Market Trends in Industrial Robot Deployment and Volume Growth: Key Insights for 2024-2025

Understanding the Market Trends in Industrial Robot Deployment

The global industrial robot market has witnessed exponential growth over the past decade, with installation volumes doubling and showing no signs of slowing down. In 2024, the market achieved a significant milestone of 542,000 units installed, and projections suggest this figure will rise to 575,000 units by 2025. This growth is fueled by the increasing demand for automation across industries, driven by technological advancements and the pursuit of operational efficiency.

Regional Distribution: China's Dominance in the Industrial Robot Market

China has solidified its position as the global leader in the industrial robotics market, accounting for 54% of worldwide installations in 2024. For the first time, domestic manufacturers in China have outpaced foreign suppliers, signaling a major shift in the competitive landscape. This dominance is underpinned by China's strategic investments in automation and its commitment to technological innovation to maintain its manufacturing supremacy.

While China leads the market, other regions are also contributing to the global growth of industrial robotics. Europe and North America are making significant investments in automation to boost productivity and address labor shortages, further diversifying the market's regional distribution.

Shifts in Industrial Robot Deployment Across Industries

Historically, the automotive industry has been the primary driver of industrial robot deployment. However, recent trends reveal a decline in installation volumes within this sector. Instead, general industries such as electronics, food, and machinery are now spearheading growth. These industries are leveraging robotics to streamline operations, enhance precision, and meet the rising demand for high-quality products.

This shift underscores the versatility of industrial robots and their ability to adapt to diverse applications beyond traditional manufacturing. As industries evolve, the deployment of robots is expected to expand into new and emerging fields.

The Rise of Collaborative Robots (Cobots)

One of the most transformative trends in the industrial robotics market is the growing adoption of collaborative robots, or cobots. Designed to work alongside humans, cobots enhance workplace productivity and safety. In 2024, cobots accounted for 11.9% of total installations, a significant increase from just 2.8% in 2017.

The rising popularity of cobots can be attributed to their flexibility, user-friendliness, and ability to perform complex tasks in close proximity to human workers. As businesses strive to optimize operations, the demand for cobots is expected to grow, driving further innovation in this segment.

Renewable Energy Deployment and Its Impact on the Market

The industrial robotics market is also being shaped by broader trends in energy and sustainability. For instance, the European Union's REPowerEU Plan has significantly reduced reliance on Russian energy imports, with gas imports dropping from 45% in 2021 to 19% in 2024. This shift has accelerated the adoption of renewable energy sources, such as solar and wind power.

Solar and Wind Energy Growth in the EU

In 2024, solar energy installations in the EU reached a record 66 GW, surpassing gas in electricity generation. Wind energy has also experienced substantial growth, reinforcing the EU's commitment to renewable energy. These developments have created new opportunities for industrial robots, particularly in the manufacturing and maintenance of renewable energy equipment.

Energy Efficiency Measures Driving Innovation

The EU has implemented various measures to enhance energy efficiency, including building renovations, heat pump deployment, and streamlined permitting processes for renewable energy projects. These initiatives not only contribute to sustainability but also drive demand for advanced robotics solutions in construction, manufacturing, and other sectors.

IoT Market Growth and Its Synergy with Industrial Robotics

The Internet of Things (IoT) market is experiencing rapid expansion, with connected IoT devices projected to reach 21.1 billion by the end of 2025 and 39 billion by 2030. This growth is driven by advancements in artificial intelligence (AI) and the increasing demand for real-time device data.

Cellular IoT and 5G as Key Drivers

Cellular IoT connections, particularly those enabled by 5G technology, are playing a pivotal role in the IoT market's growth. The cellular IoT chipset market is expected to grow at a compound annual growth rate (CAGR) of 23% through 2030. This development has significant implications for industrial robotics, as IoT connectivity enables real-time monitoring, predictive maintenance, and enhanced automation capabilities.

The Role of AI in Driving IoT and Robotics Integration

AI is a critical enabler of IoT and robotics integration, facilitating smarter and more efficient systems. The adoption of smaller, industry-specific AI models is accelerating this trend, allowing businesses to leverage IoT and robotics for greater operational efficiency and competitiveness.

Conclusion

The industrial robot market is undergoing a transformative phase, driven by technological advancements, shifts in industry applications, and the growing adoption of collaborative robots. Regional dynamics, such as China's dominance and the EU's focus on renewable energy, are further shaping the market's trajectory. Additionally, the synergy between IoT and robotics is unlocking new opportunities for innovation and growth.

As we approach 2025 and beyond, the industrial robotics market is poised for continued expansion, offering exciting opportunities for businesses and industries worldwide. By staying informed about these trends, stakeholders can position themselves to capitalize on the evolving landscape of industrial automation.