Southeast Asia’s robotics sector is poised for significant expansion. Mordor Intelligence says the region is following similar trends globally driven by the increasing adoption of automation across various industries.
The region has witnessed a noteworthy rise in both industrial and service robotics, with forecasts projecting the market to grow from US$ 1.29 billion in 2026 to US$1.83 billion by 2031, achieving a compound annual growth rate (CAGR) of 7.32%. Key drivers include the demand for enhanced productivity, cost-effective solutions, and collaborative automation technology.
Key sectors driving adoption
The demand for innovative robotic solutions has surged, driven by the need for efficiency in industries such as manufacturing, logistics, hospitality, and healthcare. For instance, a study from PwC highlights that 34% of jobs in ASEAN countries could be automated, revealing the urgent need for advanced robotics to enhance productivity.
The automotive, electronics, and healthcare sectors are at the forefront of this transformation. For instance, the electronics industry accounted for approximately 37.20% of the industrial robotics market in 2025, largely due to the increasing automation of assembly lines and production processes. Meanwhile, logistics is emerging as a fast-growing area, with a projected 20.60% CAGR, driven by the surge in e-commerce (Statista).
Abel Deng, president of the Asia-Pacific & Middle East Region at AGIBOT, emphasises the importance of a "scenario-driven approach" for market penetration. This method prioritises understanding practical application needs rather than imposing broad solutions.
Key priorities include integrating robots into service roles, such as reception management and public space operations, alongside logistics support and collaborative applications in manufacturing environments.
Addressing workforce concerns
Despite this progress, challenges remain, particularly regarding workforce concerns and regulatory compliance. As the region gears up for a robotic future, businesses and organisations must navigate these issues to ensure a harmonious and effective integration of machines into everyday life.
As robotics technology continues to advance, concerns regarding potential job displacement remain pertinent. AGIBOT's perspective is that robots will not replace human workers; instead, they will take on "dirty, tedious, and dangerous" tasks, allowing humans to focus on more complex roles requiring judgement and creativity.
To facilitate this transition, AGIBOT said it is committed to retraining initiatives, ensuring that employees can adapt to new working environments where robots serve as collaborative partners rather than replacements.
Navigating regulatory landscapes
Regulatory compliance is a critical factor in the deployment of robotics in Southeast Asia. AGIBOT adheres strictly to local laws and regulations, viewing compliance not as a hindrance but as a cornerstone of its operational ethos.
Continuous investment in research and development ensures that products meet necessary safety and reliability standards. By fostering partnerships with local stakeholders, AGIBOT aims to understand and address specific regulatory environments effectively, further smoothing the path for robotic integration.
Customisation and localisation
Local adaptation is essential for the success of robotics in Southeast Asia. AGIBOT prioritises "localisation" by designing systems that accommodate regional languages, cultural nuances, and specific industry needs.
This strategy not only enhances user engagement but also embeds robotics more deeply into existing operational workflows. By collaborating closely with local clients and partners, AGIBOT can tailor its solutions to provide maximum value and relevance.
Future risks and sustainability
While the potential for robotics in everyday life is substantial, AGIBOT also acknowledges the risks associated with widespread adoption. Ensuring product reliability and scalability is of utmost importance, particularly for large-scale commercial deployment.
The company continues to invest in R&D and manufacturing excellence to maintain high operational standards. Additionally, partnering with local entities allows for effective adaptation to deployment conditions, reducing risks while ensuring efficient operations.
Looking ahead
Southeast Asia's robotics market in 2026 reflects a dynamic landscape characterised by technological advancements, strategic initiatives, and an emphasis on collaboration between humans and machines.
As industries embrace automation, the focus remains on implementing solutions that enhance productivity, ensure compliance, and address workforce concerns.
