According to The Insight Partners’ research, the global industrial robotics market was valued at US$ 16,847.6 million in 2017 and is evaluated to grow at US$ 48,166.9 million by 2025 with a CAGR of 14.2% during the forecast period. The rapid expansion in the manufacturing industry, the constant rise in labor costs and the need for accuracy in production, and increased government support for developing and deploying robotics are the factors leading toward market expansion.
The global manufacturing industry is rapidly expanding as growing number of players are investing in adopting manufacturing plants in their regions. Moreover, the manufacturing industry is highly driven due to the increasing economic growth. The industry is in the middle of a technological renaissance that is changing the outlook systems and processes of the modern factory. This technological revolution in the factories supports the manufacturing industries to further invest in these emerging technologies to enhance the productivity and production cycle. Hence, the rapid expansion in the manufacturing industry is projected to drive the demand for industrial robotics.
Another factor driving the market growth is the labor costs and a need for accuracy in production. The cost of manufacturing products increases in proportion to the price of basic raw materials, energy, and labor costs. For instance, Taiwan and China are witnessing a rapid boost in their labor costs, asserting market players to adopt industrial robots for certain functions.
The government of various countries globally are taking initiatives to encourage and promote the development and fast adoption of industrial robotics. For example, the Government of Singapore under its Industry Transformation Program announced various aspects to facilitate players and industries to innovate, automate and expand overseas and obtain financing. In 2015, they launched ‘National Robotics Programme’ to develop and deploy robotics in sectors such as healthcare, construction, logistics, and manufacturing. The initiatives show that the governments of various regions are constantly supporting the industrial robotics market.
On the flip side, the high capital required for the initial development of industrial robots is hindering the global industrial robotics market growth.