This paper is concerned with real-time optimal-tuning PID control design for industrial hydraulic systems. Several optimal-tuning controller design techniques are used for a hydraulic position control system. After analysis on the system, a nonlinear dynamical model is derived. A nonlinear PID control scheme with inverse of dead zone is introduced to overcome the dead zone in this hydraulic system. An optimal PID controller is designed to satisfy desired time-domain performance requirements. Using the adaptive model, an optimal-tuning PID control scheme is proposed to provide optimal PID parameters even in the case where the system dynamics are time variant. To implement the optimal-tuning control in practice safely, a control performance prediction strategy is integrated. These control techniques are implemented on dSPACE and are also demonstrated by a number of experiments on a hydraulic position control test rig.