FACT SHEETThe Robotics &Automation Industryin Germany
ISSUE 2022

Germany's robotics and automation (R&A) industry has
enjoyed unprecedented success over the last decade orso, almost doubling turnover in the period 2010 to 2019.
The first signs of post-coronavirus recovery are being
felt, with the sector forecast to generate turnover of
EUR 13.4 billion in 2021.
Europe’s Robotics and Automation Technology Hub
Germany is one of the five major markets for industrial
robots. The robotics and automation (R&A) sector in Germany
is set to generate turnover of EUR 13.4 billion in 2021 according
to the VDMA Robotics + Automation association. This turnaround in post-Covid 19 crisis fortunes is being driven by the
resumption of investments postponed during the pandemic
and demand for climate-friendly R&A technologies. As orderbooks continue to fill up and momentum returns to the sector, the record results achieved in 2018 will be surpassed in
2022 if current supply bottlenecks for key components canbe effectively overcome.
Tomorrow’s Robotics and Automation Technologies
The R&A industry is one of the most innovative in the German
mechanical engineering sector. German OEMs number among
the world’s leading R&A companies. Human-robot collaboration (HRC) and machine vision (MV) technologies are considered major strengths in a global hub that boasts robotics
players from all market segments. Machine vision counts as
one of the major growth sectors in the R&A industry and has
become the key technology for the automation industry
worldwide. The increasing application level of HRC represents
a perfect example of the move towards connectivity within
advanced manufacturing. Technological developments in thefield of artificial intelligence including machine learning anddeep learning will lead to further applications of conventional
industrial robots and collaborative robots.

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The R&A Industry in Numbers
371 industrial robots
per 10,000 employees in Germany – highest density
level in the manufacturing industry in Europe
and fourth in global comparison

3 million
industrial robots operating in factories
around the world

EUR 499 billion
forecast world market for industrial
and non-industrial robots in 2025

Annual Supply of Industrial Robots in Germanyin thousand units

35.7

2017

37.7

2018

31.0

30.0

2019

2020

Source: Statista 2021, International Federation of Robotics (IFR) 2021

MARKET OPPORTUNITIESInnovative R&A Sectors
Industry Segmentation
According to VDMA classification, the R&A industry can bedivided into three innovative sectors: robotics, integrated
assembly solutions and machine vision technologies. The
VDMA R + A Association represents 280 companies.
· Robotics
The robotics industry can be divided into two categories:
industrial robots and service robots. Industrial robots
represent the core of automation in production technologies. However, service robots are also gaining increasing
importance in the market. The robotics sector is expected
to recover with 15 percent growth in 2021 after a 23 percent pandemic-related decrease in the previous year.
· Integrated Assembly Solutions
The integrated assembly solutions sector mainly focuseson the creation of new hardware and components
needed for tasks such as forming, measuring and testing. The sector is forecast to bounce back from a 20 percent downturn last year with 10 percent growth in 2021.
· Machine Vision Technologies
Machine vision systems allow machines to see and comprehend. Application fields are diverse and include areas
such as components identification, quality control anddata collection. The sector was relatively unaffected by the
Covid-19 crisis, recording EUR 2.6 billion turnover in 2020.

Machine Vision
Automation and the implementation of machine vision (MV)technology help make consistently high quality, permanent
traceability and 100 percent production accuracy a reality.
High levels of production flexibility can be achieved andproduct changes quickly realized using efficient automation
solutions. Germany is the most important sales market for
the European image processing industry, with more than 30
percent of total industry turnover generated domestically.
The machine vision industry in Germany – and Europe – hasbeen growing at a fast rate over the past decade, with turnover in the domestic industry doubling during the period
2008 to 2017. Beyond the automotive industry and the electrical and electronics industries (including semiconductors),
other sectors – including the metal, food, and packaging aswell as non-manufacturing industries (e.g. intelligent traffictechnology, medical diagnostic equipment and surgical technologies) – are increasingly making use of machine vision
technology. Machine vision plays a pivotal production optimization role in Industrie 4.0 thanks to its peerless data
gathering and analysis capabilities.

Service and Assistance Robots
The global market for professional service robots increasedby 12 percent to USD 6.7 billion in 2020. Germany has the
fourth-highest density of service robot suppliers (after theUSA, China and Japan), with Europe accounting for 47 percentof the world’s service robot suppliers. The service robot sector
is growing at a fast pace, providing space to new companies
developing innovative service robot applications or improving
existing concepts. Eighty-two percent of the world’s service
robot suppliers are SMEs. One in every three professional service robots sold in 2020 was made for the transportation of
goods and cargo, with segment growth up by 11 percent.

