Japan’s industrial robot production in Q1 2024, biggest drop in 10 years

On April 25, the Japan Robot Association (JARA, Chairman: Kenji Yamaguchi, President and CEO of FANUC) released its member-based figures for new orders and production of industrial robots for the first three months of 2024. 

New orders decreased 24.0% year-on-year (YoY) to 158.2 billion yen, marking the sixth consecutive quarter of YoY decline. Production also declined for the fourth consecutive quarter, falling 25.0% to 162.6 billion yen. There were no signs of a bottom in either orders or production, and the quarterly decline in production was the largest in the past 10 years. 

Total shipments decreased 21.5% YoY to 173.2 billion yen, and total unit shipments decreased 31.7% YoY to 45,535 units. This was the fourth consecutive quarter of year-on-year decline in gross shipments and the fifth consecutive quarter of year-on-year decline in unit shipments. Shipments to the automotive industry in Japan declined only slightly, but those to the electrical machinery industry fell sharply due to the sluggish semiconductor industry. 

Total exports fell 27.3% YoY to 120.2 billion yen, and the number of units exported fell 36.5% YoY to 29,772 units. In addition to the lack of momentum in exports to China, total exports for welding applications also fell sharply. 

Global demand for automation expanded amid various risks such as COVID-19 and geopolitical tensions. However, even as the year progressed, investment in some applications were and uncertainty about the global economy continued to weigh heavily on the growth outlook.