SEA Industrial Robotics Market

• Growing adoption of Industry 4.0 and the adoption of robots in the manufacturing sector are driving the market growth

The advent of Industry 4.0 has spurred the emergence of novel technologies like AI-enabled robots and collaborative robots, enabling industries to optimize processes, enhance productivity, and minimize errors, which is driving the market CAGR. A 2019 forecast by CSIRO suggested that effective digital transformation could potentially boost Vietnam's GDP by an additional $162 billion over 20 years. Industrial robots, considered advanced digitalization tools, are primarily utilized for automation within the manufacturing sector. Thailand has witnessed a rapid increase in the operational stock of robots in manufacturing, rising from approximately 1,500 robots in 2008 to over 21,000 robots in 2018.

Despite this growth, Thailand's robot density in 2019 stood at 60 per 10,000 employees, notably lower than the global average of 113. Robotics usage in Thailand is mainly concentrated in the automotive industry, accounting for 50% of all industrial robots in 2019, with an additional 30% in the electrical and electronics sectors.

In July 2023, an article titled "UN Uses AI-Enabled Robots to Monitor Climate Change" highlighted the UN's utilization of AI-enabled robots to monitor and address climate change impacts. These robots improve data collection accuracy, efficiency, and safety in remote areas, enabling real-time monitoring and effective mitigation strategies. While promising to address climate change challenges, further research and development are deemed necessary. The increasing adoption of Industry 4.0 in manufacturing worldwide serves as a major catalyst driving the growth of robotics across various industries, thereby propelling market expansion. Thus, driving the Southeast Asia Industrial Robotics market revenue.

SEA Industrial Robotics Market Segment Insights:

SEA Industrial Robotics Type Insights

The Southeast Asia Industrial Robotics market segmentation, based on type, includes Traditional Robots (Articulated Robots, Cartesian Robots, SCARA Robots, Parallel Robots, Cylindrical Robots, and Others) and Collaborative Robots. The collaborative robots segment dominated the market. The collaborative type has secured the largest market share, primarily because these robots are engineered to work alongside humans in a shared workspace. They find application in a diverse array of tasks such as packaging, pick-and-place, screw driving, assembly, lab testing, and quality inspection, owing to their ability to swiftly automate tasks.

Moreover, collaborative robots can often be taught by operators instead of requiring complex programming. Furthermore, their capacity to perform repetitive tasks quickly not only enhances manufacturing productivity but also contributes to workplace safety improvements. Given their numerous advantages and wide-ranging applications, the demand for collaborative robots continues to surge across various industrial sectors, including retail, healthcare, and automotive manufacturing. These factors collectively contribute to the growth of this segment.

SEA Industrial Robotics Payload Insights

The Southeast Asia Industrial Robotics market segmentation, based on Payload, includes Up to 16.00 kg, 16.01-60.00 kg, 60.01-225.00 kg, and more than 225.00 kg. The 16.01-60.00 kg category generated the most income. Robots in this category include collaborative, SCARA, and articulated robots. Those with a payload capacity ranging from 16.01 to 60.00 kg are predominantly utilized in the automotive sector, particularly for tasks like arc welding, spot welding, painting, and more. The electrical and electronics industry is experiencing a significant surge in automation demand, particularly in the utilization of SCARA robots for assembly and handling applications.

This trend is fueling the rapid growth of the segment within the 16.01 to 60.00 kg weight range. SCARA robots are favored for their higher operating speeds and optional cleanroom compatibility.

Figure 1: Southeast Asia Industrial Robotics Market, by Payload, 2023 & 2032 (USD Billion)

The Global Southeast Asia Industrial Robotics Market Industry is on a promising growth trajectory, with projections indicating a significant increase in market value over the next decade. By 2035, the market is expected to reach 15.4 USD Billion, driven by various factors such as technological advancements, increased automation, and supportive government policies. This growth reflects the broader trend of industries embracing robotics to enhance efficiency and productivity. The anticipated compound annual growth rate of 20.02% from 2025 to 2035 further underscores the potential for robust expansion in the market, positioning it as a vital component of the region's economic development.

Technological innovations play a crucial role in shaping the Global Southeast Asia Industrial Robotics Market Industry. Advancements in artificial intelligence, machine learning, and sensor technologies are enhancing the capabilities of industrial robots, making them more versatile and efficient. These developments enable robots to perform complex tasks with greater precision and adaptability. As a result, industries are more inclined to invest in robotic solutions that can seamlessly integrate into their existing systems. The anticipated growth trajectory, with a projected market value of 15.4 USD Billion by 2035, underscores the importance of continuous technological evolution in driving market expansion.

The Global Southeast Asia Industrial Robotics Market Industry is experiencing a surge in demand for automation across various sectors, including manufacturing, logistics, and healthcare. This trend is driven by the need for increased efficiency and productivity, as companies seek to reduce operational costs and enhance output. For instance, the market is projected to reach 2.07 USD Billion in 2024, reflecting the growing adoption of robotic solutions. As industries increasingly recognize the benefits of automation, the integration of robotics into production processes is likely to accelerate, contributing to the overall growth of the market.

Government initiatives across Southeast Asia are fostering the growth of the Global Southeast Asia Industrial Robotics Market Industry. Various countries are implementing policies aimed at promoting automation and robotics, recognizing their potential to enhance competitiveness and economic growth. For example, investment incentives and grants for research and development in robotics are becoming more prevalent. These supportive measures are likely to encourage businesses to adopt robotic technologies, thereby accelerating market growth. As governments prioritize digital transformation, the industrial robotics sector is expected to benefit significantly from these initiatives, contributing to a robust market environment.

The Global Southeast Asia Industrial Robotics Market Industry is also influenced by labor shortages and workforce challenges. Many industries are facing difficulties in finding skilled labor, which is prompting companies to turn to automation as a viable solution. By integrating industrial robots into their operations, businesses can mitigate the impact of labor shortages and maintain productivity levels. This trend is particularly evident in sectors such as manufacturing and logistics, where the demand for skilled workers is high. As companies increasingly rely on robotics to address these challenges, the market is poised for substantial growth in the coming years.

Investment in smart manufacturing is a key driver of the Global Southeast Asia Industrial Robotics Market Industry. As industries transition towards Industry 4.0, the integration of robotics and automation technologies is becoming essential for enhancing operational efficiency. Companies are increasingly allocating resources towards smart manufacturing initiatives, which often include the deployment of industrial robots. This shift is expected to propel the market forward, with a projected compound annual growth rate of 20.02% from 2025 to 2035. The emphasis on smart manufacturing not only improves productivity but also positions companies to remain competitive in a rapidly evolving global landscape.

Leading market players are investing heavily in research and development to expand their product lines, which will help the Industrial Robotics market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Industrial Robotics industry must offer cost-effective items.

Major players in the Industrial Robotics market are attempting to increase market demand by investing in research and development operations including ABB (Switzerland), Yaskawa Electric Corporation (Japan), FANUC CORPORATION (Japan), KUKAAG (Germany), Mitsubishi Electric (Japan), Kawasaki Heavy Industries (Japan), Denso Corporation (Japan), Nachi- Fujikoshi (Japan), Seiko Epson Corporation (Japan), Dürr Group (Germany).