Robot End-Effector Market is expected to exceed USD 6.5 billion by 2025. The advent of industry 4.0 in manufacturing industry which includes the inclusion of technological trends such as cloud robotics, automation, cyber-physical systems, big data, and IoT is driving the demand for advanced end-effectors. The usage of these advanced technologies is anticipated to drive up production, improve efficiency, by transfer computational and decision-making powers to robotics systems. Factors such as growing deployment of collaborative robots, increasing implementation of robots in the logistics industry for pick & place operations, decreasing cost of sensors etc. is augmenting the robot end-effector market growth.

The proliferation of Industry 4.0 provides major growth opportunities to manufacturers operating in the robot end-effector market. Organizations such as Comau have worked in line with Industry 4.0 by the creation of collaborative robots called AURA (Advanced Use Robotic Arm) which contains a layer of sensors beneath a protective foam that can detect human movement. However, a major portion of the technologies are still under research as companies are investing heavily in R&D activities to make their technology smarter and more aligned to the demands of the consumers.

The automotive sector holds over 35% of the robot end-effector market share as deploying robots? aids in increasing the work output as compared to manual labor. Furthermore, changing trends, such as the development of energy-efficient drive systems and electric vehicles, are further causing consumers to replace their existing vehicles with modernized vehicles. Furthermore, there is a high rate of competition amongst market players causing them to seek automation to meet the consumer demand. In addition, the demand for these systems is growing across the pharmaceuticals and food & beverages industry, where the quality and precision of the ingredients play a major role. For instance, KUKA AG?s palletizing robots are used by Corona Beer for stacking crates. Robotic applications in the pharmaceutical sector, for instance, has the added benefit of being able to work in sterile environments without the potential for contamination from human or the environment during the component transfer.

The demand for smart automation is in a strong demand in the U.S., which will further propel the industry growth in the region. Many companies are offering automated solutions in the commercial sector at a decreased cost and enhanced productivity. The U.S. and the EU are ramping up their manufacturing sector by automating their plants to reduce labor cost and widen the profit margins driving robot end-effector market growth. European countries are working towards the development of more advanced collaborative robots which are specially designed to work with the industry workforce. Collaborative robots are currently being used for many operations and are mostly used to carry out heavy-duty jobs such as palletizing and moving equipment and raw materials. China is one of the major markets as the total number of robot shipments reached 135,000 in 2018, which accounted for over 40% of the global shipments. The cost of deploying a robot in China is USD 2-USD 3 per hour, which is much lower than the average cost of labor in China.