Siemens, Schneider Electric and ABB See Strong Demand in China’s Industrial Automation Market
Time:2026-08-17 Browse: 0
China remains an important market for the world’s leading electrical and industrial automation companies, with Siemens, Schneider Electric and ABB continuing to report solid business activity in the country. Recent financial results show that demand in China is being supported by data centers, semiconductors, industrial automation, energy infrastructure and the broader transition toward intelligent manufacturing.
The latest figures also highlight the importance of the Chinese market to the global industrial automation supply chain.
Schneider Electric Reports Strong Growth in China and East Asia
Schneider Electric reported particularly strong performance in China and East Asia during the second quarter of 2026.
According to the company’s first-half 2026 financial results, China and East Asia represented approximately 18% of Schneider Electric’s second-quarter revenue and recorded 19.7% organic growth year over year. China itself achieved double-digit growth, with demand led by data center projects, semiconductor-related activity and renewable power infrastructure.
The company said data center demand was an important driver, particularly among large customers in social media, e-commerce and technology. Industrial demand was also supported by the semiconductor sector.
Schneider Electric’s strong results underline the continued importance of China within its global business. The company reported second-quarter revenue of approximately €11.5 billion, while first-half revenue reached a record €21.2 billion.
Siemens Sees Continued Momentum in China
Siemens also reported strong business activity in China during fiscal second-quarter 2026.
At the global level, Siemens recorded comparable order growth of 18% to €24.1 billion and comparable revenue growth of 6% to €19.8 billion. The company also reported a record order backlog of €124 billion at the end of the quarter.
China was described as a strong market during the quarter, with orders and revenue increasing after a strong first quarter. Siemens specifically highlighted motion control as an important contributor to revenue growth. Its locally developed product portfolio in China also recorded particularly strong growth.
For the industrial automation market, this is significant because Siemens remains a major supplier of PLCs, industrial drives, motion control systems, HMI products, industrial software and automation solutions. Continued investment in Chinese manufacturing therefore creates opportunities across both new equipment and replacement demand.
ABB Maintains a Significant Position in China
ABB continues to regard China as an important market across electrification, motion, automation and industrial technologies.
ABB’s 2025 financial information shows that China generated approximately $3.48 billion in orders, increasing to about $3.81 billion in 2025, representing roughly 9% growth. China was also one of the key markets contributing to growth in the Asia, Middle East and Africa region.
The company reported further growth in China in the first quarter of 2026, with orders increasing by 9% year over year. ABB noted that China orders increased even though the overall market remained challenging.
These figures suggest that ABB's position in China remains substantial, although the available public financial data does not support the claim that ABB's China orders increased 17% in the first half of 2025. ABB's official first-half 2025 data instead showed China orders of $2.295 billion, up 8% year over year.
Why China Remains Important to Global Industrial Automation Companies
The latest results point to several structural factors behind the continued demand for international automation equipment in China.
First, data center construction has become an increasingly important source of demand for electrical distribution, power management and automation technologies. Schneider Electric has specifically identified data centers as a major growth driver in its recent results.
Second, China's semiconductor industry continues to generate demand for high-precision automation, motion control and electrical equipment. Schneider Electric cited semiconductor-related activity as a driver of industrial growth in China, while Siemens highlighted strong performance in motion control.
Third, manufacturers are continuing to upgrade production lines, improve energy efficiency and introduce digital technologies. This creates demand not only for new automation systems but also for replacement PLCs, servo drives, frequency converters, industrial communication modules, power supplies and other control components.
For suppliers and buyers of industrial automation equipment, this means that China remains a market where global brands and local manufacturers compete across a wide range of applications.
Does the Growth of Foreign Electrical Giants Create Risks?
The rapid development of international electrical and automation companies in China has naturally attracted discussion about industrial security, supply-chain resilience and the competitiveness of domestic manufacturers.
However, strong sales by foreign companies alone do not necessarily demonstrate that the market is excessively dependent on overseas suppliers. China has developed a large domestic industrial automation ecosystem, with local companies competing in PLCs, drives, motion control, industrial communication, low-voltage electrical equipment and other segments.
A more useful way to view the situation is through supply-chain resilience.
For critical industrial applications, manufacturers increasingly need to evaluate multiple factors, including product availability, technical support, lifecycle management, software compatibility, spare-parts supply, cybersecurity, long-term maintenance and the availability of alternative suppliers.
For end users, maintaining a diversified equipment strategy can reduce the operational risks associated with relying too heavily on any single brand or technology platform.
What the Latest Data Means for the Industrial Automation Market
The financial results from Siemens, Schneider Electric and ABB show that China remains an important market for global electrical and automation companies in 2026.
At the same time, the data does not support a simple conclusion that foreign manufacturers are universally "dominating" China's industrial automation market. Instead, the market is becoming increasingly competitive, with international companies retaining strong positions in high-end automation and electrical applications while Chinese manufacturers continue to expand their capabilities.
For industrial equipment buyers, distributors and exporters, this competitive environment creates both challenges and opportunities. Demand for genuine surplus, discontinued, replacement and hard-to-find automation components remains relevant because many factories continue to operate equipment installed years ago.
As industrial automation systems become more complex, the ability to source reliable PLCs, servo motors, drives, HMIs, communication modules and other control components quickly can be just as important as the original equipment investment.
Outlook for 2026
The latest financial results indicate that China's industrial automation and electrical equipment market remains strategically important to global suppliers.
Data centers, semiconductors, intelligent manufacturing, renewable energy and industrial digitalization are likely to remain key demand areas. At the same time, competition between international and domestic automation suppliers is expected to remain intense.
For the global industrial equipment market, the key issue is therefore not simply whether foreign brands are gaining or losing market share. The more important question is how manufacturers, distributors and end users manage technology choices, supply-chain risks and equipment availability in an increasingly competitive automation environment.
