Industrial Robotics Market Size, Share & Analysis

Industrial Robotics Market Size

[439 Pages Report] The industrial robots market is projected to grow from USD 16.89 billion in 2024 to USD 29.43 billion by 2029, registering a CAGR of 11.7% during the forecast period. Mounting adoption of automation solutions to optimize manufacturing operations and rapid advances in artificial intelligence (Al) and digital automation technologies are major factors driving the market. Additionally, the increasing automation in the electronics manufacturing industry is poised to offer lucrative growth opportunities for players in the market during the forecast period. The emergence of Industry 4.0 and Industry 5.0 technologies are also among the major growth drivers for the industrial robotics market. Digital transformation in the manufacturing industry focuses on automation, interconnectivity, and optimization of processes in real time, using emerging digital technologies, such as the Internet of Things (IoT), machine learning (ML), and AI. The use of AI will become increasingly crucial in Industry 5.0, as it improves human-machine communication and helps decision-making processes. Furthermore, the integration of 5G technologies and AI into collaborative robots acts as a driver for the market. According to MarketsandMarkets analysis, the collaborative robots market is growing at a rate of 31% from 2021 to 2022.

Industrial Robotics Market Forecast to 2029

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Industrial Robotics Market Growth

The industrial robotics market Growth is experiencing significant growth, driven by increasing demand for automation across industries such as manufacturing, automotive, and electronics. Factors such as advancements in artificial intelligence, machine learning, and sensor technology are enhancing the capabilities of robots, allowing for greater precision, efficiency, and flexibility in production processes. As businesses strive for improved productivity and reduced operational costs, the adoption of industrial robots is expanding globally. In particular, regions like Asia-Pacific are witnessing rapid growth, with countries like China and Japan leading in robotics deployment, spurred by government initiatives and strong industrial bases.

AI Impact on Industrial Robotics Market

The industrial robotics ecosystem is leveraging artificial intelligence to cater to emerging use cases, such as industrial packaging, industrial assembly, predictive maintenance, and machine learning.

Industrial Robotics Market Trends & Dynamics

Driver: Rapid advances in AI technology

The integration of artificial intelligence to enhance automation has enabled industrial robots to be more precise, efficient, and adaptive. This technology has brought about an effective transformation in the manufacturing process of many industrial sectors, such as automotive, oil & gas, and consumer electronics, among others. By leveraging AI-driven algorithms, industrial robots can perceive their surroundings, recognize objects, and make decisions based on the recognitions they collect from sensors in real time. The industrial robotics segment has also witnessed rapid development in recent times, including the new introductions of robots embedded with AI and other advanced technologies that help improve efficiency and workers’ safety. For instance, OMRON Corporation has brought an AI-enabled robot, Omron i4, which is capable of diagnosing and informing automatically about any need for maintenance. FANUC CORPORATION launched the collaborative robot CRX-10iA, a lightweight robot featuring a user interface via tablet and an autonomous vision system. Similarly, Universal Robots A/S extended the offerings to include the UR16e-a, a high-payload robotic arm that could be applied to many applications. Such innovations address industry challenges and drive the global industrial robotics market.

Restraint: initial investments

The implementation of a robotic automation project can be a challenging task for companies without any prior experience. The only way to reduce operational costs is to replace human workers with robots. A single collaborative robot system costs between USD 3,000 and USD 10,000. The cost of an industrial robotic system is between USD 15,000 and USD 75,000. The total investment includes the cost of industrial robots, integration fees, and the cost of additional components, such as end effectors and vision systems. This is why automation is an expensive investment for small- and medium-sized enterprises (SMEs), which are mostly engaged in low-volume production. Cost is even more crucial to companies with seasonal and irregular production schedules. The rapid changes in consumer preferences require the robots to be frequently reprogrammed, as the products are updated annually. Over-automation can also lead to problems. For example, the US automotive industry relied more on automation than Japan. This led to cost overruns as product lines and consumer demand evolved, rendering many robots unnecessary or obsolete. Collaborative robot manufacturers have taken steps to support automation in small- and medium-scale industries. For instance, Universal Robots (Denmark) assists its clients in calculating the return on investment (ROI) from automation to make informed decisions.