R&A Turnover Development in Germany
in EUR billion

2019

2020

14.7

2021

12.1

8.0
6.4

7.0
4.0

2.8 2.6 2.8

Machine Vision

3.1 3.5

Robotics

IA Solutions

Total

Source: VDMA 2021

Industrial Robot Operational Stock 2020in thousand units

230

Europe's Top FiveCountries
78
45

38
23

Germany
Source: IFR 2021

Italy

France

Spain

UK

13.4

INDUSTRIE 4.0 and Cobots
Industrie 4.0 has become an international by-word for intelligent, networked production – with Germany consolidating its
reputation as the world’s factory outfitter and a country
capable of meeting the challenges of the digital age. Collaborative robots ("cobots") complement production in smart factory environments and make digital manufacturing affordable for SMEs not previously able to afford turnkey solutions.
R&A technology provides the core elements for the shift
towards Industrie 4.0. Collaborative robots support humanlabor by automating repetitive and physically demanding
tasks. They can be used for diverse applications in modern
production sites and no longer require cages. Pick-and-placesolutions represent one typical area of cobot activity. Humanrobot collaboration activities facilitate quick training and canbe controlled via platforms that allow robots to be deployedat the appropriate workstation and the workload to be
increased or decreased subject to changing production
requirements.
Within Germany alone, projected sales of more than 71,000
cobot units are forecast for 2025. Human-robot-collaboration
is increasingly being adopted. According to the International
Federation of Robotics (IFR), cobot sales increased by six percent from 2019 to 2020. Cobots have a market share of 5.7
percent among all installed industrial robots worldwide, withthe sector very much still in its infancy. Market analyst marketandmarkets predicts a compound annual growth rate of morethan 43 percent in the collaborative robot market for the period 2021 to 2027.

Application Segments
The automotive industry is the leading client sector for industrial robots in Germany. According to the VDMA, the automotive industry – and its suppliers – are investing in electric andhybrid drive technologies that insist upon new production
processes and equipment, particularly in the area of battery
production. The second largest client industry is the electricaland electronics sector. Beyond big industry, many SMEs are
now looking at industrial robot implementation as a solution
to increase production system flexibility.

Global Collaborative Robots Market Forecast
in USD million

1,286.7
1,145.1
958.1
811.5
695.2
594.1

2020

2021

2022

2023

2024

2025

Source: IFR 2021

Collaborative Robot Systems Regulations
A number of standards, rules and regulations have been
established in Europe to provide practical guidance tocobot manufacturers, system integrators, users, and otherinterested parties.
Collaborative robot systems…
· comprise the cobot, the robot arm-adapted tool
used to perform tasks (and objects moved by it),workpieces, and devices that constitute machinery
according to the EC Machinery Directive 2006/42/EC;· are subject to the EC Machinery Directive andrequire an EC Declaration of Conformity and
CE Mark before being placed on the market;· safety standards are defined within the revised
EN ISO 10218 standards 1 and 2 as well as the ISO/TS
15066 specification;· require a collision risk assessment that ­covers theindustrial workplace in accordance with the twostandards outlined above and the EC Machinery
Directive.

Legal requirements, standardization and safety requirements for manufacturers and operators – GTAI brings you
in contact with all of the relevant partners, associations
and service providers. Contact request@gtai.com

INVESTMENT CLIMATESupporting Business Success
A Tradition of Engineering Quality
German R&A industry strength is driven by a combination ofGermany's proven engineering tradition, its position as aleader in technological development, and its highly diversified industrial base. The machinery and equipment (M&E)
industry is one of the technological motors that drive Germany as a high-tech nation combining all of the key future technologies, such as materials, electronics, software, and robotics: Researchers, companies and employees active in the R&A
industry profit from the country’s reputation and global
know-how. The “Made in Germany” quality seal has long
been recognized as a sign of engineering excellence and precision across the globe.
Europe's Leading R&A Investment Location
Germany was Europe's leading FDI destination country for
R&A investments during the period 2015 to 2020 according
to research conducted by Germany Trade & Invest's FDI Competence Center. The country is similarly the continent's leading destination country for M&E inward investment, with
R&A investment projects accounting for 20 percent of all M&E
direct investment. More than 150 FDI projects in the R&A sector were made in Germany during this five-year period, withthe top source countries being the USA, Switzerland, Japan,
and China in that order.
Supporting Digital Platforms – PAiCE
Germany actively supports the use of new digital technologies within the industry as part of its High-Tech Strategy. The
PAiCE program provides funding of EUR 50 million over a fiveyear period for the development of digital industry platforms
as well as collaboration between companies making use of
these platforms. Major application areas include the creationof platforms for service robotics solutions in the service,
logistics, and manufacturing sectors.
Generous Public Incentives
Germany offers numerous incentives for all investors –regardless of country of provenance. There is a large selectionof programs designed to support a wide variety of businessactivities at different stages of the investment process. These
range from cash incentives for the reimbursement of direct
investment costs to support for research and development
and labor.
The High-Tech Strategy
The highly innovative character of the robotics industry
makes it an important part of Germany’s High-Tech Strategy.
This is complemented by other government R&D support programs that provide public grants – either as a reimbursable
advance or in the form of a nonrefundable cash grant. As partof the research program on human-technology interaction,

