Robot orders fell in 2023 compared to the record-breaking figures of 2021 and 2022. In fact, American robot orders overall are down by 30%.
Here are some of the key reasons behind this decline:
Economic Slowdown
A global economic slowdown in 2023 led many companies to tighten their budgets and put off large investments, including new robots.
Higher Interest Rates
Rising interest rates made borrowing more expensive, further discouraging companies from making significant investments in automation.
Supply Chain Disruptions
Ongoing supply chain challenges made it difficult for some companies to acquire the necessary components for robot production, contributing to shortages and delays.
Overstocking in 2022
Some industries, particularly automotive, overstocked robots in 2022 due to concerns about supply chain disruptions. This resulted in lower demand for new robots in 2023 as companies focused on using their existing inventory.
Shift in Demand
The focus of robot demand might be shifting from specific industries like automotive to broader applications across various sectors. The focus on AI, cobots, and humanoid general-purpose robots could have companies waiting for the new models before they jump. This could lead to a more gradual and sustained growth pattern as companies adapt their automation strategies.
However, it’s important to note that the decline in robot orders doesn’t necessarily translate to a decline in robot installations. Many robots ordered in previous years might still be in the process of being installed.
The long-term outlook for robotics remains positive, with continued growth expected in various sectors, driven by factors like labor shortages and increasing automation trends. The decline might be a temporary correction after the rapid growth of the previous years.
Boo matter what kind of robots you’re handling with Rexroth motion control systems, we can keep you running smoothly with factory repair and reman. Call (479) 422-0390 for immediate assistance.