What's Happening?
In 2025, North American robot orders experienced a 6.6% increase, according to the Association for Advancing Automation (A3). This growth marks a recovery from a decline in 2024 and highlights a strong
investment in automation across various industries. The total number of robots ordered reached 36,766, valued at $2.25 billion, representing a 10.1% increase in revenue compared to the previous year. The demand was primarily driven by non-automotive sectors, including food and consumer goods, semiconductors, electronics, and life sciences. Although automotive component orders remained below 2024 levels, there was notable improvement from automotive OEMs, suggesting potential stabilization in the automotive market. The fourth quarter of 2025 saw significant activity, with 10,325 robots ordered, valued at $579 million, marking a 6.6% increase in units and an 8.7% rise in revenue compared to the same period in 2024.
Why It's Important?
The increase in robot orders signifies a growing reliance on automation as a strategic response to competitive pressures and workforce shortages. This trend is crucial for industries aiming to enhance productivity and manage reshoring initiatives. The rise in collaborative robot orders, which accounted for 28.6% of all robots ordered in Q4 2025, underscores the importance of these systems in modern automation strategies. The automotive sector's recovery, particularly among OEMs, could indicate a positive outlook for related supplier and component markets. Overall, the continued growth in robot orders reflects a broader economic shift towards automation, which could have significant implications for labor markets and industrial competitiveness in North America.
What's Next?
The Association for Advancing Automation anticipates that the upward trend in robot orders will continue into 2026. The strong performance of automotive OEMs in the latter half of 2025 is expected to lead to growth in supplier and component markets. Additionally, steady demand across non-automotive industries such as food and electronics suggests a positive outlook for the automation sector. As companies increasingly adopt collaborative robots, their role in automation strategies is likely to expand, further driving demand. This ongoing trend may lead to increased investments in automation technologies and potentially influence policy decisions related to workforce development and industrial strategy.
