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Industrial Robotics Market

Industrial Robotics Market

Global Industry Analysis (2018 - 2021), Growth Trends, and Market Forecast (2022 - 2029)

Published Date: Upcoming | Format:

Industry: Information & Communications Technology | Author Name: Mohit

Industrial Robotics Market: Overview

The market size for industrial robotics market was USD 15.8 billion in 2021, and it is projected to grow at a CAGR of 13.8 percent during the forecast period. Industrial robots are automated machines gaining popularity in food and beverage, electronics, metals and machinery, and semiconductors that drive market growth. Benefits such as increased utilization, reduced costs, and improved quality are the major factors driving the market expansion during the forecast period. The technology is increasingly used in various applications such as painting, assembly, welding, palletizing, packaging and labeling, and product inspection. The increasing focus on increasing the productivity of high-volume production lines, especially in automotive and electronics manufacturing, is one of the trends accelerating market growth.

Wage costs in the UK rise by more than 12% each year, leading to labor shortages. To overcome such problems, market players are investing in industrial robots. For instance, in January 2022, Chancellor Rishi Snack invested in robotics to help the UK people and economy deal with an inflationary crisis caused by a labor shortage. Key market players' increased investment in supply chains is a major factor driving the market's growth. In January 2022, DHL Supply Chain invested US$15 million in robotic solutions for its warehouse supply chain network. Robots help simplify supply chain networks by reducing long-term costs, increasing productivity, reducing errors, and streamlining picking operations. According to industrial robot market trends, the supply chain market is estimated to grow over 100% by 2026. As supply chain networks expand, demand for cost reduction and efficiency gains increases, creating new opportunities in the market.

Major market players focus on launching new robots to capitalize on existing opportunities. For instance, ABB Group, a pioneering technology leader based in Switzerland, announced the launch of its new ceiling-mounted industrial SCARA robot IRB 910INV in 2018. Robots can work simultaneously with other machines and robots, providing greater flexibility and increased productivity. These factors are expected to boost the market in the coming years.

Industrial Robotics Market: COVID-19 Impact

The Covid-19 pandemic has caused significant changes in business across many industries. The ongoing COVID-19 pandemic is impacting many industries around the world. It is due to lockdowns imposed by some countries to prevent the spread of coronavirus. Increasing demand for medical devices is expected to boost the growth of industrial robots in the device manufacturing industry. Increased demand for fans and respirators has increased the demand for industrial robots. For instance, in April 2020, US-based robotics and technology company Vecna ​​Robotics and sister companies VecnaCares and Vecna ​​Healthcare launched an automated manual Launched Ventiv, a resuscitator.

Industrial Robotics Market: Drivers

Access to New Industries and Adoption of Robotics in SMEs is Expected to Drive Growth

Robotics was primarily associated with heavy industries such as automobiles and energy. However, the advent of precision robotics over the years and the miniaturization of robots have created new markets such as electronics and instrumentation. The advent of nanorobotics has also enabled industrial robotics to enter previously untapped industries such as healthcare. In addition, industries such as testing and packaging consistently show promise and have become major industries in the industrial robot market. Industrial robots are currently used in industries such as automobile parts, mainly small and medium-sized enterprises. Therefore, these factors are expected to drive the growth of the global industrial robot market during the forecast period.

Growing Demand for Collaborative Robots is Driving Industrial Robot Market

Collaborative robots are designed to work with humans by interacting in a shared workspace. Cobots can easily automate tasks and are used in various applications such as packaging, pick-and-place, screwing, assembly, laboratory testing, and quality inspection. In addition, cobots can perform repetitive tasks faster, allowing companies to increase worker safety and production. Demand for collaborative robots from retail, healthcare and automotive manufacturing industries is continuously increasing due to their multiple benefits and related applications. Several manufacturers, such as Universal Robots, KUKA AG and Franka Emika GmbH, are active in industrial robots and offer a wide range of collaborative robots for different industries.

Industrial Robotics Market: Restraints

High Introduction Costs for SMEs Robotic Automation Projects can be Challenging for Companies Without Prior Knowledge

A large investment is required in purchasing robots and their integration, programming and maintenance. Custom integration may be required in some cases, which can further increase your overall cost. Companies don't always have the facilities and infrastructure needed to use robots. Return on investment (ROI) can be difficult because small businesses are typically involved in small-batch production. The presence of companies involved in seasonal or unstable production schedules further clarifies the problem. Since products have to be updated yearly on average, consumer tastes change rapidly, requiring frequent reprogramming of robots. Too much automation can also be a problem. The US auto industry initially adopted more automation than the Japanese. It has led to cost overruns as product lines and consumer demand change over time, and many robots become unnecessary or obsolete. Replacing human labor does not always reduce an organization's operating costs. A single cobot system costs between $3,000 and $100,000. Industrial robotic systems are even more expensive at $15,000 to $150,000. The cost of industrial robots combined with the cost of integration, and the cost of peripherals such as end effectors and vision systems make automation a costly investment for small businesses, especially when low volume production is involved.

Industrial Robotics Market: Segment Overview

Articulated Robots are Expected to Hold Largest Share of Industrial Robotics Market due to Use in Automotive Industry

Articulated robots are expected to hold the largest market share in value and volume among traditional industrial robots during the forecast period. Articulated robots are used in the automotive industry for various tasks, including handling, assembly and disassembly, welding, dispensing (gluing and painting), machining (cutting and polishing), spot welding and painting. The pharmaceutical and cosmetics industries are also seeing increased demand for the adoption of articulated robots. In particular, he said that with the outbreak of COVID-19 cases worldwide, in the current scenario of increasing demand for testing and production where articulated robots can be deployed for seamless automation, the pharmaceutical industry is manufacturing the whole process.

