Europe Manufacturing Execution System (MES) Market
Europe Manufacturing Execution System (MES) Market By Offering (Software, Services), Deployment (On-premises, Cloud, Hybrid), Application (Production Management, Quality Management, Performance Analytics, Predictive Maintenance) - Forecast to 2030
OVERVIEW
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
The European MES market is projected to reach USD 5.88 billion by 2030, up from USD 3.80 billion in 2025, at a CAGR of 9.1% from 2025 to 2030. The European MES market is experiencing strong growth, driven by the rapid adoption of Industry 4.0, smart manufacturing, factory automation, and paperless production across various industrial sectors. Additionally, stringent regulatory mandates in pharmaceuticals, automotive, and food industries for traceability, quality compliance, and full production genealogy are further accelerating the deployment of MES platforms to ensure transparency, consistency, and real-time operational control.
KEY TAKEAWAYS
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BY COUNTRYGermany is expected to dominate the market, growing at a CAGR of 11.2% during the forecast period.
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BY OFFERINGThe services segment is expected to register the highest CAGR of 10.0% during the forecast period.
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BY DEPLOYMENTThe on-premises segment is expected to dominate the market in terms of market share.
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BY INDUSTRYThe pharmaceuticals & lifesciences segment is expected to grow at the highest rate of 14.0% during the forecast period.
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COMPETITIVE LANDSCAPE - KEY PLAYERSSiemens (Germany), SAP SE (Germany), and Dassault Systèmes (France)were identified as some of the star players in the European MES market, given their strong market share and product footprint.
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COMPETITIVE LANDSCAPE - STARTUPS/SMESCritical Manufacturing Inc and Aptean among others, have distinguished themselves among SMEs by securing strong footholds in specialized niche areas, underscoring their potential as emerging market leaders.
The European Manufacturing Execution Systems (MES) market is primarily driven by Germany, France, UK,Italy, Spain, Netherlands, Switzerland, Nordics and rest of Europe owing to their advanced manufacturing sectors, high Industry 4.0 adoption, and strong automotive and electronics industries. Factors like digitalization initiatives, government support, and demand for production efficiency further boost MES deployment across Europe
TRENDS & DISRUPTIONS IMPACTING CUSTOMERS' CUSTOMERS
The European MES market is undergoing rapid digital transformation, with trends such as AI-driven analytics, IoT integration, and cloud-based solutions enabling real-time production monitoring and predictive maintenance. Smart factories and the adoption of Industry 4.0 are driving demand for seamless data flow across shop floors. Disruptions include rising cybersecurity concerns, high costs associated with migrating legacy systems, and supply chain volatility, all of which challenge traditional MES deployment. Additionally, increasing emphasis on sustainability and energy-efficient manufacturing is prompting companies to adopt advanced MES solutions that optimize resource utilization. Collaborative robotics and edge computing further reshape operational workflows, enhancing agility and competitiveness across European manufacturing.
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
MARKET DYNAMICS
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Accelerating Industry 4.0 adoption across automotive, aerospace, and food sectors across
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Strict regulatory and compliance requirements especially in France, Germany, and Switzerland
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High cost and complexity of integrating MES with legacy OT systems across Germany and Eastern European manufacturing hubs
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Shortage of skilled OT/IT integration workforce mostly in Central and Eastern Europe
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Fast adoption of cloud and hybrid MES for multi-site operations in UK, the Netherlands, and Ireland
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AI/ML-driven MES gaining fastest traction in Germany and the Nordics
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Rising cybersecurity vulnerabilities with IT/OT convergence in Germany and France
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Long validation and change-management cycles in regulated industries across Europe
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
Driver: Accelerating Industry 4.0 adoption across automotive, aerospace, and food sectors
Germany and other European manufacturing hubs are rapidly embracing Industry 4.0, driving MES deployment to improve production efficiency, traceability, and real-time monitoring. MES systems integrate with smart factory initiatives, enabling automated workflows, predictive maintenance, and optimized resource utilization, particularly in high-tech sectors like automotive and aerospace.
Restraint: High cost and complexity of integrating MES with legacy OT systems across Germany and Eastern European manufacturing hubs
Manufacturers in Germany and Eastern Europe face challenges integrating MES with existing OT/legacy infrastructure. This complexity increases implementation costs and delays adoption, especially in brownfield factories where modernization is critical but technically demanding.
