Germany and Europe are facing growing challenges in the global race to deploy industrial robots, with China significantly outpacing their efforts in recent years. According to data from the International Federation of Robotics, robot installations in German factories are expected to decline for the third consecutive year, while China has intensified its robotics rollout, expanding its dominance in the sector.
China currently accounts for nearly half of the five million robots in use worldwide, a dramatic increase from a decade ago when its installations outnumbered Germany’s by just three to one. The latest figures show that China now deploys robots at a ratio of approximately 14 to one compared to Germany. In 2023, China installed more than 350,000 robots, while Germany’s figure fell to around 25,000.
The widening gap highlights concerns about Europe’s ability to maintain competitiveness amid China’s rapid industrial advancements. The Chinese government has actively promoted robotics and artificial intelligence to boost its manufacturing base, a campaign initiated with its 2014 "robot revolution" directive. These developments come as the European Union grapples with a trade deficit with China amounting to roughly 1 billion euros ($1.1 billion) daily, driven in part by an influx of low-cost Chinese goods that has eroded industrial employment in Germany by about 14,000 jobs per month.
Experts say China's growing self-sufficiency in robotics components further intensifies the competitive pressure. While China still imports some high-end components and AI chips from companies in Europe, Japan, and the United States, more than half of China’s domestic robot installations now use locally made parts, up from one-third a decade ago.
Industry analysts emphasize that China’s success stems largely from its ability to scale production rapidly. “What they’ve done remarkably well is scale, which hasn’t been done anywhere else,” said Arnaud Robert, president of Hexagon Robotics, which is working with BMW on introducing humanoid robots at a Leipzig plant by early next year. Despite the challenges, Germany remains technologically strong, ranking third globally in robot density with about 450 robots per 10,000 manufacturing employees, trailing only South Korea and Singapore.
European specialists urge coordinated efforts to preserve the region’s leadership in robotics innovation. Pavlo Zvenyhorodskyi, a senior research analyst at the Carnegie Endowment for International Peace, called for measures to improve access to private capital and bolster hardware development, including actuators crucial for robot movement. “The stakes are huge,” he said. “This is a test of whether Europe can remain relevant in this emerging global race.”
Meanwhile, the United States added over 38,000 robots last year and is reportedly taking steps to restrict certain foreign-manufactured humanoid robots, citing national security concerns.
While humanoid robots are still largely experimental, the International Federation of Robotics reported global sales of about 7,000 full-size humanoids, with more than half produced by Chinese manufacturers. China's vast manufacturing ecosystem provides an optimal environment for advancing robotic technology; however, challenges such as an aging population and high costs remain. Analysts note that humanoid robots are not yet commercially viable at scale and would require substantial price reductions to achieve broader adoption.
Reflecting on past industrial policy decisions, the acquisition of Germany’s robot maker Kuka by the Chinese firm Midea in 2016 is seen as a missed opportunity to maintain European leadership. The transaction, which might face tighter scrutiny today amid heightened security concerns, exemplifies a trend of foreign acquisitions that have raised questions about industrial sovereignty.
European voices stress urgency and recognize that complacency is no longer an option. “We’re not seeing complacency anymore. We’re seeing a sense of urgency,” said Robert, underscoring a growing consensus that Europe must strengthen its robotics and AI sectors to remain competitive against China's advancing manufacturing capabilities.