
While China and the USA are investing heavily in industrial robots, installations and production in Germany are falling. Experts warn of a structural backlog.
AI-generated summary
Sales of industrial robots worldwide will increase by eleven percent to over 600,000 units in 2025, while they fell by eight percent in Germany.
Munich. China and the USA are pushing ahead with the automation of their industries, while Germany is falling behind in installing new robots. “German medium-sized companies often lack the know-how and financing to invest in automation,” said Susanne Bieller, Secretary General of the World Robotics Association IFR, to the Handelsblatt.
Germany is in third place in the world when it comes to robot density. However, if automation stagnates in future industries, the location risks losing out on global competition. “Then there is a risk that new plants will no longer be built in Germany.” The development also has consequences for the production of robots in Germany.
According to new figures from the IFR, global sales of industrial robots in 2025 rose again by eleven percent to more than 600,000 new installations for the first time, after several years of stagnation. “Industrial automation is advancing at a rapid pace,” said IFR President Jane Hefner. The association expects growth of nine percent to 655,000 installations in 2026, and by 2029 there could be more than 800,000.
However, regional development is very different - and that alarms experts. China has been by far the most important market in the industry for several years. In 2025, sales rose by another 20 percent to 354,000 new installations. This means that 59 percent of all new robots worldwide are now being installed in China.
In the current five-year plan, China has designated robotics as one of the key industries. “It makes sense that a country with a lot of industry and a lot of industry still to be developed would invest in automation,” said IFR Secretary General Bieller. However, market access for international manufacturers is becoming increasingly difficult, while national manufacturers are being promoted.
Domestic manufacturers now account for 55 percent of installations. The traditional manufacturers from the West and Japan were able to achieve even stronger growth last year. But that was because demand from the Chinese auto industry was particularly high. Suppliers such as Kuka, ABB and Fanuc still play a strong role here.
However, the Chinese suppliers are now increasingly pushing into the world markets from their now strong position at home. Smaller companies in particular that are looking for a cost-effective solution and have fewer data protection concerns than many networked large corporations are often interested, said Bieller.
More and more robots are also being installed in the USA. Last year, sales rose by twelve percent to 38,400 installations. This means that the USA is now the second largest market in the world, ahead of Japan. Demand from the food and beverage industry grew particularly strongly.
“Incentives are being created to relocate production back to the USA. This requires more automation,” said Bieller. It is still unclear how quickly the necessary robotics production capacities can be built up.
Automation is currently progressing much more slowly in Germany than in the other major markets. Last year only 24,800 new robots were installed in this country, a decrease of eight percent. The decline was particularly severe in the auto industry. Sales also fell in the metal processing and chemical industries.
First of all, the decline in robot installations in Germany is an expression of the industry's lack of investment, particularly in the automotive industry, said Adrian Reisch, partner at EY Consulting, to the Handelsblatt. “But he should still worry us.” Because while Germany is postponing investments, China and increasingly the USA are accelerating their automation.
It is not just the number of classic industrial robots that is important. Germany has a highly automated industrial base. The aim now is to be at the forefront of the new wave of automation with artificial intelligence and autonomous mobile systems. "The crucial question is whether we can roll out the next generation of automation quickly enough. An economic downturn must not result in a structural deficit."
The IFR emphasized that Germany is still the fifth largest robotics market in the world. 41 percent of all new robots purchased in the EU are installed in Germany. But Secretary General Bieller also sees a need for action. "We have to step up our training game. We need more skilled workers who don't design the robots, but rather install and convert the systems. In addition, more government support - for example with depreciation rules - is necessary so that companies can invest in new technology and thus maintain added value in the country.
The decline in sales also leads to lower robot production. Both domestic and foreign suppliers are increasingly producing close to the sales markets. The production of industrial robots in Germany fell by 24 percent to 23,700 units last year. There is still no improvement in sight in 2026.
According to previous information, the VDMA Robotics + Automation trade association also expects a decline in sales of five percent to 14.1 billion euros for 2026. Last year, revenues had already fallen by seven percent. “Our industry is simultaneously struggling with weak demand, geopolitical uncertainty and challenging location conditions,” said association chairman Olaf Munkelt.
Humanoid robots, which are currently being hyped, do not yet play a role in production. Last year, the IFR recorded sales of around 7,000 human-like machines measuring more than 1.40 meters. But this is primarily about the service area or test robots for research, said Bieller. In industrial production, humanoids are only used very occasionally in pilot projects.
AI outlook — possibilities, not facts
New installations worldwide will increase by nine percent to 655,000 in 2026.
Likely · Within months
Sales decline in the robot industry in Germany by five percent in 2026.
Likely · Within months
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