Robot Accessory Components to Witness Highest Growth in Industrial Robot Market during the Forecast Period

Component-related growth rates for the industrial robot market are particularly high for robot accessories such as end effectors and image processing systems. Technological innovation has greatly advanced end effectors. These advances in end effectors have been driven in part by the need to achieve mastery in industrial robots for enhanced functionality, especially in pick-and-place operations. In the future, end effectors will increasingly combine machine learning software and safety features within the end-of-arm tool (EOAT) itself, along with its ability to adapt to its machine vision environment to a higher level of technological sophistication. After Industry 4.0, which enables error-free communication and better data optimization and collection, sustainability in the robotic EOAT industry continues to spread and drive development.

Industrial Robotics Market: Regional Landscape

Asia Pacific to Dominate Market due to Increasing Labour Costs in Asia Pacific

The rising labor costs in Asia Pacific force manufacturers to automate their manufacturing processes to maintain cost advantages. Countries such as China are expected to recover from a slowdown in production by 2021, while others like Taiwan and Thailand are pushing for further automation. Moreover, the growing population and increasing disposable income drive demand for consumer goods and other products, increasing production capacity and further complementing the market size. Automation in Asia Pacific countries is expected to continue shortly due to low production costs, easy availability of an economical labor force, lax emission and safety standards, and government initiatives for foreign direct investment (FDI). It is slated to grow, and as a result, Asia Pacific maintains its position dominant market position in the traditional robot market. 

Due to the high industrial demand, especially in the United States, substantial growth is expected in North America. Many suppliers plan to expand their operations into the region in the coming years. Moreover, with the rapid rise of Industry 4.0 and smart factories, there is a growing need for customized small robotic systems in the region.

Global Industrial Robotics Market: Competitive Landscape

In 2021, Kawasaki Heavy Industries, Ltd. announced that its Japanese automated polymerase chain reaction (PCR) testing system would be installed at Fujita Health University in Aichi Prefecture using Kawasaki robots. Additionally, in October 2020, ABB announced the acquisition of Codian Robotics (Netherlands), a leading supplier of delta robots, mainly used for high-precision pick-and-place applications. Codian Robotics offers a line of hygienic designs ideal for hygiene-sensitive industries such as food, beverages and pharmaceuticals. With this acquisition, ABB is expected to expand its range of Delta robots.

Few of the players in the Industrial Robotics Market include ABB (Switzerland), FANUC (Japan), YASKAWA(Japan) KUKA (Germany), Mitsubishi Electric (Japan) (Japan), Kawasaki Heavy Industries (Japan), Denso Corporation (Japan), NACHI-FUJIKOSHI (Japan), Seiko Epson (Japan), DÜrr (Germany), Universal Robots (Denmark), Stäubli (Switzerland), Comau (Italy), B+M SURFACE SYSTEMS (Germany), ICR Services (US), IRS Robotics (Netherlands), Hyundai Robotics (South Korea), Siasun Robotics (China), RobotWorx (US), Techman Robot (Taiwan), Rethink Robotics (Germany), FrankaEmika (Germany), F&P Robotics (Switzerland), Bosch Rexroth (Germany)

Global Industrial Robotics Market is Segmented as Below:

By Type:

  • Traditional Industrial Robots
  • Articulated Robots
  • SCARA Robots
  • Parallel/Delta Robots
  • Cartesian/Linear/Gantry Robots
  • Other Robots (Cylindrical robots, Spherical robots, and Swing-arm robots)
  • Collaborative Robots

By Component:

  • Robotic Arms
  • Robot Accessories
  • End Effectors
  • Controllers
  • Drive Units
  • Vision Systems
  • Sensors
  • Power Supply
  • Others
  • Additional Hardware (Safety fencing, fixtures, conveyors, etc.)
  • System Engineering
  • Software & Programming

By Payload:

  • Up to 16.00 kg
  • 01–60.00 kg
  • 01–225.00 kg
  • More than 225.00 kg

By Application:

  • Handling
  • Assembling and Disassembling
  • Welding and Soldering
  • Dispensing
  • Processing
  • Others (Inspection & quality-testing and die-casting & molding)

By Industry:

  • Handling
  • Automotive
  • Electrical and Electronics
  • Metals and Machinery
  • Plastics, Rubber, and Chemicals
  • Food and Beverages
  • Precision Engineering and Optics
  • Pharmaceuticals and Cosmetics
  • Others (Paper and printing, foundry and forging, ceramics and stone, and wood)

By Region

  • North America
    • U.S.
    • Canada
    • Mexico
  • Europe
    • UK
    • France
    • Germany
    • Russia
    • Rest of Europe
  • Asia Pacific
    • Japan
    • South Korea
    • India
    • China
    • Rest of Asia-Pacific
  • LAMEA
    • Latin America
    • Middle East
    • Africa

Key Elements Included In The Study: Global Industrial Robotics Market

  • Industrial Robotics Market by Product/Technology/Grade, Application/End-user, and Region
  • Executive Summary (Opportunity Analysis and Key Trends)
  • Historical Market Size and Estimates, Value, 2018 - 2021
  • Market Value at Regional and Country Level, 2022 - 2029
  • Market Dynamics and Economic Overview
  • Market Size in Value, Growth Rates, and Forecast Figures, 2022 - 2029
  • Competitive Intelligence with Financials, Key Developments, and Portfolio of Leading Companies 
  • Regional and Product/Grade/Application/End-user Price Trends Analysis
  • Value Chain and Five Force’s Analysis
  • Regional/Sub-region/Country Market Size and Trend Analysis
  • Company Market Share Analysis and Key Player Profiles

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