$4.2 Billion Mining Automation Markets: Underground Mining Segment Dominated in 2021 - Global Analysis & Forecasts to 2027

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Jan 23, 2023, 17:50 ET

DUBLIN, Jan. 23, 2023 /PRNewswire/ --The "Global Mining Automation Market by Offering (Equipment (Autonomous Hauling/Mining Truck, Autonomous Drilling Rig), Software (Remote Operating and Monitoring System), Communication Systems), Technique, Workflow, Region - Forecast to 2027" report has been added to ResearchAndMarkets.com's offering.

The mining automation market size is expected to grow from USD 3.1 billion in 2022 to USD 4.2 billion by 2027; it is expected to grow at a CAGR of 6.3% from 2022 to 2027.

The key factors driving the growth of the mining automation market are the increasing number of government initiatives to attract foreign investments and promote mining automation, increasing integration of technologies such as IoT and AI with various mining automation equipment and software, and growing digital transformation of the global mining industry.

Growing demand for metals, minerals, coal, and ores, among others in various process and discrete industries is another major factor contributing to the growth of the mining automation market.

Mining equipment held the largest share of the market while communication systems are projected to register the highest growth rate during the forecast period

Mining equipment such as autonomous hauling trucks has their own wireless network that helps in transmitting the data generated from the truck for remote condition monitoring.

The wireless network is also used to receive commands related to target course, speed, and dumping spots from the supervisory control unit. With the introduction of modern tunneling equipment such as tunnel boring machines (TBMs), tunneling jumbos, and road headers, the task of mining companies became easier and more economical.

However, communication systems are expected to grow at the highest growth rate during the review period. The wireless communication system is being increasingly deployed by mining companies owing to its rugged nature, ease of installation, and low cost of maintenance.

Underground mining technique accounted for the dominating share of the market in 2021

Some of the most common types of underground mining techniques are room and pillar mining, cut-and-fill stopping, longwall mining, shaft mining, and slope mining. In room and pillar mining, the roof of the mine is supported by rock pillars spaced out at regular intervals from where the ore is mined.

Cut-and-fill stopping is used in vertical stops and in mining high-grade irregular ore bodies. Many end-user industries such as automotive, construction, oil & gas, and energy & power are witnessing rising demand for application of metals, minerals, coal, ores, and others, thereby driving underground mining activities worldwide.

Furthermore, as underground mining is significantly more dangerous than surface mining due to potential dangers such as collapse, the release of toxic gases, and the lack of proper ventilation, there is a growing demand for automated mining equipment for underground mining activities.

Asia Pacific accounted for the largest share of the mining automation market in 2021 while the rest of the world (RoW) is projected to register the highest growth rate during the review period

The dense population and the growth in per capita income in Asia Pacific, along with large-scale industrialization and urbanization, are driving the growth of process and discrete industries in this region, which in turn are driving the demand for metals, coal, minerals, and ores etc.

This rising demand for metals and ores is in turn driving the mining automation market in the Asia Pacific region. In Vietnam, the demand for minerals in the domestic and foreign markets is witnessing a steady growth. Moreover, supportive policy framework in the region are promoting the growth of the mining automation market.

For instance, over the last decade, the Indonesian Government has continued to develop the detail of the new mining regulatory regime and has incorporated new laws for enhancing the potential of the mining sector in the country. However, RoW is projected to register the highest growth during the review period. RoW comprises of South America and Middle East & Africa.

Major mining countries in South America include Bolivia, Peru, Chile, and others (Argentina and Brazil). Mining is one of the most productive sectors in the South American region, having a significant share in the GDP of South American countries. About one-fifth of the world's iron ore reserves are in South America, major beds being in Brazil and Venezuela.

Similarly, there is an abundance of non-ferrous metals in South America. In South America, mining companies have been slowly increasing their investments in the region and have started implementing advanced automation technologies in their mining operations. Similarly, in Bolivia, the new mining policy allows mining companies to enter the Bolivian mining sector either by a joint venture or leasing contract. Allowing foreign investments has significantly improved the growth of the Bolivian mining industry.

Major players operating in the mining automation market include Caterpillar (US), Hexagon AB (Sweden), Epiroc AB (Sweden), Komatsu (Japan), Sandvik AB (Sweden), Liebherr Group (Switzerland), SANY Group (China), RPMGlobal (Australia), Rockwell Automation, Inc. (US), and Siemens (Germany), among others.

Premium Insights

Increasing Need for Worker Safety and Need to Achieve Reduction in Operating Costs to Drive Mining Automation Market
Communication Systems Segment to Register Highest CAGR During Forecast Period
Underground Mining Segment to Grow at Higher CAGR During Forecast Period
Mine Development Segment to Register Highest CAGR During Forecast Period
Australia Held Largest Share of Mining Automation Market in 2021

Market Dynamics

Drivers

Intensifying Need to Improve Worker Safety in Mines
Growing Requirement to Increase Productivity in Mining Operations
Rising Focus on Reducing Operating Costs
Surging Demand for Fleet Management Systems

Restraints

Depletion of Natural Resources
Negative Impact of Automated Mining on Host Countries

Opportunities

Digital Transformation of Global Mining Industry
Evolution of Smart Connected Mines

Challenges

Integrating Information Technology with Operational Technology
Rising Protests by Local Communities for Stricter Environmental Laws Against Mining
Lack of Skilled Personnel to Operate Automated Mining Equipment

Value Chain Analysis

Ecosystem Analysis
Pricing Analysis
Average Selling Price of Equipment Offered by Key Players
Trends/Disruptions Impacting Customer Business

Technology Analysis

Artificial Intelligence (AI)
Digital Twin
Internet of Things (IoT)
Satcom
Cloud Computing

Case Study Analysis

Arrium Mining Uses Rockwell Automation's Control System and Visualization Solutions in Its Iron Knob Mine
Boliden Chose Komatsu to Introduce Automated Haulage at Swedish Mine
Rio Tinto Uses Rockwell Automation's Factorytalk Suite to Improve Transparency of Mining Operations
Barrick Gold Uses Sandvik Ab's Mining Equipment in Its Veladero Gold Mine in Argentina
Rio Tinto Chose Caterpillar to Create Connected Value Chain in Its Gudai-Darri Mine

Company Profiles

Key Players

Caterpillar
Komatsu
Sandvik Ab
Epiroc Ab
Hexagon Ab
Hitachi
Rpmglobal
Trimble Inc.
Rockwell Automation, Inc.
Siemens
Liebherr Group
Sany Group
Autonomous Solutions Inc.
AB Volvo
Symboticware Inc.

Other Players

Micromine
Remote Control Technologies (Rct)
Reutech Mining
Aamcor LLC
3D-P
Cr Mining
Atdi
Cigen
Groundhog
Haultrax

For more information about this report visit https://www.researchandmarkets.com/r/iacc21

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