Australia's robotics opportunity

In the years ahead, national and global trends will shape the future of Australia’s economy and society. These include climate change, an ageing population, geopolitical risks, labour market pressures and stagnant productivity. Robotics and automation technologies will be critical to Australia’s response, as well as growing our economic diversity and building a Future Made in Australia. 

Robotics and automation will transform industries and reshape work processes on a global scale, as they have already done over the preceding decades. For many years, we’ve used robots in mines, logistics and manufacturing assembly lines to complete tasks that need precision or are repetitive or dangerous. Advanced robotics are now changing how people engage with technology at work, improving workplace safety and creating new jobs. This will continue as robotics and automation technologies become more affordable, effective and common in workplaces throughout Australia.

Internationally, developing and adopting robotics and automation technologies has been critical for boosting productivity and raising the competitiveness of industries. Recent advancements in AI, component technologies and robotic design are improving the rate and benefits of development and adoption globally. This momentum is already visible in Australia’s robotics industry. Local robotics companies were worth about $18 billion in annual revenue in 2021, up from $12 billion in 2018 (Robotics Australia Group 2022).

In Australia, productivity growth has slowed to 1.2% per year in the 20 years to 2021–22 – the lowest level in 60 years (The Treasury 2023a). The Productivity Commission’s 5-yearly Productivity Inquiry Report and the Treasury’s Intergenerational Report highlight the need for investment in new technologies to improve productivity (The Treasury 2023b; Productivity Commission 2023). Automation, including robotics, is predicted to increase annual productivity growth in Australia by 50% to 150%. These technologies have the potential to add a further $170–600 billion per year to GDP by 2030 (Taylor et al. 2019). 

Australia has strong robotics expertise, renowned academic institutions and local capability in areas such as field robotics. Despite these strengths, the lack of a mature and well-coordinated supply chain for locally made solutions means we risk missing many of the opportunities these technologies present. Australia faces barriers in commercialising and scaling up our innovations, preventing us from taking full advantage of our leading research capability. These include the rationing of investment capital, high upfront costs needed to develop robotic solutions, limitations in our supply chains and our geographic isolation. Many Australian industries lag in adopting robotics technologies, which means many businesses are not tapping into the benefits these technologies can deliver.

Acting now to address these barriers will support revitalising Australia’s economy by growing national manufacturing capabilities and help to address labour and skills shortages. Robotics and automation technologies will also play a role in supporting Australia’s transition into a renewable energy superpower and net zero economy. The increased development and adoption will allow businesses to become more globally competitive, strengthen onshore supply chains and create safer work environments for Australians.

The Australian Government has already recognised the importance of revitalising sectors across our economy through critical technologies such as robotics. To support this effort, the government has the $15 billion National Reconstruction Fund (NRF). The NRF will make targeted investments to help Australia capture new, high-value market opportunities to diversify and transform our industries and strengthen our economy. A priority area for NRF investment is enabling capabilities. This concerns manufacturing technologies and products, including robotics, that support advancing Australia’s industrial capability. How companies adopt robotics and automation technologies will contribute to their competitiveness across all NRF areas.

The government is also supporting industry through the Industry Growth Program (IGP). The program assists innovative small and medium-sized enterprises (SMEs) and startups in their most challenging development phase. Finally, the Future Made in Australia agenda will support investment in modernising and digitising our industries to revitalise our advanced manufacturing base and onshore supply chains.

Building on these priorities, the National Robotics Strategy establishes a shared vision, goals and objectives for Australia, informed by extensive national consultation. The strategy shows the immense potential for Australian industries throughout the economy to benefit from robotics and automation technologies. The strategy seeks to use our strengths for Australian industries are responsibly developing and using robotics and automation technologies to strengthen competitiveness, boost productivity and support local communities.

Robotics and automation at the global frontier

Germany

Germany is one of the world’s major manufacturing powerhouses, partly because of its leadership in developing and adopting robotic and automation technologies. Germany’s manufacturing industry has been a leader in robotics and automation for decades. It has deployed more robots than any other country in Europe and is a leading innovator in developing industrial robots (IFR 2023c). This means that German manufacturers have been able to operate domestically rather than outsourcing to overseas competitors who have lower labour costs. By innovating and incorporating new technologies, Germany has improved the cost competitiveness of its manufacturing. 

Japan

Japan is a leader in robot production, producing 45% of the global supply of industrial robots (IFR 2023a). Japanese companies have been at the forefront of robotics and automation production and adoption for decades. Adopting these technologies in industrial processes has been a critical factor in Japan’s economic success. Japan is also turning to robotics and automation to address barriers posed by their rapidly ageing population. While not without its issues, efforts in nursing homes have promoted more flexible work and improved staff retention.

United States

The United States is one of the world’s top food producers and exporters and is a leader in adopting new technologies in agriculture. Robotics and automation have improved productivity in the sector, including through more reliable monitoring and management of natural resources. Greater control over production, distribution and storage has resulted in increased efficiencies, lower prices and reduced environmental impacts (United States Department of Agriculture 2023). 

China

China has been the largest industrial robot market for nearly 10 years, and in 2022 accounted for 52% of the world’s industrial robot installations (IFR 2023b). These robots, a mix of imported and locally produced technologies, are used in electronics, automotive and other manufacturing activities. This has helped China become the world’s largest manufacturer, including of electric vehicles, and address trends such as skills shortages and an ageing population.