Opportunity: Fast adoption of cloud and hybrid MES for multi-site operations in UK, the Netherlands, and Ireland
Countries such as the UK, the Netherlands, and Ireland are witnessing a rapid adoption of cloud-based and hybrid MES solutions. These systems support multi-site operations with centralized monitoring, data analytics, and improved operational efficiency, enabling manufacturers to scale and standardize production processes across locations.
Challenge: Rising cybersecurity vulnerabilities with IT/OT convergence in Germany and France
Germany and France face increasing risks as MES systems converge with IT and OT networks. Cybersecurity threats, including ransomware and data breaches, pose challenges for sensitive manufacturing processes, necessitating robust security measures and continuous monitoring to protect production integrity and compliance.
EUROPE MANUFACTURING EXECUTION SYSTEM (MES) MARKET: COMMERCIAL USE CASES ACROSS INDUSTRIES
| COMPANY | USE CASE DESCRIPTION | BENEFITS |
|---|---|---|
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Real-time production performance and line-side analytics supporting discrete and hybrid European manufacturing | Digital quality management and full component traceability aligned with EU automotive, aerospace, and electronics compliance | Multi-site MES deployment via Siemens Opcenter enabling harmonized workflows across EU plants | Reduces downtime and scrap with automated root-cause analytics for EU automotive and machinery plants | Improves OEE and throughput across cross-border production networks | Ensures full EUDR/CE/FDA-EU compliance and genealogy for regulated industries | Supports energy-efficient manufacturing and sustainability reporting aligned with European green-industry goals |
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Digital work instructions and orchestration for batch-process manufacturers across Europe, including chemicals, food & beverage, and pulp & paper | Plant-wide batch + continuous process synchronization with OT systems common in EU heavy industries | Predictive MES with ABB Ability for real-time equipment and energy monitoring across European sites | Enhances yield and reduces variability across regulated EU process industries via standardized electronic workflows | Improves asset utilization and operational reliability in European chemicals and oil & gas clusters |
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Streamlined batch execution and electronic batch records (EBR) for European pharma and biotech plants | Paperless documentation and workflow automation aligned with EU GMP, EMA, and Annex 11 compliance | Accelerates batch release times and reduces human error through digital records suited to EU GMP | Improves audit readiness for EMA and MHRA inspections | Increases operational reliability and decreases waste via synchronized MES and automated batch control |
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End-to-end MES for EU semiconductor and high-precision microelectronics fabs | Advanced scheduling, dispatching, and recipe management for high-mix, small-lot EU production environments | AI-based inline defect inspection with closed-loop yield optimization integrated with European metrology, traceability, and PPAP/automotive quality frameworks | Maximizes wafer yield and fab uptime in high-capex European fabs via automated decision-making | Reduces cycle variance and accelerates time-to-market for European IDMs and outsourced semiconductor assembly/test players |
Logos and trademarks shown above are the property of their respective owners. Their use here is for informational and illustrative purposes only.
MARKET ECOSYSTEM
The European MES market ecosystem comprises software vendors, system integrators, manufacturing end-users, supporting technologies, and regulatory frameworks. Leading MES providers, such as Siemens, Schneider Electric, ABB, and Dassault Systèmes, offer platforms that integrate OT and IT systems. Meanwhile, integrators implement and customize solutions for diverse industries, including automotive, aerospace, electronics, pharmaceuticals, and the food & beverage sector.
Logos and trademarks shown above are the property of their respective owners. Their use here is for informational and illustrative purposes only.
MARKET SEGMENTS
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
European MES Market, By Offering
The services segment is poised to dominate the European MES market due to the complex and highly regulated nature of industries such as pharmaceuticals and life sciences. MES deployment requires extensive implementation, integration with legacy systems, and ongoing support, driving strong demand for consulting, validation, and maintenance services. Regulatory compliance further amplifies this need, as companies must ensure adherence to stringent standards, such as GMP, and maintain audit-ready documentation.
European MES Market, By Deployment
The on-premises deployment segment is expected to dominate the European MES market due to the stringent regulatory and data security requirements in industries such as pharmaceuticals and life sciences. European manufacturers prefer in-house control over critical production data, ensuring compliance with GMP standards and audit readiness. On-premises MES also facilitates seamless integration with legacy systems, providing high operational reliability. Countries such as Germany and the UK, with their advanced pharma and biotech sectors, particularly favor on-premises solutions to maintain data integrity and process control.
