U.S. Auto Industry Drives Robotics Demand, but Potential Grows

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Written by Will Ploch, Assistant Editor-in-Chief for IIR News Intelligence (Sugar Land, Texas)

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Summary

While the automotive industry is driving much of the adoption of robots and robotic technology at U.S.-based industrial facilities, the International Federation of Robotics expects more broad-based demand with emerge in 2026.

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Auto Industry in the Robotics Driver's Seat

The rapidly growing adoption of artificial intelligence (AI) is leading to a surge in industrial robot installations at manufacturing facilities across the U.S. and other developed nations. According to a recent report from the International Federation of Robotics (IFR), the world saw 15% growth in such installations in 2025; while Asia accounted for most of this trend, the U.S. alone reported 11% growth.

Industrial Info Resources is tracking more than $20 billion worth of active and proposed projects across the U.S. aimed at producing robots and robotic equipment, the bulk of which is geared toward the automotive industry.

According to Industrial Info Resources data, Tesla Incorporated outpaces other robotics producers by far, with an industrial robots manufacturing plant in Austin, Texas, under construction since November. The company aims to develop its fourth-generation Optimus robot at its plant, and it already is weighing a proposed second-phase expansion that eventually could take production up to 10 million units per year.

The robot plant is located near Tesla's Giga Texas Factory, where the company produces its Cybertruck, Model Y SUV and "Cybercab" robot taxi. Industrial Info Resources offers more information on Tesla's development in its Global Market Intelligence (GMI) Industrial Manufacturing Plant and Project databases, where readers can find details--including construction schedules, investment values and necessary equipment--in a profiles of the robot plant and Giga Texas Factory, and reports on the robot plant's ongoing initial phase and proposed second phase.

Tesla also is preparing to upgrade production lines at its vehicle-assembly plant in Fremont, California, to produce up to 1 million third-generation Optimus robots. The new production lines will replace those used for Tesla's Model S and Model X cars, which the company is phasing out. Readers can learn more from a plant profile and project report.

The automotive industry is "the main pillar of U.S. robot demand," according to the IFR. Other companies with projects in the works include Hyundai Motor Group, whose subsidiary Boston Dynamics Incorporated is proposing a renovation of its robot plant in Waltham, Massachusetts. Hyundai, which completed its full acquisition of Boston Dynamics earlier this year, hopes to boost production of the Spot and Stretch robot models, as well as the new Atlas model. Readers can consult a plant profile and project report.

"This next-generation Atlas represents a tangible step toward the commercialization of AI robotics, highlighting the [Hyundai] Group's commitment to building safe and adaptable robotic co-workers," Boston Dynamics said in a press release.

By the Numbers

• More than $20 billion: Total value of active and proposed U.S.-based projects aimed at producing robots and robotic equipment
• 10 million units per year: Tesla's long-term goal for its fourth-generation Optimus robot production in Texas
• 1 million units per year: Tesla's expected production of its third-generation Optimus robots in California

A Wider Range of Opportunities on the Horizon

Michigan, best known as a hub for the global automaking, has emerged as a hotspot for proposed general-purpose robotics development.

JR Automation Technologies, a subsidiary of Hitachi Limited, started construction last year on a robotics integration facility in Zeeland, Michigan, which is about 20 miles southwest of Grand Rapids near the shore of Lake Michigan. While the automotive industry is expected to be a major customer, the plant also will cater to needs in the medical and e-commerce fields.

"The move comes as JR Automation continues to grow its global footprint through the acquisition of MA micro automation in Europe and an expansion in Singapore," Hitachi said in a press release. "The new headquarters will feature modern spaces for collaboration with global customers and demonstrations of the latest automation technologies." Readers can learn more from a plant profile and project report.

Other robotics producers hoping to develop projects in Michigan include Fanuc Robotics America and Teradyne Incorporated, both of which aim to serve heavy-duty industrial companies. Fanuc is looking into a proposed factory in Pontiac, while Teradyne hopes to produce its MiR brand of autonomous mobile robots at a proposed factory in Wixom. Readers can learn more from detailed reports on the Pontiac and Wixom projects.

The Industrial Info Resources GMI Project and Plant databases offer a full list of detailed reports for projects mentioned in this article, and a full list of related plant profiles.

Industrial Info Resources also offers a full list of reports for active and proposed projects across the U.S. aimed at producing robots and robotic equipment.

The winds may be shifting in U.S.-based robotics, however. The IFR expects more broad-based domestic demand for robotics will begin to outpace that of the automotive industry in 2026.

Key Takeaways

• The U.S. and other developed nations are seeing a surge in industrial robot installations at manufacturing facilities.
• The automotive industry is "the main pillar of U.S. robot demand," according to the IFR...
• But 2026 could see more broad-based U.S. demand for robotics, outpacing that of the automotive industry.

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About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news, and analysis on the industrial process, manufacturing, and energy-related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified, and verified plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 trillion (USD).