APAC industrial robotics market to accrue substantial remuneration by 2
From ronak.b@21:1/5 to All on Tue Jun 12 15:18:02 2018
Industrial robotics market has lately been traversing alongside an exponential growth path, given that major industry verticals have been striving to incorporate future oriented solutions in their operations. With the pace of industrial automation accelerating across the globe, most of the geographies have taken an interest in bot deployment to help achieve higher productivity. Indeed, tapping the expansive sphere of robotics has proved to be highly profitable for economic growth on numerous occasions – a factor that has helped push industrial robotics market trends further.
According to the International Federation of Robotics, South Korea has the highest industrial robot density and employs 631 robots per 10,000 human employees. Japan, the country renowned for its automotive industry, deploys
300 robots per 10,000 employees. Even China witnessed a rise in its bot
density rate – from 25 bots in 2013 to 68 in 2016. On an average, the year 2015 saw 66 robots installed per 10,000 workers globally while the number increased to 74 in 2016. As regional governments are increasingly striving to automate their countries, industrial robotics market outlook is anticipated to witness a dynamic transformation of sorts over 2017-2024.
While some core companies are focusing on employing robots to speed up their production rate, many others have been doing their bit to augment industrial robotics industry size by employing bots to overcome the constraints of rising wages and shrinking labor pool due to an aging population. This has substantially pushed collaborative industrial robot market size, projected to register a CAGR of 25% over 2017-2024. Collaborative bots have become majorly popular across the globe, specifically in Europe, owing to the fact that they are relatively less expensive, assist human workers instead of replacing them, are safer and can even be deployed by smaller companies for simple processes and small batch manufacturing.
Collaborative bots, incidentally, are used in Japanese factories to shake pepper and cheese powder over pasta arranged in a container by a worker or to stack rice balls in a box – jobs that had often been dismissed as niche and dainty by large scale industrial robot manufacturers. However, equipped with more sensors, collaborative robots are finding an ever-widening space for application in industrial robotics market. Countries looking to promote smart factories are also leaning towards deploying more such bots, that would
rapidly stimulate collaborative industrial robotics industry share in the ensuing years.
The falling prices of industrial robots has enabled core companies to bring product manufacturing closer to the site of demand. This in turn has led to considerable labor revenue being shifted from overseas locations to the site
of industrial bot deployment. Citing a recent instance, the Chinese T-shirt manufacturing company Tianyuan Garments Co. signed a deal with Arkansas government to open a factory in Little Rock, Arkansas which will employ 400 workers but will be heavily automated. The factory will use machine vision-based sewing robots to produce apparels for Adidas. While humans will
be taking over jobs of robot operation and maintenance, the bulk of the heavy lifting will be done by the AI operated robots.
On one hand, this novel move is expected to satisfy many customers, who have demanded the labels to say, “Made in America”. However, Tianyuan will be producing T-shirts for 33₵ each, which will be unbeatable even by the cheapest labor markets. Considering that the $20 million factory with its 330 robots will be stitching more than 23 million T-shirts a year, other brands
are likely to follow the example set by Adidas, thereby leading to a positive change in the commercialization graph of industrial robotic market.
Speaking on the same lines, it is worthy to mention that China will emerge as the most lucrative hotbed for industrial robot industry in the years ahead.
The country has long been known for its manufacturing capacities and now, with the government initiative getting stronger, China is aiming at having 950,300 operational industrial robots by 2020. In fact, China had been the world’s largest industrial robotics market for 4 consecutive years. In 2016, China sold a total of almost 90,000 industrial robot units which was a 27% increase compared to the sales volumes of 2015, representing 30% of the global market.
However, the country’s deployment of industrial robots is comparatively low with only 68 robots per 10,000 employees recorded in 2016. Recognizing the seriousness of this issue, the Chinese government has undertaken the Made in China 2025 initiative aimed at upgrading and potentially transforming the manufacturing industry of China, prioritizing automation and artificial intelligence. The government has also been trying to raise the global market share of Chinese robots to over 50% by 2020. With such abundantly ambitious initiatives in tow, the regional industrial robotics industry size is expected to soar tremendous heights by 2024.
For a while now, industrial robots have been extensively deployed in the automotive manufacturing industry. However, as robotics technology continues
to evolve, and bots get smaller, cheaper and more efficient by the day, industrial robotics industry is expected to gain a strong foothold in the electronics space as well by 2025. As per estimates, in 2016, this vertical recorded global shipments of around 290 thousand units. Driven by the vast expanse of applications and the consistent technological interventions, industrial robotics market size is anticipated to surpass $80 billion by 2024.