ABB Ltd. plans to double its robotics production in China industrial robotics market

ABB Ltd., the reputed automation and robotics giant, has been planning to expand its business profile in China, by doubling the robot production capacity in the country in a bid to become the largest provider of industrial automation equipment across the world. The Swedish conglomerate already enjoys the status of being one of the predominant players in China process automation market, with an employee strength of almost 17,000 in an expanse of 139 cities in China. Though the robotics division of ABB in itself is a huge sector, from a larger perspective, it is just a small piece of the company’s humongous business profile. Experts claim this huge investment is a highly strategic move on ABB’s part to score a competitive advantage over its close-knit rival Kuka AG.

The move also reflects ABB’s cross border ambition to surpass Japan’s renowned tech player, Fanuc Corp. Considering the present scenario, ABB certainly is witnessing an upper hand in the regional automation market, however, Fanuc is claimed to be world’s largest provider of industrial robots, cite reliable sources. While ABB Ltd. is estimated to have installations of almost 300,000 robots worldwide, the number is quite high for Fanuc, with more than 400000 installed robots across the globe.

The reason for China to become the key investment destination for leading tech giants is quite overt – it is the ever-expanding regional industrial robotics market that is making China a potential hotbed for robotics investors. Being one of the most progressive, tech driven nations, China is proactively involved in robot installations for various industrial applications. Its huge manufacturing base is further catalyzing the value chain, by incorporating automation in majority of the utility domains. The country added almost 90,000 robots last year, which is estimated to represent one third of the overall installations in 2016, cite reliable sources. The figure is expected to shoot up to 160,000 by 2019, suggests the International Federation of Robotics.

To exploit such lucrative business opportunities, ABB is planning to invest a lot more in the regional robotics market. The pioneering infrastructural leader is jockeying with leading robotics companies like Fanuc and Kuka to procure a major share of the China’s USD 11 billion-dollar industrial robotics industry. While it is already ahead of Kuka globally, as claimed by reliable sources, the decision of doubling the investment will certainly give Fanuc a tough competition at a global scale.

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Satarupa De

Satarupa develops content for Market Size Forecasters. An electrical engineer by qualification, she worked for two years in the electrical domain before switching her professional genre. Following her childhood passion, she opted for a career in writing and now pens down articles pertaining to marke...

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