PLC market expected to grow in 2012
June 28, 2012 by Manufacturing AUTOMATION
Despite a looming economic crisis in Europe, the PLC and PLC-based PAC market will continue to grow, according to a report by ARC Advisory Group.
While demand for automation remained strong for PLCs and PLC-based PACs during the first half of 2011, according to ARC, the pace of growth slowed as the year progressed, caused by the escalating sovereign debt crisis in a number of industrialized countries as well as specific concerns about some of the economies in southern Europe.
But despite the looming financial crisis in Europe and instability in the Middle East, there are crucial factors that will continue to drive the use of automation, fueling PLC and PLC-based PAC market growth. That’s the conclusion of the study, “Programmable Logic Controller and PLC-based PAC Worldwide Outlook”.
The globalization environment drives manufacturers and other industrial operations to address initiatives for energy cost savings and reducing energy consumption, as well as for safety and sustainability needs, the report found.
“To offset rising energy costs and meet stricter environmental requirements, most industries want to steadily improve their productivity and efficiency in the area of energy consumption in particular. This will drive the overall market growth positively in 2012 and beyond,” said senior analyst Himanshu Shah, the study’s principal author.
Globalization is driving fundamental changes in how industry leaders set their business objectives. The objectives, such as improving plant or machinery utilization, yield, product quality, availability, safety, and delivery performance, strongly influence capital investments in automation. Automation suppliers, especially PLC and PLC-based PAC suppliers, are well positioned in this environment as this equipment is widely used across all industrial segments as companies face challenges to raise productivity, lower product costs, reduce plant operating expenses, and increase return on investment.
To learn more about the report, visit the Arc Advisory Group website.