Robot invasion slows in the face of weaker US economy

STORY: Source: Association for Advancing Automation

Companies in North America

sharply cut orders for robots in Q2

Orders from factories and other industrial

users are down 37% from a year ago

That extends a slowdown that began at the end of 2022

as interest rates rose and economic growth sagged

(Quote from Jeff Burnstein, President, Association for Advancing Automation)

“It’s not that we’ve soured on automating… But when people are worried about inflation and the economy, it puts a damper on everything – they hold off.”

Robot sales boomed during the health crisis, as

producers scrambled to churn out badly needed goods

A tight labor market over the last few years also contributed

But some industries appear to have over-invested

E-commerce firms, for instance, rushed to build highly

automated warehouses in anticipation of continued demand

and other companies ordered too many

as they feared supply-chain delays