Manufacturing Technology Spending to Rise 41% by 2030
Manufacturers must reallocate capital toward automation and software to offset workforce declines and stay competitive.
Updated on Oct. 16, 2026 in Manufacturing
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Global manufacturing technology spending is projected to grow 41% by 2030, rising to USD $683.6 billion as firms pivot toward robotics and AI. This transition addresses demographic pressures and seeks productivity gains across international production lines.
Why it matters
Manufacturers are reallocating capital away from low-cost labor models toward digital and automated platforms to combat workforce shortages and supply chain volatility. This shift is critical for operators aiming to maintain competitive margins in an era of global economic fragmentation.
Global spending on manufacturing technology is forecast to increase 41% to USD $683.6 billion by 2030, while commercial software spending is expected to rise 73%. Asia Pacific currently dominates this adoption, accounting for 74% of new industrial robot deployments in 2024.
The players
Forrester
A global research and advisory firm that provides data-driven analysis on technology market trends and digital transformation strategies.
China
A global manufacturing hub currently holding over half of the world's installed industrial robotics base.
The details
Companies are shifting toward software-defined manufacturing and smart factories to offset shrinking labor pools, particularly in China where the manufacturing workforce is projected to decline from 211.3 million to 207.6 million by 2030. This strategy involves heavy capital investment into digital manufacturing platforms and industrial AI rather than traditional manual processes. By automating high-value production, firms seek to build operational resilience against persistent economic fragmentation.
Timeline
2024: Baseline year for industrial robot deployment and technology spending data.
2030: Target year for projected manufacturing technology spending and workforce adjustments.
Market Landscape
This growth forecast marks a formal maturation of the industry-wide shift toward software-defined manufacturing. It follows the established trend of capital reallocation that has already cemented the Asia Pacific region as the primary leader in robot-enabled production.
Operators should evaluate their reliance on low-cost labor models and consider a phased transition to digital production tools to mitigate future workforce constraints. As tech investment grows 41%, assessing your firm's current digital maturity versus industry benchmarks is an essential near-term financial exercise.
The takeaway
The sustained decline in the manufacturing workforce makes automation a competitive necessity rather than a luxury for high-value production. Monitor your regional robotic deployment figures as a proxy for the competitive pace of automation in your specific production tier.
Further reading
Explore deeper insights on sector shifts in our Manufacturing section.
Source note: This article includes information reported by IT Brief Australia.
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