April 20, 2024
Ict

Automation Advances Drive Growth in Industrial Robotics Market Globally

The industrial robotics market facilitates increased productivity and reduced costs for key industries. Industrial robots are robotic arms that can perform manufacturing tasks with increased precision and endurance compared to human workers.

The global Industrial Robotics Market is estimated to be valued at US$ 69.33 billion in 2024 and is expected to exhibit a CAGR of 6.7% over the forecast period 2024 to 2031.

Industrial robots are widely used for applications such as welding, assembly, packaging, palletizing, and materials handling in industries like automotive, chemicals, plastics, and consumer goods. These robots can perform monotonous and repetitive tasks continuously without breaks, thereby reducing errors and improving productivity. Their high precision leads to better quality control. The use of industrial robots has enabled reduced costs and elevated safety standards by limiting human exposure to hazardous work environments.

Key Takeaways
Key players operating in the industrial robotics market are Daihen Corporation, Yaskawa Motoman Robotics, Denso Corporation, Universal Robots, Epson America, Inc., Panasonic Corporation, Epson America, Inc., Nachi Robotic Systems, Inc., FANUC Ltd., Mitsubishi Electric Corporation, Kawasaki Heavy Industries Ltd., and KUKA Robotics Corporation. These companies have introduced collaborative robots that can work alongside human workers safely and provide cost-effective solutions for small and mid-sized enterprises.

The expansion of the e-commerce industry has opened new opportunities for industrial robots to automate warehouse logistics and fulfillment. Growing funding for robotics startups is encouraging new product innovations. Adoption is increasing across industries and regions due to the benefits of robotics in enhancing quality, safety, and flexibility of operations.

The global industrial robotics market is expanding rapidly driven by growth in emerging economies. China, India, and other Asian countries are major manufacturing hubs installing widespread automation solutions. Government incentives for industrial digitization will further support market growth. Germany and Japan also have dense robotics clusters and remain prominent regional markets.

Market drivers
A key driver for the industrial robotics market is growing labor costs and shortage of workers. Automation enables companies to cope with rising wages and secure continuous production amid tight labor availability. There is a rising need for flexibility, quality control, and precision across production lines. Industrial robots fulfill these needs and allow for new capabilities like handling varied product sizes and quantities efficiently. They improve operational efficiency of manufacturing facilities significantly.

PEST Analysis
Political: The industrial robotics market growth is largely driven by policy level support from governments across regions for increasing automation in industries. Several countries offer incentives and subsidies for robotics adoption.
Economic: Strong GDP growth in emerging economies is translating to higher manufacturing sector growth which fuels the demand for industrial robots for factory automation to cut costs and boost productivity. Automation helps reduce labor costs as well.
Social: Younger demographics are more receptive to new technologies compared to older cohorts. Wider acceptance of robotics at workplaces is positively impacting the market expansion. Safety concerns also incentivize industries to deploy robots for hazardous tasks performed by humans earlier.
Technological: Advancements in robotics technologies such as artificial intelligence, machine vision, sensors, and collaborative robots allow robots to take up complex tasks as well as work safely alongside humans. New types of robots coming up have accelerated the market expansion.

Nearly 50% of the global Industrial Robotics Market value is concentrated in East Asia led by China, Japan and South Korea. The density of factories and manufacturing industries in these countries coupled with strong focus on industrial automation from both government as well as companies has consolidated the region’s leadership.
North America is also a major regional market driven by strong demand from US automotive and electrical/electronics sectors. Government initiatives to bring back manufacturing from China post COVID pandemic is boosting prospects further.
The fastest growing regional market for industrial robotics is expected to be Central and Eastern Europe over the forecast period. Countries like Poland, Czech Republic are witnessing rising investments in factory automation to enhance competitiveness. Subsidies by EU for robotics adoption will also support the growth momentum in the forthcoming years.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it