The global Industry 5.0 market is expected to reach $638 billion by 2032 (Source: Zion Market Research). This growth marks a new chapter where people and technology work together to transform manufacturing. To succeed in 2025, companies will need to adapt, stay creative, and focus on sustainable practices.
At Airline Hydraulics, we worked with industry experts to create a guide on the major trends shaping industrial operations. In this blog, we’ll highlight key changes that are influencing the future of manufacturing. Let’s dive in.
In This Post
1. Industry 5.0 | 2. The Return of Local Production | 3. Automation for Every Business | 4. Sustainability as a Core Strategy | 5. Strengthening Cybersecurity | 6. Preparing Workers for Tomorrow | More Resources
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1. Industry 5.0: Putting People at the Center
Industry 5.0 brings people and technology together to improve manufacturing. Unlike past advances that focused on replacing workers, this approach prioritizes collaboration. Technologies like collaborative AI, cobots (collaborative robots), and improved tools are designed to make work easier and more efficient.
- Collaborative AI: AI systems can improve decision-making by analyzing vast amounts of data, helping workers solve complex problems faster.
- Cobots: The collaborative robot market is expected to grow to $15 billion by 2030 (Source: ABI Research), showing their increasing role in workplaces that combine human creativity and machine efficiency.
- Ergonomics: Better-designed tools reduce worker fatigue and injuries, improving overall productivity.
💡 The goal is simple: combine human creativity with machine efficiency to boost results and improve the work environment.
2. The Return of Local Production
More manufacturers are bringing production back home. According to Deloitte, 62% of executives are considering reshoring operations to reduce risk and improve control. Global supply chain disruptions, rising transportation costs, and unpredictable delays have pushed companies to rethink where they produce goods.
Local production reduces risks, shortens delivery times, and helps communities by creating jobs. In fact, reshoring efforts have added over 350,000 jobs in the U.S. since 2010 (Source: Reshoring Initiative).
For manufacturers, reshoring offers greater control, better customer relationships, and a stronger local presence.
3. Automation for Every Business
Automation is no longer just for big companies. New tools and systems make it easier and more affordable for businesses of all sizes to automate repetitive tasks like assembly, quality checks, and inventory tracking.
- Growth of Automation: The industrial automation market is expected to grow to $395 billion by 2029 (Source: Fortune Business Insights).
- Accessibility: New solutions require fewer technical skills, so even small businesses can streamline operations and stay competitive.
User-friendly platforms, pre-built templates, and simplified integration mean companies can adopt automation without needing advanced technical skills. This shift gives small and medium-sized businesses a chance to increase efficiency and remain competitive.
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4. Sustainability as a Core Strategy
Sustainability is now essential. Manufacturers are reducing waste, using renewable energy, and designing products that can be reused or recycled. These practices don’t just help the planet—they also attract customers who care about eco-friendly choices.
- Cost Savings: Sustainable practices can reduce operating costs by up to 20% (Source: McKinsey & Company).
- Customer Preference: Over 60% of consumers prefer to buy from businesses that are committed to sustainability (Source: IBM).
Companies that focus on sustainability can lower costs, meet stricter environmental rules, and stand out in the market. For customers, choosing a sustainable business often builds trust and loyalty.
5. Strengthening Cybersecurity
As factories rely more on connected systems, protecting them from cyberattacks is critical. Cybersecurity tools now use AI to monitor systems and stop threats before they cause damage. Zero-trust frameworks ensure only verified users and devices can access important systems.
- Cyberattacks on Manufacturing: 61% of industrial companies experienced a cybersecurity incident in 2022 (Source: Fortinet).
- Growing Risks: By 2025, cybercrime is expected to cost businesses $10.5 trillion annually (Source: Cybersecurity Ventures).
Security efforts aren’t just for IT anymore. Manufacturers are also protecting machines and industrial IoT devices. By prioritizing security, businesses can avoid costly disruptions and build trust with customers.
6. Preparing Workers for Tomorrow
As technology changes, workers need new skills. Tools like augmented reality (AR), virtual reality (VR), and microlearning platforms are making training faster and more effective.
- AR and VR Growth: The AR/VR training market is expected to grow to $70 billion by 2030 (Source: PwC).
- Workforce Readiness: 87% of manufacturers say that finding skilled workers is one of their biggest challenges (Source: National Association of Manufacturers).
AR and VR allow workers to practice tasks in a virtual space, reducing mistakes on the job. Microlearning tools deliver short, on-demand lessons that are easy to follow and apply. Investing in training helps workers keep up with new tools and makes businesses more adaptable for the future.
These trends show where manufacturing is heading. Companies that prepare now will be ready to adapt and grow in the years ahead.
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💬 Which of these trends do you think will have the biggest impact on your business in 2025?
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Additional Resources / Sources
- Contact us!
- Manufacturing Industry Outlook 2025
- Airline Hydraulics Website
- Source: Zion Market Research
- Source: ABI Research
- Source: Deloitte
- Source: Reshoring Initiative
- Source: Fortune Business Insights
- Source: Fortinet
- Source: Cybersecurity Ventures
- Source: PwC
- Source: National Association of Manufacturers
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