One of the factors fueling market expansion is the increasing focus on increasing the productivity of high-volume production lines, particularly in manufacturing cars and electronic gadgets. Industrial robots provide many advantages, including lower costs, faster production rates, smaller, higher-quality products, and more flexible and efficient manufacturing processes. A growing understanding of their advantages is predicted to have a favorable impact on the market. Robotic technology installation enables businesses to gain financially in several ways, including decreased overhead expenses, increased productivity, decreased waste, and flexibility. Throughout the forecast period, the market is expected to be driven by developments in artificial intelligence, including deep learning and the creation of self-programming robots.
COVID-19 IMPACT
Globally, the COVID-19 pandemic has significantly impacted several manufacturing and processing businesses. Oil & gas, construction equipment, rubber & plastic machinery, and power generation are the most badly impacted sectors. Due to altered consumer behavior, limited production, and reliance on end-use markets, many businesses were badly hit and are predicted to recover gradually. Mining, robotics, electronics, paper & pulp, building technology, and processing equipment have been moderately damaged industries. Due to the wide range of applications these sectors serve, a quick recovery is anticipated.
DRIVING FACTORS
Shortage Of Skilled Workers To Propel Market Expansion
The market for industrial robots is expanding as a result of the labor crisis. Due to a lack of trained workers, firms cannot meet the demand given the rise in production requirements and the increasing demand. The existence of unskilled workers and the availability of skilled workers who aren't looking for work are the two main causes of the shortage of skilled labor. According to the Department of Labor, the US economy had 7 million job opportunities as of January 2020, but only 5.6 million people were looking for work. Thus, in order to ensure a high supply, producers choose to deploy robots. The company has become more productive, efficient, and effective thanks to industrial robots. Because of this, there are more opportunities to integrate robots into the workforce as a result of the labor shortage.
RESTRAINING FACTORS
High Industrial Robot Installation And Purchasing Costs Are Anticipated To Restrain Market Expansion
The market for industrial robots is predicted to grow slowly due to high purchase and installation costs. A robot installation is quite expensive because it involves not only the robot's purchase but also its integration, programming, and upkeep. Small and medium-sized businesses (SMEs) will face significant challenges as a result of their low production volumes and difficult returns on investment. Additionally, rapidly shifting consumer tastes will necessitate machine customization, which will be challenging for SMEs. According to RobotWorx, the average cost of a new industrial robot from a manufacturer is between $50,000 and $80,000, if application-specific features are added, the cost might increase to between $100,000 and $150,000.
SEGMENTATION
By Type
Based on type, the industrial robots market is segmented into traditional robots and collaborative robots. The traditional robots category dominated the market in 2022. Because of its high adaptability in assembly, palletizing, welding, painting, and other processes, the Traditional Industrial Robots sub-segment of Articulated Robots holds a sizable market share. These systems are adaptable because they are not restricted to movement along the corresponding axis.
By Payload
Based on payload, the industrial robots market is segmented into up to 16.00 kg, 16.01-60.00 kg, 60.01-225.00 kg and more than 225.00 kg. The 16.01-60.00 kg category dominated the market in 2022. Robots in this category include collaborative, SCARA, and articulated robots. The rapidly expanding demand for automation in the electrical and electronics industry, where SCARA robots are widely employed for assembly and handling applications, is blamed for the segment's explosive growth in the up to 60 kg weight range. SCARA robots have a higher operating speed and optional cleanroom requirements.
By Component
Based on component, the industrial robots market is segmented into up to robot arm, robot accessories (end effectors, controllers, etc.), additional robotic hardware (safety fencing, fixtures, conveyors). The robot accessories category dominated the market in 2022. This market's expansion is linked to its capacity to raise productivity and overcome typical industrial roadblocks. End-effector development has advanced significantly as a result of technological innovation. The requirement to achieve dexterous manipulation in industrial robots for their improved functioning, notably in pick-and-place activities, has contributed to these improvements in end-effectors.
By Application
Based on application, the industrial robots market is segmented into handling, welding & soldering, assembling & disassembling, dispensing, processing and others. The handling category dominated the market in 2022. Due to demand from the pharmaceutical, electrical, electronics, and food and beverage industries, material handling is projected to advance during the projection period. Material handling also plays a crucial part in the chemical and pharmaceutical industries because some chemicals are concentrated and convey hazardous materials.
By End Use Industry
Based on end use industry, the industrial robots market is segmented into automotive, electrical & electronics, metals & machinery, plastics, rubbers, & chemicals, food & beverages, precision engineering & optics, pharmaceutical & cosmetics and others. The automotive category dominated the market in 2022. The automotive sector is expected to grow significantly because of the massive shift from manual to electric vehicles. Additionally, manufacturers are forced to reduce car weight in order to comply with pollution laws due to regulatory bodies' increased concerns about cutting emissions. Major nations like China, Germany, the United States, and the United Kingdom are also concentrating on expanding their manufacturing facilities abroad to meet the rising demand.
REGIONAL INSIGHTS
The Asia Pacific is projected to hold the largest share of the industrial robots market over the forecast period. Growing automation, especially in Japan, China, and India, is anticipated to expand the sector. Additionally, as the population and average household income expand, so does the demand for goods for consumption and other items, leading to an expansion of the industry's production capacity. Similarly, there is an increasing need for customized vehicles and machinery, which calls for high accuracy and quick manufacturing capabilities. On the other hand, the North American industrial robots market is anticipated to grow significantly, prompted by the introduction of smart factories and industry 4.0 and increasing demand for specialized and compact robotic systems. Additionally, when production capacity rises, and the manufacturing process is accelerated, producers get an early return on their investment (ROI).
LIST OF KEY COMPANIES PROFILED:
- ABB LTD. (ABB ROBOTICS)
- DAIHEN CORPORATION
- DENSO CORPORATION (DENSO ROBOTICS)
- FANUC CORPORATION
- KAWASAKI HEAVY INDUSTRIES LTD
- KUKA ROBOTICS CORPORATION
- MITSUBISHI ELECTRIC CORPORATION
- NACHI-FUJIKOSHI CORPORATION (NACHI ROBOTIC SYSTEMS, INC.)
- PANASONIC CORPORATION
- SEIKO EPSON CORPORATION
- UNIVERSAL ROBOTS A/S
- YASKAWA ELECTRIC CORPORATION
- August 2022: One of the biggest producers of industrial robots in the world, Kuka, reported receiving record orders in the first half of 2022 totaling EUR 2,545.4 million, raising sales revenues by 13.5% to almost EUR 1.7 billion.
- March 2020: The CRX 10-iA, the newest collaborative robot from FANUC, was unveiled. The new robot can carry out extremely practical duties while flipping back and forth.
| Attributes | Details |
| Study Period | 2016-2030 |
| Base Year | 2022 |
| Estimated Year | 2023 |
| Forecast Period | 2023-2030 |
| Historical Period | 2016-2021 |
| Unit | Revenue (USD Million) and Volume (Kilo Tons) |
| Segmentation | By Type, By Payload, By Component, By Application, By End Use Industry and By Geography |
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