The Global Industrial Robotics Market, By Type (Cartesian, Articulated, Cylindrical, SCARA and Others), By Industry (Electrical & Electronics, Automotive, Machinery, Chemical, Rubber & Plastics, Food & Beverages, Metals, Precision & Optics and Others), By Function (Materials Handling, Milling, Cutting and Processing, Soldering and Welding, Painting and Dispensing, Assembling & Disassembling and Others)and by Region (North America, Europe, Asia Pacific, Latin America, Middle East and Africa) - Global Forecast to 2027, is expected to be valued at US$ 69.1 million by 2027, exhibiting a CAGR of 6.4% during the forecast period (2020-2027), as highlighted in a report published by Coherent Market Insights.
An industrial robot is an automatically controlled, mechanical device used in place of an individual to perform dangerous or repetitive tasks with high accuracy. Industrial robots can manipulate products quickly and delicately in applications such as pick and place from conveyor line to packaging. Its typical applications include welding, printing, painting, assembly, disassembly, product inspection, packaging, palletizing, and testing. According to the International Federation of Robotics (IFR), in 2020, around 1.64 million industrial robots were in operation globally.
The global industrial robotics market is estimated to account for US$ 69.1 Mn in terms of value by the end of 2027.
Reduction of duties and increased investments on R&D is expected to boost the global industrial robotics market growth over the forecast period
The global economies especially the neo developed economies are opening up their markets to import capital goods. The custom duties have gone down to zero percent in many economies such as India and China for used capital goods. However, as old robots are refurbished and exported to neo developed countries such as India, the demand for refurbished robots is expected to hold a dominant position in terms of demands for newer industrial robots. Moreover, many key players are focused on new product development according to customer requirements. For instance, in 2013, Yaskawa Electric Corporation invested 10% of their overall income in the R&D process for developing new products. Therefore, these factors are expected to propel the global industrial robotics market growth over the forecast period.
Business expansion by market players can provide major business opportunities in the global industrial robotics market
Expansion through acquisition is another strategy followed by the key players of this market. Acquisitions provide a leading edge to companies in improving their existing products, in new product development and geographical expansion. For instance, Kawasaki Heavy Industries Limited has acquired some of the key players in the industrial robotics segment. The acquisitions have been made to strengthen its manufacturing capability and to add new products to its profile. In 2007, the company acquired Kobelco Paint Robots, the industrial robotic paint of Kobe Steel Limited. With this acquisition, Kawasaki Heavy Industries Limited added industrial robotic painting products to its product line. Thus, geographic as well as strategic expansions serve as key opportunity areas in the industrial robotics market.
Stagnation of industrial manufacturing is expected to hamper the global industrial robotics market growth over the forecast period
Industrial production has witnessed a gradual slowdown in the recent past, which has directly impacted the automotive industry, which is the major sector where industrial robotics are used. Furthermore, growing economies such as India have also slowed down in terms of both industrial as well as automotive products. The automobile industry is such that it provides impetus to other heavy industries such as iron and steel, aluminum, auto ancillaries, etc. All have stagnated globally, and this is a key factor that is stopping penetration of robotics into the industry. Therefore, these factors are expected to hamper the global industrial robotics market growth over the forecast period.
Major market players are focused on research and development activities, in order to gain a significant edge in the market. For instance, in February 2014, Denso Corporation introduced offline programming software and Enhanced Multi-robot simulation. In August 2013, Epson introduced the Epson C4 and Epson C4L 6 Axis robots. These robots operate with faster speed and have more payload capability.
Key companies are focused on geographical expansion, in order to enhance the market presence. For instance, in March 2014, KUKA Robotics Corporation inaugurated a new production facility in Shanghai. The production facility has the capacity to produce 5000 robots in a year.
Global Industrial Robotics Market - Impact of Coronavirus (Covid-19) Pandemic
Due to the COVID-19 pandemic, players operating in the manufacturing industry have witnessed a significant shift in their business. Non-availability of labor and issues in the transportation of goods have increased demand for industrial robots in the manufacturing industry. For instance, in March 2020, according to Coherent Market Insights, 140 million migrant people are expected to return their native hometown from cities in India. Thus, due to the shortage of labor, the demand for industrial robots is increased in order to minimize cost on manpower and save time for each operations. To minimize the transmission of virus companies are using these robotics in order to contain the spread of coronavirus. This is expected to facilitate demand for industrial robots in the future.
Major companies operating in the global industrial robotics market are Daihen Corporation, Yaskawa Motoman Robotics, Denso Corporation, Universal Robots, Epson America, Inc., Panasonic Corporation, Epson America, Inc., Nachi Robotic Systems, Inc., FANUC Ltd., Mitsubishi Electric Corporation, Kawasaki Heavy Industries Ltd., and KUKA Robotics Corporation.