In today’s environment, the manufacturing sector continues to evolve in response to global pressures and rapid technological advancement, and according to Yousuf Saleem, national sales manager at Beckhoff Automation Australia, several key trends are gaining strong momentum in 2026.
And for Saleem, one of the most prominent developments is the industry’s move towards cabinet-free machine design.
“The industry is undergoing a fundamental shift in how machines are designed, built and ultimately optimised. Traditionally, automation systems have relied on large control cabinets housing drives, controllers and safety systems, but this is rapidly changing,” Saleem noted.
“There is a strong shift towards cabinet-free machine design, where manufacturers are looking to reduce costs by minimising components and cabling.”
Supporting this transformation is Beckhoff’s MX-System, a recently launched innovation which the company said continues to garner praise in 2026.
“The MX-System is built on over 40 years of experience and delivers the functionality and reliability of traditional control cabinets – but in a more compact, modular and flexible format,” said Saleem.
“With the MX-System, customers retain all the advantages of a traditional control cabinet, while gaining access to a new generation of enhanced features and benefits.”
According to Saleem, a major feature of this approach is moving power, control, drives and safety out of the control cabinet through MX-System baseplates and modules, combined with distributed servo drives, EtherCAT and one-cable technologies.
“The result is a more compact, modular and scalable machine architecture that reduces installation complexity and improves overall efficiency,” he continued.
AI embedded in automation
Another trend Saleem points to is AI, which he says continues its steady integration into industrial systems – particularly in combination with advanced motion and vision technologies.
“AI continues to gain momentum, with tighter integration of AI and machine learning alongside vision, high-speed measurement and mechatronic systems for closed-loop optimisation,” he explained.
“Rather than operating separately, AI is now embedded within automation platforms, enabling real-time optimisation, improved product quality and adaptive control.”
Market conditions and customer support
Acknowledging increased competition (both locally and internationally), rising costs, tariffs and other factors, Saleem noted that the past few years have brought uncertainty to some manufacturers and resulted in a downturn in select industries.
“Some OEMs, machine builders and end users experienced a softening in certain manufacturing segments following the 2021 to 2023 boom and subsequent supply chain disruptions,” he said.
“Industries such as food and beverage remain steadfast performers, along with logistics due to eCommerce expansion, and while these industries enjoy sustained growth, others have plateaued, creating a mixed demand environment. Regardless, Beckhoff continues to rise to the occasion, providing support and adapting their strategies – even in trying times.
“To support customers, Beckhoff focused on flexibility and risk mitigation. We’ve encouraged standardisation, steering projects toward widely available, stocked products to avoid long lead-time configurations.”
The company also worked with customers to identify compatible alternatives across key components and encouraged forward planning to better manage supply timelines.
Speaking to exciting areas for growth, Saleem points to the renewables sector (solar and hydrogen) as catalyst for innovation and expansion.
“There is major demand in the renewables, battery/EV manufacturing sectors,” he added.
“As it stands, Australia is ripe for renewable infrastructure and investment thanks to expansive land availability and technological investments and advancement, such as clean energy, high-precision production and giga-factories.
“It’s an exciting space to be in right now with the shift towards decarbonisation.”
A more flexible future
When asked what we can be expected next, Saleem said the company will continue to invest in scalable and modular technologies, highlighting products like the MX-SyStem with expanded functionality including higher-power modules and enhanced safety integration.
He also pointed to robotics as another key area of development, particularly with modular systems that enable customised machine configurations.
In parallel, he said advancements in I/O technology are improving efficiency on the factory floor through faster installation, easier diagnostics, and backward compatibility.
Internally, Saleem shared that Beckhoff will continue to further expand its local presence and capabilities.
“There is always intense focus on how we can best service our customers and, as a result, we continue to make sales and technical support faster, more local and more proactive. Complacency is never the answer,” he said.
“As manufacturing continues to evolve, flexibility, efficiency and data-driven decision-making are becoming essential.
“Our focus on open, PC-based control and scalable automation platforms positions us well to support customers as industries move toward more flexible, data-driven, and sustainable manufacturing.”
