Industrial Robotics Market Growth, Trends, and Insights 2024-2031

The global industrial robotics market, valued at USD 15.8 billion in 2021, is projected to grow at a CAGR of 13.8 percent during the forecast period. Industrial robots, automated machines gaining popularity across various industries including food and beverage, electronics, metals and machinery, and semiconductors, are key drivers of market growth. With benefits such as increased utilization, reduced costs, and improved quality, industrial robotics is set to transform manufacturing processes globally.

https://www.fairfieldmarketresearch.com/report/industrial-robotics-market

Increased Utilization in Diverse Industries

The adoption of industrial robots is rising across various applications such as painting, assembly, welding, palletizing, packaging and labeling, and product inspection. This technology is significantly enhancing the productivity of high-volume production lines, particularly in the automotive and electronics manufacturing sectors.

Rising Labor Costs Driving Automation

Rising wage costs, especially in the UK where they are increasing by more than 12% annually, have led to labor shortages. To address this issue, companies are investing heavily in industrial robots. In January 2022, Chancellor Rishi Sunak invested in robotics to help the UK economy cope with inflationary pressures and labor shortages. Similarly, DHL Supply Chain invested USD 15 million in robotic solutions for its warehouse supply chain network, streamlining operations and reducing long-term costs.

Technological Advancements Fueling Market Expansion

Key market players are focusing on innovation to capitalize on existing opportunities. For instance, ABB Group launched the ceiling-mounted industrial SCARA robot IRB 910INV, which can work simultaneously with other machines and robots, offering greater flexibility and increased productivity.

COVID-19 Impact: Accelerating Demand for Robotics

The COVID-19 pandemic has significantly impacted various industries, with increased demand for medical devices boosting the industrial robotics market. Companies like Vecna Robotics have launched automated solutions like Ventiv, an automated manual resuscitator, to meet the surge in demand for medical devices.

Access to New Industries and Adoption by SMEs

The advent of precision robotics and the miniaturization of robots have opened new markets such as electronics and instrumentation. The rise of nanorobotics has enabled industrial robotics to penetrate previously untapped sectors like healthcare. Moreover, industries such as testing and packaging show consistent promise and have become major contributors to the industrial robot market.

Growing Demand for Collaborative Robots

Collaborative robots, or cobots, designed to work alongside humans, are becoming increasingly popular. They are used in various applications including packaging, pick-and-place, screwing, assembly, laboratory testing, and quality inspection. Companies like Universal Robots, KUKA AG, and Franka Emika GmbH are leading providers of collaborative robots, catering to industries like retail, healthcare, and automotive manufacturing.

High Costs: A Major Restraint for SMEs

Despite the benefits, the high costs associated with purchasing, integrating, programming, and maintaining robots pose a challenge, particularly for small and medium-sized enterprises (SMEs). Custom integration further adds to the overall cost, making it difficult for SMEs to achieve a favorable return on investment, especially in low-volume production scenarios.

Segment Overview: Articulated Robots and Robot Accessories

Articulated robots are expected to hold the largest market share among traditional industrial robots due to their extensive use in the automotive industry. These robots are employed in tasks such as handling, assembly, welding, and painting. Additionally, the demand for articulated robots is rising in the pharmaceutical and cosmetics industries, particularly for automation in testing and production processes.

Regional Insights: Asia Pacific and North America

The Asia Pacific region is expected to dominate the industrial robotics market due to rising labor costs, increasing disposable income, and favorable government initiatives. Countries like China are recovering from production slowdowns, while others like Taiwan and Thailand are pushing for further automation. In North America, the demand for industrial robots is driven by the rapid rise of Industry 4.0 and smart factories, with substantial growth anticipated due to high industrial demand and the expansion of supplier operations in the region.

Competitive Landscape

Key players in the industrial robotics market include ABB (Switzerland), FANUC (Japan), YASKAWA (Japan), KUKA (Germany), Mitsubishi Electric (Japan), Kawasaki Heavy Industries (Japan), and Denso Corporation (Japan). Recent developments include Kawasaki Heavy Industries' installation of an automated PCR testing system at Fujita Health University and ABB's acquisition of Codian Robotics, enhancing their capabilities in high-precision pick-and-place applications.

The industrial robotics market is poised for significant growth, driven by technological advancements, rising labor costs, and increasing adoption across diverse industries. As companies continue to innovate and invest in robotic solutions, the market is set to expand, offering new opportunities and transforming manufacturing processes globally.