China Dominates Over Half of Global Industrial Robot Installations

China has firmly established itself as the dominant player in the global industrial robot market, with recent data revealing that one out of every two industrial robots installed worldwide is now in China. According to a report by the Korea Trade-Investment Promotion Agency (KOTRA), China installed 290,000 industrial robots in 2022, which accounted for 52.5% of total global installations. This underscores China's rapid growth and ambition to lead in this crucial sector, driven by its manufacturing demands and advanced technological developments.

A major factor contributing to China's dominance is the rise of its domestic industrial robot brands. The report highlights that Chinese brands made up 52.5% of the industrial robots sold within the country in 2022, marking a significant increase from 42.4% in 2021. This growth can largely be attributed to the Chinese government’s localization policies, which have incentivized the domestic production of robots, reducing the country's reliance on foreign technology. These efforts have bolstered China's self-sufficiency in robotics, positioning it as a global powerhouse in the field.

The Yangtze River Delta region, including key cities such as Shanghai and provinces like Guangdong and Jiangsu, has played a critical role in this surge. This region houses 4,547 robot-related companies and produces 50% of China’s total robot output. Major industries such as electronics (18.7%), automotive parts (14.7%), and metal manufacturing (11.7%) are driving the demand for industrial robots. Furthermore, the solar industry has shown explosive growth, with shipments of industrial robots for this sector rising by 90% compared to the previous year.

Despite China's advances, there are still opportunities for foreign companies, particularly in niche markets like laser welding robots, where South Korea has retained a strong foothold. KOTRA’s report suggests that Korean AI companies could benefit from partnerships in China’s manufacturing industry, particularly in areas like computer vision and machine learning. With China’s status as the world’s largest industrial robot market, KOTRA emphasizes the potential for Korean companies to expand their exports, particularly in sectors like mobile and assembly robots, which have a higher import volume in China.

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