Increase in automation in automotive industry along with rise in accuracy, security, and efficiency are expected to drive the development of global automotive robotics market. The automotive industry is the major industry, with more than 1,30,000 units installed in all facilities globally. In 2019, nearly 49% of businesses in the global automotive industry had implemented innovative robotics in its processes. Additionally, 86% of all organizations in this industry wanted to use advanced robots in its operations in the forthcoming years. Moreover, the growing need for vehicle production as well as wage increase are some other aspects boosting the market growth. High cost of industrial robots hampers the growth of the automotive robotics market. Apart from this, huge funding for expanding the manufacture base of vehicles and need for growing the product portfolio will create lucrative opportunity for robots in automotive sector in the upcoming years.
The global automotive robotics market is categorized on the basis of components namely, robotic arm, end effector, sensors, controller, drive, and others. Among the components, robotic arm has the maximum share in the market. Maximum robotic arms utilized for industrial manufacturing, assembly, or pick and place applications have four to six articulating joints designed to imitate the basic functionality of the human arm and hand. Robotic arms are particularly valued in the industrial manufacturing, machining as well as assembly sectors. Along with this, the automotive robotics market is also categorized based on application, that include material handling, welding, cutting, painting, and others. Among this application, material handling has the maximum share in the market. Material handling makes use of the robot's simple ability to transport product. By installing the robot with a suitable end of arm tool, the robot can competently and precisely move product from one place to another.
On the basis of region, categorization of automotive robotics market include North America, Europe, Asia Pacific, Latin America, Middle East and Africa. Asia Pacific holds the largest share of the automotive robotics market. China is the main car market internationally, manufacturing over 24 million units of automobiles. Large automotive sector of China is a prime consumer of robots and also accounts for more than 40% of total robot supply. According to international federation of robotics, Japan has the maximum robot density with 1,276 robot units per 10,000 workers, followed by republic of Korea. Moreover, key vendors such as ABB Ltd. and KUKA AG, are establishing the Asia Pacific region as their operation’s base. Key players in the Asia Pacific region are implementing robotics and other innovative manufacturing technology for their future vehicles. Thus, Asia Pacific will be expected to dominate the global automotive robotics market during forecast period.
COVID-19 has affected every aspect of life globally and hence most of the business have been halted and hampered. The COVID-19 pandemic has negatively impacted the demand for global automotive robotics market too. The automotive industry, which was previously going through sluggish growth, is further impacted by COVID-19 and the consequent shutdowns in all the major markets. In 2020, all the automakers and tier players observed a decrease in the manufacturing and sales of vehicles as well as its components. According to the OICA, the collected data show a 16% reduction of the 2020 production. However, as the operations are resuming the market will gain its place like before COVID-19 pandemic.
Some of the key players from the automotive robotics market include Rockwell Automation, Inc., ABB Ltd., KUKA AG, Seiko Epson Corporation, Denso Wave Incorporated, Yaskawa Electric Corporation, Kawasaki Heavy Industries, Ltd., Comau SPA, FANUC Corporation, and Nachi-Fujikoshi Corp. among others. Most of the players operating in this market are implementing product launches and partnerships as their main strategy.
Recent News and Development:
- In October 2020, ABB Ltd. collaborated with Volkswagen Commercial Vehicles, in this collaboration, ABB Ltd gained an order of 800 manufacturing robots for supporting the manufacturing of the modern generation of electric vehicles at Volkswagen's plant in Hannover, Germany.
- In October 2020, Rockwell Automation, Inc. signed a 5 years partnership with Microsoft Corporation, in this partnership, the corporations integrated each company's skill in the industrial as well as IT markets, correspondingly, teams work together more effortlessly, permitting industrial organizations to save on infrastructure charges, and surge productivity
- In February 2020, FANUC Corporation signed an agreement with BMW AG, according to this agreement, FANUC Corporation approved to supply 3,500 robots for new manufacture lines and plants.