Automotive business more likely to proceed main robotics development, says A3

Hearken to this text

Automotive manufacturing will proceed to drive North American robotics adoption, says A3. Supply: ABB

The Affiliation for Advancing Automation, or A3, at present launched its quarterly and end-of-year report on robotic orders in North America for 2023. It discovered that gross sales had been down by 30% however famous that 2021 and 2022 had been record-setting years.

Whereas North American firms ordered 31,159 robots in 2023, in contrast with 44,196 in 2022 and 39,708 in 2021, A3 mentioned it expects exercise to choose up later this yr and into 2025. The Ann Arbor, Mich.-based affiliation added that it expects each automotive producers and non-automotive sectors to renew ordering extra robots within the coming yr.

Jeff Burnstein, president of A3, responded to The Robotic Report‘s questions concerning the newest report on robotic orders.

Automotive business to remain on high regardless of slowdown

Has the automotive business accomplished or postponed retooling for electrical car (EV) manufacturing? What wants to vary for EV adoption to extend within the U.S.?

Burnstein: The automotive business within the U.S. could also be transferring a bit slower on retooling than anticipated. A part of the difficulty stands out as the demand for EVs, whereas growing in states like California, continues to be decrease in different elements of the nation.

To see a nationwide growth, we’ll in all probability have to see extra infrastructure in place for EVs in addition to extra incentives.  

Whereas automotive has traditionally been the most important person of commercial robots in North America, do you see non-automotive industries persevering with to surpass it?

Burnstein: I believe the automotive business will stay the most important single person business for robotics adoption, not less than for the following a number of years. 

Non-automotive industries like warehousing and distribution will develop, as will agriculture, life sciences, building, meals, and lots of others. Taken as an entire, these non-automotive industries will doubtless surpass the automotive business in annual purchases, which is why I’m optimistic concerning the future potential for robotic adoption, regardless of the present slowdown in gross sales.

Financial system extra vital than geopolitics, says A3

Do you suppose the upcoming U.S. elections or geopolitical uncertainty will have an effect on shopper and business spending? On the one hand, it might assist with reshoring or nearshoring, however on the opposite, it might trigger a “wait and see” angle.

Burnstein: I believe the financial system has extra of an affect on robotic gross sales than geopolitical points. When firms are doing effectively financially, they make investments extra closely in capital gear in addition to in individuals — if labor might be discovered!

After all, commerce wars can affect this image as we’ve seen in recent times. Reshoring of producing to Mexico from Asia is a slow-growing development that can proceed, however financial growth, decrease rates of interest, and continued labor shortages in almost each business will stay the important thing drivers for elevated adoption of automation.

With the Federal Reserve anticipated to chill out its stance a bit on rates of interest, would that assist producers and the robotics business?

Burnstein: Decrease rates of interest ought to assist extra firms spend money on robotics.

Be taught from Agility Robotics, Amazon, Disney, Teradyne and lots of extra.

A peek at Automate 2024

Along with extra attendees, are you able to give a sneak peek at what else might be new at Automate 2024?

Burnstein: Now we have a number of new issues deliberate: a brand new Innovation Awards program, a New Product theater, an expanded Educator’s Day, a Ladies in Automation program, and new exhibitors from all around the world. We anticipate 800 exhibitors, our largest quantity ever.

An thrilling new crop of startups [is] collaborating in our Automate Startup Competitors. [There will also be] new purposes that incorporate synthetic intelligence [and] an expanded convention program. The automation business is altering rapidly, which is why Automate is now an annual present!

Automate 2024 might be from Could 6 to 9 in Chicago. Supply: Affiliation for Advancing Automation