time simulation and optimization, enhancing operational efficiency.
• AI-driven automation systems reduce dependency on human labor amid Japan’s aging workforce and labor shortages, promoting sustained productivity.

Grab a sample PDF of this report: 

Market Growth Factors

The market is consolidated by technological advancements and the adoption of Industry 4.0. Japan adopted automation, robotics, IoT, and AI in the manufacturing industry prior to other countries. New technology use is the aim of Japanese manufacturers. They want to make production more efficient. They want to lower costs. They want to raise quality. Smart factories where machines network and control operations are increasing efficiency and flexibility. ABB's latest automation contract is a reflection of developments in technology, increased government support, and improved visibility of energy used throughout the system.

Labor costs are rising, the population is aging, and the workforce is declining in Japan, pushing companies to adopt factory automation led by labor shortages in jobs manually done by people, who are replaced by automation technology that does not depend on people. Automation can also perform repetitive and dangerous tasks otherwise performed by human workers, allowing companies to recruit humans for more calculated activities. Warehouse automation and mobile robots can increase productivity in logistics, providing solutions to labor shortages and rising labor costs.

The government is providing financial support to the automation market. Furthermore, government policies that encourage companies to globally adopt advanced automated systems, including artificial intelligence, robotics, and other automated systems to solve labor shortages and remain globally competitive, are also driving the automation market. The example of DENSO shows how next-generation factory automation plants aim to develop unmanned 24-hour operations and digital twin technologies. In particular, the government supports advanced and sustainable manufacturing and seeks to lead the world with sustainable, efficient new factory systems.

Market Segmentation

Component Insights:

• Sensors
• Controllers
• Switches and Relays
• Industrial Robots
• Drives
• Others

System Type Insights:

• Distributed Control System (DCS)
• Supervisory Control and Data Acquisition System (SCADA)
• Manufacturing Execution System (MES)
• Systems Instrumented System (SIS)
• Programmable Logic Controller (PLC)
• Human Machine Interface (HMI)

Industry Vertical Insights:

• Automotive Manufacturing
• Food and Beverage
• Oil and Gas Processing
• Mining
• Others

Regional Insights:

• Kanto Region
• Kansai/Kinki Region
• Central/Chubu Region
• Kyushu-Okinawa Region
• Tohoku Region
• Chugoku Region
• Hokkaido Region
• Shikoku Region

Request a Customized Report for Deeper Insights: https://www.imarcgroup.com/request?type=report&id=35745&flag=E

Recent Development & News

• On September 9, 2024, DENSO announced the construction of a next-generation factory automation plant at its Zenmyo site in Nishio City, Japan. The plant, set for completion by January 2027, will focus on producing large-scale integrated ECUs for electrification and ADAS systems, featuring 24-hour unmanned operation with automated production lines and digital twin technology for improved efficiency and sustainability.

If you require any specific information that is not covered currently within the scope of the report, we will provide the same as part of the customization.

About Us

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provides a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

Contact Us:
Street: 563-13 Kamien
Area: Iwata
Country: Tokyo, Japan
Postal Code: 4380111
Email: sales@imarcgroup.com