Opportunity: Implementation of Industry 5.0

Industry 5.0 is the new user-centered production concept whereby collaboration between humans and robots can be seen. With this application, operators would have certain advantages over robots in terms of technical precision and seamless execution of heavy and challenging tasks. This cooperation can maintain greater control and personalization for every production stage. The European Commission perceives that Industry 5.0 is a deeper vision than the concept of efficiency and effectiveness in production, as workers’ well-being plays a central role in the whole process of production. Industry 5.0 completes the concept of Industry 4.0 and encompasses research and innovation activities for sustainable, human-centered, and resilient industries in Europe. Besides, companies, such as Amazon, Bosch, and Google, are already using these technologies to boost productivity, quality, and flexibility. The progress of the Industry 5.0 manufacturing sector will follow its developmental course. For example, in May 2023, ABB launched an automated and flexible miniature circuit breaker production line in China to demonstrate concepts of Industry 5.0. In this case, automation enabled an entire digitalized factory that employed AI techniques, such as visual recognition and flexible feeding for quick changeover product types, and even produced different types of MCBs.

Challenge: Complexities associated with equipment integration

The challenges in the industrial robotics market are complexities and integration challenges. In addition, the deployment of cobots requires a close working relationship among robotics professionals, production engineers, and floor operators. This is due to specific tasks, such as picking components, assembling parts, and aiding in heavy lifting, which are programmed into cobots. Failure in system implementation and integration of machines remain primal challenges. Besides this, cobots must be versatile enough to cater to different varieties of products with varying designs or sizes. This makes programming more difficult as it must support reprogramming to meet these changes. Furthermore, seamless task transitions are crucial to successful integration since they reduce interruptions caused by excess downtimes by allowing one task to move to another without needing any break. Key solutions to complexity and integration problems include detailed planning, coding, and exhaustive testing. Companies must also engage the services of educated robotics integrators and offer their workforce training sessions for the smooth uptake of new technologies. Once these issues are dealt with appropriately, the industry will be able to take advantage of cobots, improving productivity, especially in manufacturing line operations.

Industrial Robotics Ecosystem

Various companies are involved in various stages of the ecosystem. A few companies that manufacture industrial robots are ABB, KUKA, Mitsubishi Electric, Yaskawa Electric Corporation, and FANUC CORPORATION, among others. Industrial Robots are used in various industries, such as automotive, electrical & electronics, metals & machinery, plastics, rubber & chemicals, food & beverages, precision engineering & optics, and pharmaceuticals & optics. New opportunities are provided for the players offering industrial robots due to the emergence of industrial automation globally.

Articulated robot segment to capture largest market share in 2029

The articulated robots segment is expected to capture the largest share of the industrial robotics market in 2029. These robots are used almost exclusively in the automotive industry for spot welding and painting since they can operate in difficult-to-reach areas due to their long reach and flexibility. Although robots in the metals & machinery industry were initially limited to manipulating sheet metal parts, they are used for part transfer, machine loading/unloading, deburring, and arc welding. With robots becoming cost-effective, manufacturers can increase their investments in industrial applications. Articulated robots are experiencing large-scale adoption in the pharmaceuticals & cosmetics industry due to their suitability for picking and packaging, laboratory applications, such as pipetting and mixing, drug production processes, and the inspection and development of pharmaceutical drugs. Recent technological advancements in articulated robots have enhanced their flexibility, accuracy, and cost-effectiveness. For instance, actuator advancements have increased their capability to handle heavy loads and perform intricate tasks. In May 2024, ABB introduced the new IRB 7710 and IRB 7720 to its modular large robot portfolio, along with the IRB 5710-IRB 5720 and IRB 6710-IRB 6740, offering a total of 46 different variants capable of handling payloads between 70 and 620 kg.

Automotive segment to account for largest market share in 2029

The automotive end-use industry segment is projected to account for the largest industrial robotics market share in 2029. The deployment of robotics systems is higher in the automotive industry than in other industries. Automakers are committed to quality and repeatability to prevent the vehicle assembly line from stopping or issues arising from the breakdown of the equipment. Vehicle production has two main stages: production and assembly. Robots are largely employed in manufacturing, where they do spot welding and painting. Assembly is the second stage, where robots are used for handling parts randomly or ordered. Some companies, such as BMW AG (Germany), Nissan (Japan), and Bajaj Auto (India), have either introduced or replaced traditional industrial robots with collaborative robots for operations, including material handling and dispensing. The Gestamp Group (Spain) has established its base at the Bielefeld facility, where it adopted KUKA Systems’ fully automatic arc welding system. With this, they can guarantee quality manufacturing of metal automotive components. KUKA (Germany) supplies at least 18 varieties of robots to the auto industry, ranging from laser welding and washing to shaping seat components of BMW using 3D geometry. Acieta (US) has embedded over 4,400 industrial automotive manufacturing robots in different plants in North America.

