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PLC and PLC-based PAC market poised to rebound

08.01.2010  |  Thinnes, Billy,  Hydrocarbon Processing Staff, Houston, TX


The global programmable logic controller (PLC) and PLC-based programmable automation controller (PAC) market declined significantly across all regions of the world in 2009. The market declined in emerging economies as well, but the decline was much less severe in those regions due to substantial infrastructure stimulus funding, fewer financial institutional issues and a more rapid turnaround in local consumer demand for goods and services. While it is difficult to view any market growth through the lenses of the recent economic environment, there are many dynamics that will drive market growth over the next five-year forecast period.

Industries will continue to invest in automation. As a result, the worldwide market for PLCs and PLC-based PACs is expected to grow over the next five years.

“Growing demands for energy savings, higher infrastructure productivity, increased production accuracy, better product quality, greater machine agility, tighter process control and additional safety are some of the crucial factors that will fuel market growth,“ according to Himanshu Shah, a senior analyst at ARC Advisory Group.

New stimulus packages from various governments added more investments in the infrastructure industries, including new road construction, water and wastewater infrastructure and electric power generating plants. Globalization has also created a large demand for modern infrastructure, especially in emerging economies. Airport facilities and new road construction are driving demand for products from the oil and gas and metals and mining industries. Emerging economies know that their current infrastructure is a huge bottleneck for their continuing high economic growth. PLCs and PLC-based PACs will benefit in this environment as it is a key component for any infrastructure development and operation.

Europe, the Middle East and Africa (EMEA), the largest PLC and PLC-based PAC market, was particularly hit the hardest compared to other world regions.

For more information on this study, go to: www.arcweb.com/res/plc.  HP

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