Report: Use of Industrial Robots to Grow 15% per Year

Photo courtesy of Wikimedia Commons and in the public domain
Photo courtesy of Wikimedia Commons and in the public domain

The expansion of automation will mean that the use of robots in the manufacturing, warehousing, and other applications will grow an average of 15% per year, according to a new report issued this month by a trade group.

The surge is being led by the widespread automation currently taking place in industries in China, where the growth of robotics increased 56% last year. But given the fact that its population tops 1 billion and it’s workforce is similarly huge, despite being the largest and fastest growing robotics market in the world China still has only 36 robots for every 10,000 human workers.

Automation More PrevalentL

Last year was a significant year for the expansion of automation, and this year is starting off strong as well.

The International Federation of Robotics, which is a coalition composed of robotics industry organizations from more than 15 countries — said China continues to lead the charge toward automation, despite its recent economic downturn. About one of every three industrial robots installed by 2018 will be in the People’s Republic of  China.

But other countries already have a lot of robots in the workplace.

For example, in the US there are an estimated 164 industrial robots for every 10,000 human workers. But that’s far behind countries like South Korea (478 robots per 10,000 human workers), Japan (315 robots per human), and Germany (292 robots per human).

Competition Driving Growth

The reason more robots are being used in industries worldwide is simple: Increased competition requires businesses to find ways to build their products faster, cheaper and more efficiently, according to Arturo Baroncelli, IFR president.

“The main driver of this development is the global competition of industrial production,” Baroncelli said. “The automation witnessed by the automotive sector and the electrical/electronics industry comes out on top here with a market share of 64 percent.”

Future US Robotic Expansion

While China is leading the world in converting its workforce to include more robots, the US will likely need to increase its dependence on automation to remain competitive in the coming years, according to the report.

In 2014, the US increased the number of robots used in industry by 26,000 — an 11% increase — making it the third in the world. But it may need to do more.

If the US hopes to remain an industrial center and retrieve much of the manufacturing that has been outsourced to other countries in recent decades, it will need to make a deeper commitment to robotic technology, according to the IFR report.

German Engineering

In Germany, the country’s automotive industry is leading the charge toward more automation. In 2014, about 20,100 new robots were installed in German factories, an increase of 10%. It was the biggest automation expansion in the country’s history.

Another industry doubling down on robotics is electronics and electrical components. Sales of robots in 2014 increased 34%, a new record. The increase in investment in automation coincides with an increase in demand for consumer electronics, especially smartphones and tablets, as well as computer and medical technology.

The metal processing, plastics, food and packaging industries also saw significant increases in the use of robotics last year, according to the report.