Robot Density in the Manufacturing Industry 2020
Number of installed industrial robots per 10,000 employees

371

Europe's Top Six
Countries

289
246

224

Germany

SwedenDenmark

Italy

221

209

Belg./Lux. Netherlands

Source: IFR 2021

the federal government will support companies, research
institutes and academics with non-refundable cash grants.
Within the "Together through Innovation" research program,which promotes interactive technologies for health andquality of life, Germany's Federal Ministry of Education andResearch will provide around EUR 70 million annually in
grants up to 2026.
Academic Study Programs
Germany provides access to a network of universities highly
active in the field of mechanical engineering with a special
range of robotics and automation study programs. Around
300 automation and robotics-related study programs are currently available. German industry also enjoys a global reputation for its high R&D activity.

LOCATION ADVANTAGE

Robotics and Automation R&D
Research and Innovation in Europe
Launched in January 2021, Horizon Europe is the 9th Framework Program of the European Union (EU) for Research andInnovation and the successor program to Horizon 2020. The
EU initiative has assigned a budget of EUR 95.5 billion for theperiod 2021 to 2027. Robotics-related R&D activities will focus
on the digital transition in the manufacturing and construction sectors, autonomous solutions, enhanced cognition, andhuman-robot collaboration. A budget of more than EUR 198
million has been allocated for these activities within theframework of the “Digital, Industry, and Space” cluster.
Clusters, Networks and Research Institutes
Regional innovation clusters help bridge the gap between
science and industry. Stakeholders are organized in multiple
regional clusters such as the Automation Valley Northern
Bavaria cluster. The country’s specific strength in the development and manufacturing of robotics is further illustrated by
the existence of specialized clusters such as the Robotics andMechatronics Center at the German Aerospace Center (DLR).
Several Fraunhofer-Gesellschaft research institutes are also
actively conducting research in the areas of automation,

Selected Robotics and Automation
Clusters and Networks

SchleswigHolstein

16

5

MecklenburgVorpommern

Hamburg

4

Niedersachsen

BerlinBrandenburg

SaxonyAnhalt

14
North RhineWestphalia

67
HessenRheinlandPfalz

Thuringia

robotics and related fields. These include, inter alia, the Institute for Manufacturing Engineering and Automation (IPA);
Institute for Production Systems and Design Technology (IPK);
Institute for Factory Operation and Automation (IFF); and theInstitute for Intelligent Analysis and Information Systems(IAIS). VDMA R&A has entered into a partnership with andugo
working on the latter's GO2automation platform. The joint
objective is to provide SMEs with AI-supported platform networking in automation.
Germany Trade & Invest – A Strong Partner
Germany Trade & Invest provides direct access to all of therelevant actors in the German R&A industry. As the hub for a
far-reaching network at both home and abroad, GTAI maintains close relations with all clusters, networks and research
institutions. Our industry experts support you in finding
project partners for your research project in special and new
robotics application fields. Germany’s modern research
infrastructure and the expertise of university and non-university research institutes are also at your disposal. Germany
Trade & Invest also helps identify relevant funding incentives
options for establishing your research facility in Germany.

Selected Clusters and Networks
1 Automatisierungsregion Rhein Main Neckar e.V.
2 Intralogistik Netzwerk in Baden Württemberg e.V.
3 Kompetenz Netzwerk Mechatronik in Ostbayern
4 Composites United e.V. (CU)
5 it's owl
6 REGINA e.V. – Regionaler Industrieclub Informatik Aachen
7 Silicon Saxony e.V.
8 Cluster Mechatronik & Automation e.V.
9 Robotics and Mechatronics Center at the DLR
10 Strategische Partnerschaft Sensorik e.V.
11 Automation Valley Nordbayern
12 Allianz Industrie 4.0 Baden-Württemberg
13 Forum MedTech Pharma
14 Digital Hub Logistics
15 BIOPRO Baden Würtemberg
16 Agrotech Valley

SaxonyClusters
Small cluster (<85 member companies)

1

Medium-sized cluster (85-200 member companies)

Saarland

13

11

10

12

15
2

BadenWürttemberg

3

Bavaria89Large cluster (>200 member companies)
Networks
Small network (<85 member companies)
Medium-sized network (85-200 member companies)
Large network (>200 member companies)

Source: GTAI Research 2021

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Contact
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Mechanical & Electronic Technologies
Germany Trade & Invest
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