China Surges Ahead in Factory
Robotics, Outpacing Global Rivals
China has embarked on a campaign to use more
robots in its factories, transforming its manufacturing industries and becoming
the dominant maker.
China has
become the world leader in factory automation, installing nearly 300,000 new
industrial robots in 2024 — more than the rest of the world combined — and
bringing its total to over two million robots. By contrast, U.S.
factories installed just 34,000, while Japan added 44,000, according to the International
Federation of Robotics.
Beijing’s
long-term industrial strategy, backed by state financing and its
Made in China 2025 campaign, has fueled the rise of domestic robot
makers. Last year, nearly 60% of robots installed in China were locally made,
signaling reduced reliance on imports. China now accounts for one-third of
global robot production, surpassing Japan.
Automation
has reinforced China’s dominance in global manufacturing, which now produces
almost a third of all manufactured goods worldwide. State-backed
initiatives, cheap capital, and integration with artificial intelligence have
accelerated adoption. Chinese firms use AI to monitor factory performance,
giving them a competitive edge.
While
China still lags in advanced components for humanoid robots, its industrial
robot ecosystem is thriving, with start-ups like Unitree Robotics
gaining momentum. Overall, China now has five times as many robots in its
factories as the U.S., further solidifying its role as the manufacturing
powerhouse of the world.
China
is making and installing factory robots at a far greater pace than any other country,
with the United States a distant third, further strengthening China’s already dominant
global role in manufacturing.
There
were more than two million robots working in Chinese factories last year, according
to a report released Thursday by the International Federation of Robotics, a nonprofit
trade group for makers of industrial robots. Factories in China installed nearly
300,000 new robots last year, more than the rest of the world combined, the report
found. American factories installed 34,000.
While
Chinese factories have been using more robots, they have also gotten better at making
them. The government has used public capital and policy directives to spur Chinese
companies to become leaders in robotics and other advanced technologies like semiconductors
and artificial intelligence.
Worldwide,
robots and artificial intelligence are playing an increasingly prominent and disruptive
role in manufacturing. Factory robots range from machines that weld car parts together
to claws that lifts boxes onto conveyor belts. As technology helps factories become
more efficient, some are making do with fewer workers and altering the roles of
others.
Over
the past decade, China has embarked on a broad campaign to use more robots in its
factories, become a major maker of robots and combine the industry with advances
in artificial intelligence.
Chinese
companies have benefited from a national push that mirrors how the country’s electric
vehicle and artificial intelligence industries have grown, said Lian Jye Su, a chief
analyst at Omdia, a tech research firm.
“This
is not a coincidence,” Mr. Su said. “It has taken many years of investment by Chinese
companies.”
China’s
drive for factory automation has been a key part of achieving its position as the
world’s manufacturing powerhouse. Factories in China have installed more than 150,000
robots each year since 2017. At the same time, manufacturing output ballooned. By
the start of this year, factories in China were making nearly a third of all manufactured
goods worldwide, more than the United States, Germany, Japan, South Korea and Britain
combined.
Robot
installations fell last year, compared with the year before,
in all four of the next largest factory robot-using countries: Japan, the United
States, South Korea and Germany. Japan installed 44,000.
In
2015, Beijing made it a top priority for China to become globally competitive in
robotics as part of its Made in China 2025 campaign to import fewer advanced manufactured
goods.
Industries
received almost unlimited access to loans from state-controlled banks at low interest
rates as well as help in buying foreign competitors, direct infusions of government
money and other assistance. And in 2021, the government issued a detailed national
strategy for expanded deployment of robots.
“You
can see how well that strategy worked out; without a strategy, a country is always
at a disadvantage,” said Susanne Bieller, the general secretary of the robotics
federation.
China’s
share of the world’s robot manufacturing rose last year to a third of the global
supply, up from a quarter in 2023, according to the federation. Japan, the previous
leader, dropped to 29 percent of the world market from 38 percent the year before.
Until
last year, China installed more imported robots in its factories than domestically
made ones. But last year, nearly three-fifths of the robots installed in China were
also made in the country.
Overall,
China has five times as many robots working in its factories as the United States.
The
federation’s data does not include humanoid robots, the two-legged machines that
remain largely in experimental stages. But the government support has led to a boom
in start-ups making humanoid robots and an ecosystem of companies that make specialized
components for robots, such as motorized joints.
The
humanoid robot start-up Unitree Robotics, based in the tech hot spot of Hangzhou,
said earlier this month that it planned to go public by the end of the year. Unitree’s
latest basic humanoid robots are priced at about $6,000 in China, a fraction of
the price of robots made by the robot maker Boston Dynamics, a leading American
player in the industry.
Still,
Chinese companies lag foreign competitors in their ability to make some key components
used in humanoid robots, including some sensors and semiconductors, said Mr. Su
at Omdia.
The
top versions of many components are still made in countries with longtime leads
in robot manufacturing like Germany and Japan, he said.
“If
you were to assemble a really top-notch humanoid robot, it would be almost completely
non-China-made,” Mr. Su said. “Maybe it would have one or two Chinese components,
but by and large the entire system would be very international.”
But
when it comes to factory robots, China has multiple advantages. China has large
numbers of skilled electricians and specialized computer programmers who can install
robots. Even China has had some shortages of robot installation specialists, however,
with pay surging to almost $60,000 a year.
And
China has an artificial intelligence industry that is strongly focused on using
the new technology to track and improve every aspect of factory equipment performance.
Companies
in China “are using A.I. to swoop in and say which machines are doing great and
which are a little off,” said Cameron Johnson, a supply chain consultant in Shanghai
specializing in automation. Outside of China, he added, “people aren’t looking at
it as a manufacturing tool, at least not yet, and not how the Chinese are.”