Asia Pacific to exhibit highest CAGR in industrial robots market during forecast period

The industrial robots market is prominent in Asia Pacific. The region has adopted industrial robotics systems at a faster rate than other regions. It holds a prominent position in the industrial robots market, serving local and international demand. Leading countries, such as Japan, China, South Korea, and Taiwan, are at the forefront of robotics adoption, particularly in the automotive, electronics, and machinery industries. It is considered one of the world’s major manufacturing hubs and is expected to provide growth opportunities for players in the industrial robotics market. Low production costs, easy availability of labor, lenient emission and safety norms, and government initiatives for foreign direct investments (FDIs) are some major factors fueling the growth of this market in Asia Pacific. China is expected to remain the largest market for traditional and collaborative robots. The country imports industrial robots and manufactures them domestically. The industrial robots market in the automotive sector is expected to remain the largest for most Asian Pacific countries except for Taiwan. The electrical & electronics industry is the second most important driver for the industrial robots market in the region, owing to the rising demand for electronic products.

Industrial Robotics Market by Region

Industrial Robotics Market by Region

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Top Companies Industrial Robotics Market - Key Market Players

The prominent players in the

• industrial robotics companies are
• FANUC CORPORATION (Japan),
• ABB (Switzerland),
• Yaskawa Electric Corporation (Japan),
• KUKA AG (Germany),
• Mitsubishi Electric Corporation (Japan),
• Kawasaki Heavy Industries, Ltd (Japan),
• Denso Corporation (Japan),
• Nachi-Fujikoshi (Japan),
• Seiko Epson Corporation (Japan), and
• Dürr Group (Germany),
• Yamaha Motor Co., Ltd.  (Japan),
• Shibaura Machine (Japan),
• Dover Corporation (US),
• Hirata Corporation (Japan),
• Universal Robots A/S  (Denmark), among others.

Scope of the Industrial Robotics Market Report

Industrial Robotics Market Highlights

This report categorizes the industrial robotics market based on robot type, offering, payload, application, end use industry, and region.

Recent Developments

• In May 2024, ABB introduced new models in its modular big robot range: IRB 7710 and IRB 7720. This has further led to the arrival of 46 new variants of the robots, along with the recent arrival of the IRB 5710-IRB 5720 and IRB 6710-IRB 6740. The robots are able to carry out the tasks with the payloads, which weigh between 70 and 620 kg, which will provide the companies with more flexibility, better choice, and execution
• In May 2024, Yaskawa Electric Corporation declared a capital and business alliance with Oishii Farm Corporation, a US-based startup committed to producing strawberries. The alliance’s main goal was to change Yaskawa Electric Corporation into a leading global agriculture and food automation company. As a result, Oishii would be getting automation systems based on Yaskawa Electric Corporation’s “i3 Mechatronics” solution concept.
• In January 2024, ABB announced the acquisition of a majority share of software service provider, Meshmind, to expand its research & development (R&D) capabilities in AI, Industrial IoT, and machine vision. Through this acquisition, ABB will integrate engineering talent, AI, and software knowledge to form a new global R&D hub and further accelerate the development of innovative automation solutions within its Machine Automation division (B&R).
• In March 2023, ABB announced that it would double the size of its manufacturing base in Auburn Hills, Michigan, US, by investing USD 20 million to ramp up production and further consolidate leadership. The massively automated facility opened in November 2023 and added 72 new jobs. This expansion was needed to meet the burgeoning demand for automation in electric vehicles, healthcare, packaging, and logistics.
• In December 2022, ABB established its advanced robotics mega factory in Kangqiao, Shanghai, China. Spanning 67,000 square meters and backed by a USD 150 million investment, the facility employed digital and automation technologies to manufacture next-gen robots.

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