Sales of robots dropped in North America in 2023, but that may not be a sign that manufacturers are abandoning automation. Instead, executives with robot makers and the Association for Advancing Automation (A3) say the underlying case for investments in robots remains strong.
Simply put, it's hard to find qualified workers for the factory floor and robots help ease the demand for human laborers. In addition, while the auto industry may have scaled back on purchases in 2023, other end markets are discovering the value in automation, Jeff Burnstein, president of Ann Arbor, Mich.-based A3, said.
"There's little doubt that orders will increase from all nonautomotive industries as they recognize how robots can help them overcome their unique challenges," Burnstein said in a Feb. 12 news release.
Robot sales in North America dropped 30 percent in 2023, A3 said, as companies purchased 31,159 robots in 2023 vs. 44,196 in 2022 and 29,708 in 2021. The group says some of those 2022 record sales were due to companies "over-purchasing" due to fears of supply chain problems.
Those big buys in 2022 then left companies with equipment on hand but not enough people or expertise to bring the robots online, Lou Finazzo, vice president of automotive at robot supplier Fanuc Corp., told our sister paper Crain's Detroit Business.
For its part, A3 says increased purchasing in the final weeks of 2023 indicates sales will pick up again in 2024.