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Key Factor Supporting Collaborative Robots Market Development in 2025: Rising Labor Costs Fueling Growth In Collaborative Robots Market

07-14-2025 10:15 AM CET | Industry, Real Estate & Construction

Press release from: The Business Research Company

Collaborative Robots Market

Collaborative Robots Market

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What Will the Collaborative Robots Industry Market Size Be by 2025?
The market size of collaborative robots has seen significant growth over the past few years. It's projected to increase from $3.28 billion in 2024 to $4.23 billion in 2025, with a compound annual growth rate (CAGR) of 28.9%. This robust growth during the historic period can be associated with the prolific economic expansion in emerging markets, increasing labor costs, industrial sector expansion, and the growing demand for automation.

What's the Long-Term Growth Forecast for the Collaborative Robots Market Size Through 2029?
The market size of collaborative robots is predictably going to skyrocket in the upcoming years, reaching a value of $12.31 billion in 2029 with a compound annual growth rate (CAGR) of 30.6%. This surge in the projected period can be ascribed to factors such as the expansion of the automotive industry, the boom in e-commerce and logistics, and increasing urbanization. The time span under forecast also highlights key trends, including combining collaborative robots with cutting-edge technologies, innovations in product development, emphasis on launching new products, strategic alliances and collaborations, and increased investments.

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What Are the Key Growth Drivers Fueling the Collaborative Robots Market Expansion?
The anticipated increase in labor costs is predicted to boost the growth of the collaborative robots market. Labor costs refer to the total expenditure a corporation incurs on salaries, benefits, and related payroll taxes and benefits for each worker. This is viewed by financial and accounting professionals as an important factor in the calculation of a firm's direct and indirect labor expenses. As labor costs rise, the adoption of collaborative robots is expected to increase. This is due to the potential of these robots to reduce labor costs and alleviate labor shortages. For example, Eurostat, the Luxembourg-based statistical bureau of the European Union, reported in September 2024 that hourly labor costs in the second quarter of 2024 had risen by 4.7% in the eurozone and by 5.2% in the EU relative to the same quarter last year. Hence, surging labor costs are fuelling growth in the collaborative robots market.

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What Are the Key Trends Driving Collaborative Robots Market Growth?
The emergence of product innovations is an upward trend in the collaborative robot market. Major corporations involved in this market are developing new technological innovations to solidify their standing. For example, in June 2022, Dobot, a robotics firm based in China, introduced the CRL collaborative robot. This bot stands out with its impressive 1700 mm reach, perfect for operations that need extended access in cramped areas. It excels in tasks like loading and unloading, sorting, and inspection of small parts, particularly useful in the consumer electronics and semiconductor sectors. The Dobot Cr series contains the Cr3L that comes in various models with different payload capacities, from 3 kg up to 16 kg. The Cr3L caters to a broad range of industrial applications like automotive, food processing, garment manufacturing, and chemical sectors.

How Is the Collaborative Robots Market Segmented?
The collaborative robots market covered in this report is segmented -

1) By Component: Hardware, Software
2) By Payload Capacity: Up To 5kg, Up To 10kg, Above 10kg
3) By Application: Assembly, Pick And Place, Handling, Packaging, Quality Testing, Gluing And Welding, Other Applications
4) By Vertical: Automotive, Food And Beverage, Furniture, Plastic And Polymers, Metal And Machinery, Electronics, Pharmaceuticals, Other Verticals

Subsegments:
1) By Hardware: Robot Arms, End Effectors, Sensors, Controllers, Safety Systems
2) By Software: Robot Programming Software, Monitoring And Analytics Software, Integration Software, User Interfaces

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Which Companies Are Leading the Charge in Collaborative Robots Market Innovation?
Major companies operating in the collaborative robots market include Teradyne, Fanuc Corporation, KUKA AG, Denso Corporation, ABB Group,Mitsubishi Electric, Yaskawa Electric Corporation, Doosan, Kawasaki Heavy Industries, Omron Corporation, HASCO, AUBO, Jaka Robotics, United Robotics Group GmbH, Melior Motion GmbH, Kassow Robots ApS, Schaeffler Technologies AG & Co. KG, Universal Robots, OnRobot, Kinova, CodeNinja, Apollo Solutions Dev, ViaObjects, VR4, Consensus group, ITPS ONE, Optimusrobo FZCO, Unique World Robotics, Seed Robotics, Neo Robotics, GLITZ Robotics, Cobots, Zipline, TIRA ROBOTS, Ryonic Robotics, Arone

Which Regions Are Leading the Global Collaborative Robots Market in Revenue?
Asia-Pacific was the largest region in the collaborative robots market in 2024. The regions covered in the collaborative robots market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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