According to the World Robotics report, the stock of operational industrial robots in South Korea reached a record 300,000 units (+10%) in 2018. The number of industrial robots in China has doubled in five years. After Japan and China, China ranked third in 2018. But momentum for robot installations has declined in recent years and is expected to continue to decline in 2019.
South Korea has more than doubled its operating stock of industrial robots in five years.
"The number of robot installations dropped by 5 percent to 37,807 in 2018," said Junji Tsuda, president of the International Federation of Robotics. "The electrical/electronics industry and the automotive industry both reduced installations -- together they accounted for 82 percent of total demand."
Trade disputes
South Korea is affected by the trade dispute with the United States, but it has both positive and negative effects: China is an important export destination for South Korea's intermediate goods. Conflict could reduce demand from China. On the other hand, Korean products are likely to replace Chinese products. But the South Korean economy is in trouble. Falling demand for electronics and announcements of reduced investment by major electronics companies point to another year of declining robot installations.
Robots need to stay competitive
In the long run, widespread use of robots is crucial to remain competitive. South Korea's population is aging rapidly. By the middle of this century, it will have one of the oldest populations of any OECD country, behind Only Japan, Italy and Greece. By 2050, more than a third of the population will be over 65, and about half of all workers will be over 50. This helps explain why South Korea has embraced robots, especially in its manufacturing sector, which has the second highest "robot density" in the world after Singapore. South Korea has 774 industrial robots per 10,000 workers, more than double Germany (338) and Japan (327).
Korea ´s workforce development
The Workforce Development and Training Act, as amended in 2019, is an important initiative in a series of government-driven projects. People are supported to develop skills in how to operate robots and automated machines. The Smart Manufacturing Innovation Strategy says it will add 50,000 smart factory workers by 2022. The third Basic Robot Program (operating for five years) will support the training of 2,200 workers for small and medium enterprises by 2023.
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