European MES Market, By Industry
The pharmaceuticals and life sciences segment is set to dominate the European MES market, driven by stringent regulatory requirements, high demand for quality control, and the need for process standardization. MES solutions enable manufacturers to ensure data integrity, batch traceability, and compliance with GMP standards, making them essential in this sector. Countries such as Germany, the UK, and Switzerland, with strong pharmaceutical and biotech industries, are leading adopters, reflecting the critical role of MES in maintaining operational efficiency and regulatory compliance.
REGION
Germany is expected to be the fastest-growing country across the European MES market during the forecast period
Germany is experiencing strong growth in the European MES market, dominating in terms of market size, driven by its robust manufacturing and pharmaceutical sectors. The country’s advanced industrial base, encompassing automotive, chemicals, and life sciences, generates a high demand for MES to enhance operational efficiency, traceability, and compliance. Stringent regulatory standards, particularly in the pharmaceutical and food industries, encourage the adoption of on-premises and service-led MES solutions. Additionally, Germany’s focus on Industry 4.0 initiatives and digital transformation in factories fuels investment in MES software and integration services, positioning the country as a leading market within Europe.
EUROPE MANUFACTURING EXECUTION SYSTEM (MES) MARKET: COMPANY EVALUATION MATRIX
In the Europe MES market matrix, Siemens, SAP, and Dassault Systèmes (Star) lead with a strong market presence and a wide product portfolio, driving large-scale adoption across various industries, including automotive, chemicals, and pharmaceuticals, among others.
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
KEY MARKET PLAYERS
- ABB (Switzerland)
- Siemens (Germany)
- SAP SE (Germany)
- Dassault Systèmes (France)
- Schneider Electric (France)
- Rockwell Automation (US)
- Honeywell International Inc.(US)
- Emerson Electric Co (US)
- Oracle (US)
MARKET SCOPE
| REPORT METRIC | DETAILS |
|---|---|
| Market Size in 2024 (Value) | USD 3.56 Billion |
| Market Forecast in 2030 (Value) | USD 5.88 Billion |
| Growth Rate | CAGR of 9.1% from 2025–2030 |
| Years Considered | 2021–2030 |
| Base Year | 2024 |
| Forecast Period | 2025–2030 |
| Units Considered | Value (USD Billion/Million) |
| Report Coverage | Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
| Segments Covered |
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| Country Scope | Europe: Germany, UK, France, Italy, Spain, Netherlands, Switzerland, Nordics, Rest of Europe |
WHAT IS IN IT FOR YOU: EUROPE MANUFACTURING EXECUTION SYSTEM (MES) MARKET REPORT CONTENT GUIDE
DELIVERED CUSTOMIZATIONS
We have successfully delivered the following deep-dive customizations:
| CLIENT REQUEST | CUSTOMIZATION DELIVERED | VALUE ADDS |
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| Germany-based Pharmaceutical Manufacturer |
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Enhanced regulatory compliance with EU GMP standards |
| Europe-Based MES Integration Consulting Firm |
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| UK-based Life Sciences Company | Strategic Report on Multi-site MES integration, LIMS & ERP alignment, validated workflows. |
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| Switzerland-based Biotech Firm |
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Custom dashboards, predictive analytics, and secure data handling |
RECENT DEVELOPMENTS
- January 2024 : Siemens launched manufacturing execution systems (MES) software. Powered by Mendix’s low-code technology, this software empowers manufacturers with unprecedented agility. This innovative solution redefines manufacturing across diverse industries.
- February 2024 : Dassault Systèmes announced a collaboration with Groupe Clarins, the family-owned global cosmetics group. This group has selected Dassault Systèmes’ 3DEXPERIENCE platform and will leverage DELMIA Apriso to streamline manufacturing processes and increase production capacity.
- October 2023 : SAP SE announced a collaboration with Siemens Energy, a global leader in energy technology. Under this collaboration, Siemens Energy has launched the SAP Digital Manufacturing solution at five lighthouse plants in Germany, the UK, and Mexico.
Table of Contents
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Methodology
The study involved four major activities in estimating the current size of the Europe Manufacturing Execution System (MES) Market. Exhaustive secondary research has been done to collect information on the market, peer market, and parent market. To validate these findings, assumptions, and sizing with industry experts across the value chain through primary research has been the next step. Both top-down and bottom-up approaches have been employed to estimate the complete market size. After that, market breakdown and data triangulation methods have been used to estimate the market size of segments and subsegments. Two sources of information—secondary and primary—have been used to identify and collect information for an extensive technical and commercial study of the Europe Manufacturing Execution System (MES) Market.
