Dublin, Jan. 21, 2026 (GLOBE NEWSWIRE) -- The "Indonesia Automation and Control System - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)" has been added to ResearchAndMarkets.com's offering.
The report categorizes the market by Product (PLC, SCADA, DCS, HMI, Safety Systems, Industrial Robotics, Electric Motors, and Drives), Component (Hardware, Software, and Services), Deployment Mode (On-Premise, and Cloud/IIoT-Edge), End-User Industry (Oil and Gas, Power Generation, Chemical and Petrochemical, and More), and Geography. Market forecasts are presented in USD value.
The Indonesia automation and control system market was valued at USD 119.34 billion in 2025, with projections to grow from USD 129.46 billion in 2026 to USD 194.57 billion by 2031, marking a CAGR of 8.49% during 2026-2031. This anticipated growth reflects Jakarta's ambition to establish itself as Southeast Asia's manufacturing hub by integrating digital infrastructure with increased industrial capacity and supportive regulations for energy-efficient production.
Government initiatives such as Making Indonesia 4.0, extensive power-sector investments, expanding electric vehicle markets, and relaxed local-content requirements are creating procurement opportunities for global vendors while domestic integrators enhance their capabilities. Multinational suppliers are leveraging advancements in predictive-maintenance software, cyber-secure architectures, and cloud-enabled platforms, whereas local firms gain an edge through cost-effective integration and extensive lifecycle support. These developments position the Indonesia automation and control system market at the nexus of a broader industrial modernization strategy aimed at enhancing energy security and export competitiveness.
Flourishing Power-Sector Capacity Additions
Significant generation and grid projects worth IDR 51 trillion (USD 3.2 billion) boost demand for supervisory and distributed control systems essential for coordinating renewable and thermal assets. The state utility, PLN, is actively retrofitting excitation systems and deploying SCADA in hydro and coal plants to stabilize frequency as renewable energy integration intensifies. A mid-2024 policy change reducing local-content rules to below 30% has expanded supplier options and motivated multinational partnerships with Indonesian manufacturers. Yokogawa's water-treatment SCADA in Bali and various PLN excitation retrofits in South Kalimantan exemplify a robust pipeline propelling the market forward.
Evolution of Wireless Sensor Networks and Protocols
5G deployment and more economical sensors enable factories to connect various systems wirelessly, reducing the need for extensive rewiring. PT Astra Daihatsu Motor successfully reduced fan energy usage by 20% via wireless edge devices and PLC-controlled motors, achieving notable energy savings and carbon emission reductions. Factories are increasingly using edge-based analytics for real-time alarms and cloud dashboards for pattern discovery to suit Indonesia's dispersed geographical nature.
High Upfront CAPEX for Brown-Field Retrofits
Older facilities in cement, steel, and petrochemical sectors face significant costs to update control systems and train personnel. PT Rainbow Tubulars Manufacture is undertaking a IDR 300 billion (USD 18.9 million) project to modernize its operations, highlighting the financial challenges faced by midsize firms in pursuing similar technological upgrades. The integration of outdated analog systems with modern Ethernet-based solutions often leads to budget overruns and extended downtimes.
Other drivers and restraints analyzed in the detailed report include:
- Domestic Making Indonesia 4.0 Incentives
- Mandatory Energy-Efficiency Standards
- Skills Gap in Advanced Automation Engineering
Segment Analysis
As of 2025, PLCs constituted 26.66% of the revenue, affirming their widespread use in various industrial applications. Industrial robotics are anticipated to expand at a 9.74% CAGR through 2031, largely driven by demand from the automotive and electronics manufacturing sectors. SCADA systems continue to be procured by power utilities, while DCS adoption grows within chemical and food & beverage industries where precision is vital. HMI design trends are leaning toward advanced touch technologies and mobile integration, enabling remote KPI monitoring, crucial in Indonesia's vast archipelago.
The safety system sector is growing as regulatory requirements necessitate advanced emergency systems, thereby increasing demand for reliable, redundant PLCs and sophisticated sensor arrays. Efficiency mandates are steering a transition from IE1 to IE3 motors, promoting the use of variable-speed drives to lower energy costs while providing valuable performance data. Collectively, these trends highlight the convergence of hardware updates and sophisticated software orchestration, underscoring the expansive potential of Indonesia's automation and control system market.
In 2025, hardware made up 61.12% of sales, comprising essential components like controllers and sensors that form the backbone of automation architectures. Much of the market's capital expenditure is directed towards this segment as industries continuously upgrade. Software applications are evolving from basic interfaces to integrated analytics and advanced monitoring, although hardware still holds the majority share.
Services are predicted to grow at a 9.48% CAGR through 2031 as manufacturers increasingly rely on outsourced expertise for integrating systems, re-engineering networks, and managing predictive maintenance. Specialists like PT Dycom Engineering, which reported USD 5.8 million revenue in 2025, are gaining market share with comprehensive lifecycle service contracts that include spare parts, firmware updates, security patches, and training, providing a stable revenue stream as systems age.
List of companies covered in this report:
- Yokogawa Electric Corporation
- Siemens AG
- Honeywell International Inc.
- Rockwell Automation Inc.
- Schneider Electric SE
- ABB Ltd.
- Emerson Electric Co.
- PT FANUC Indonesia
- Mitsubishi Electric Corporation
- Omron Corporation
- Delta Electronics Inc.
- Beckhoff Automation GmbH and Co. KG
- Advantech Co. Ltd.
- Bosch Rexroth AG
- Schneider Toshiba Inverter (STI)
- Fuji Electric Co. Ltd.
- Panasonic Industry Co. Ltd.
- Lenze SE
- Hitachi Industrial Equipment Systems Co. Ltd.
- Yokogawa Indonesia PT
- PT Omron Manufacturing of Indonesia
Key Topics Covered:
- 1 INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
- 2 RESEARCH METHODOLOGY
- 3 EXECUTIVE SUMMARY
- 4 MARKET LANDSCAPE
- 4.1 Market Overview
- 4.2 Market Drivers
- 4.3 Market Restraints
- 4.4 Industry Value Chain Analysis
- 4.5 Regulatory Landscape
- 4.6 Technological Outlook
- 4.7 Porter's Five Forces Analysis
- 5 MARKET SIZE AND GROWTH FORECASTS (VALUE)
- 5.1 By Product
- 5.2 By Component
- 5.3 By Deployment Mode
- 5.4 By End-User Industry
- 6 COMPETITIVE LANDSCAPE
- 6.1 Market Concentration
- 6.2 Strategic Moves
- 6.3 Market Share Analysis
- 6.4 Company Profiles
- 7 MARKET OPPORTUNITIES AND FUTURE OUTLOOK
- 7.1 White-space and Unmet-Need Assessment
For more information about this report visit https://www.researchandmarkets.com/r/9uv82
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