Secondary Research
Various secondary sources have been referred to in the secondary research process to identify and collect information important for this study. The secondary sources include annual reports, press releases, and investor presentations of companies; white papers; journals and certified publications; and articles from recognized authors, websites, directories, and databases. Secondary research has been conducted to obtain key information about the industry’s supply chain, the market’s value chain, the total pool of key players, market segmentation according to the industry trends (to the bottom-most level), regional markets, and key developments from market- and technology-oriented perspectives. The secondary data has been collected and analyzed to determine the overall market size, further validated by primary research.
Primary Research
Extensive primary research was conducted after gaining knowledge about the current scenario of the Europe Manufacturing Execution System (MES) Market through secondary research. Several primary interviews were conducted with experts from the demand and supply sides across four major regions—North America, Europe, Asia Pacific and RoW. This primary data was collected through questionnaires, emails, and telephonic interviews.
Market Size Estimation
Both top-down and bottom-up approaches have been used to estimate and validate the total size of the Europe Manufacturing Execution System (MES) Market. These methods have also been used extensively to estimate the size of various subsegments in the market. The following research methodology has been used to estimate the market size:
- Major players in the industry and markets have been identified through extensive secondary research.
- The industry’s value chain and market size (in terms of value) have been determined through primary and secondary research processes.
- All percentage shares, splits, and breakdowns have been determined using secondary sources and verified through primary sources.
Data Triangulation
After arriving at the overall size of the Europe Manufacturing Execution System (MES) Market from the market size estimation process explained above, the total market has been split into several segments and subsegments. Data triangulation and market breakdown procedures have been employed, wherever applicable, to complete the overall market engineering process and arrive at the exact statistics for all segments and subsegments of the market. The data has been triangulated by studying various factors and trends from both the demand and supply sides. Along with this, the market size has been validated using both top-down and bottom-up approaches..
Market Definition
The Manufacturing Execution Systems (MES) market refers to software designed to maximize real-time factory production management by integrating operational technology (OT) with information technology (IT). Unlike enterprise resource planning (ERP) systems, MES offers granular visibility, control, and coordination of the manufacturing process at the shop floor level. These systems maximize production efficiency through optimized monitoring, quality assurance, workflow automation, and compliance with regulatory requirements.
Propelled by Industry 4.0, smart manufacturing, and real-time analytics needs, MES solutions assist manufacturers in minimizing downtime, enhancing agility, and maximizing the use of resources. Industries such as automotive, electronics, pharmaceuticals, aerospace, and food & beverage depends on MES for smooth production, supply chain synchronization, and improved decision-making.
Key Stakeholders
- Associations and regulatory authorities (especially responsible for developing standards related to plant maintenance)
- Government bodies, venture capitalists, and private equity firms
- Automation consultants
- Automation system integrators
- ERP developers
- MES distributors and providers
- Process and discrete industries
- Research organizations and consulting companies
- Technology providers
- Technology investors, standards organizations, forums, alliances, and associations
Report Objectives
- To describe, segment, and forecast the overall Europe Manufacturing Execution System (MES) Market, by deployment mode, offering, application, and industry, in terms of value.
- To describe and forecast the market for four key regions: North America, Europe, Asia Pacific, and Rest of the World (RoW), along with their respective countries, in terms of value.
- To describe the applications and leveraging entities of manufacturing execution systems and software.
- To provide an overview of the recent trends in the market.
- To provide detailed information regarding the drivers, restraints, opportunities, and challenges influencing the growth of the market.
- To analyze the supply chain, trends/disruptions impacting customers’ business, market/ecosystem map, pricing analysis, and regulatory landscape pertaining to Europe Manufacturing Execution System (MES) Market.
- To strategically analyze micromarkets with respect to individual growth trends, prospects, and contributions to the overall market size.
- To analyze opportunities in the market for stakeholders and provide a competitive landscape of the market.
- To strategically profile the key players and comprehensively analyze their market positions in terms of their ranking and core competencies, along with detailing the competitive landscape for market leaders,
- To analyze competitive developments, such as product launches, acquisitions, collaborations, agreements, and partnerships, in the Europe Manufacturing Execution System (MES) Market.
- To provide ecosystem analysis, case study analysis, patent analysis, technology analysis, value chain analysis, trends/disruptions impacting customer business, the impact of AI/Gen AI, key conferences and events, pricing analysis, Porter’s five forces analysis, and regulations pertaining to the market under study.
- To provide a macroeconomic outlook based on all the regions in the region chapter.
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Growth opportunities and latent adjacency in Europe Manufacturing Execution System (MES) Market