Robotics and automation in Australia

Robotics and automation technologies have the potential to generate real social, economic and environmental benefits for Australia. We have unique advantages that will allow us to capture these benefits, such as our diverse landscape, education and training system and research capabilities. 

Australia has an emerging robotics and automation industry that is growing in size and influence. In 2018 and 2022, industry peak body Robotics Australia Group released ‘Robotics Roadmaps’ for Australia. These showed the breadth of expertise in Australia and helped raise the profile of cutting‑edge Australian capabilities.

Many Australian industries have already adopted robots to work alongside humans to create safer and more productive workplaces. Robots are used in Australian underground mines, assembly lines and in dangerous settings like emergency response operations. Increasingly, medical professionals use robots to improve diagnosis, treatment and rehabilitation, as well as accuracy and patient recovery from invasive surgeries. 

In agriculture, field robots support crop and livestock monitoring, and autonomous farming technologies increase crop yields and reduce pesticide use. The advanced manufacturing sector relies on automation to scale and export at a vastly increased level than what would otherwise be possible. Now, robotics and automation technologies are helping our nation transition to net zero, allowing us to install and maintain renewable energy infrastructure on a large scale.

Australia has strong research expertise and growing local capability to continue producing innovative robotic solutions. Field robotics is a particular opportunity for Australia. We have the research and development (R&D) expertise, local market and potential for high growth through global exports. In 2023, Australian research in robotics and related fields ranked in the top 10 countries globally for quality of research. We are 4th in additive manufacturing, 5th in data analytics and autonomous underwater vehicles, 6th in autonomous systems operation technology and 8th in advanced robotics (ASPI 2023). In addition, 3 Australian universities rank in the top 50 globally for robotics research publications (ASPI 2023). 

Growing a sustainable robotics ecosystem will depend on the success of Australia’s robotics and automation R&D and commercialising these technologies. However, researchers and startups can face barriers to commercialisation. Attracting early-stage and long-term capital are barriers because of the upfront expense of robotics and automation hardware. Australia is also not a large-scale manufacturer of many robotics components, meaning industry and developers need to import from overseas suppliers. Building Australia’s domestic manufacturing capability will help address these issues by allowing access to secure, reliable and cost-effective robotics and automation technologies.

Case study: World-leading Australian manufacturer using robotics and automation

Finisar Australia develops and manufactures optical switching technology to increase the bandwidth, connectivity and flexibility of optical fibre networks. 

Finisar’s innovative solution selects and switches light, transmitting high-speed data around the fibre network. The technology is used by multinational telecommunication companies to provide internet connectivity all over the world. Robotics and automation are essential to manufacturing this technology. Finisar uses a wide range of automation technologies, including: 

  • machine vision and robotic systems that accurately position optical components at a level of precision invisible to the human eye
  • lasers to locate components in multiple axes
  • machine learning to optimise and automatically program unique software for every unit. 

Finisar research, develop and deploy their own bespoke robotics and automation technologies from their headquarters in Sydney, where they currently employ 250 staff. This results in a product that has a competitive advantage in performance, reliability and cost and protects the company’s intellectual property. Using robotics and automation allows Finisar to perform advanced manufacturing in Australia, create jobs and open new export opportunities.

A robotic arm manufacturing optical switching technology.
A robotic arm manufacturing optical switching technology. Credit: Finisar Australia and the Department of Industry, Science and Resources.

Case study: Optimising farming through robotics

SwarmFarm Robotics uses robots to optimise agricultural processes. The company’s SwarmBot robot and SwarmConnect® developer ecosystem work together to deliver better farming systems for sustainable agricultural production. 

SwarmBot is an autonomous vehicle that can be used for tasks such as spraying, weeding and harvesting. SwarmConnect® is an agricultural ‘app store’ that lets third-party developers build applications for SwarmBot robots. The system is highly versatile and can be tailored to specific crops, farming conditions and agronomic challenges. 

SwarmFarm’s robots have already commercially farmed more than 2 million acres of farmland and reduced the amount of pesticides going into the environment by an estimated 1.8 million litres.

Two farmers standing in a field looking at a large white robot that is working autonomously on their crops.
An autonomous vehicle spraying, weeding and harvesting crops. Credit: SwarmFarm Robotics.

Case study: Australia’s prize-winning performance

CSIRO’s Robotics and Autonomous Systems Group is a world leader in researching and developing applied robotics. The group was one of 11 teams from around the world chosen to participate in the United States' Defense Advanced Research Projects Agency’s Subterranean Challenge. The challenge explored new approaches to mapping, navigating and searching underground environments.

Australian company Emesent was also part of the CSIRO challenge team. Emesent has expertise in developing autonomous and lidar mapping with drones, including in GPS-denied environments. This lets drones collect data in challenging places for the mining, geospatial, construction and engineering industries. To navigate harsh subterranean environments during the challenge, the team combined:

  • drones mounted with Emesent’s Hovermap
  • all-terrain ground robots from Australian company BIA5
  • CSIRO’s autonomy and mapping capability.

The team beat organisations such as NASA, MIT, California Institute of Technology, and Carnegie Mellon University to claim the silver medal, winning $1.3 million in prize money. 

A black autonomous robotic vehicle with tank-like treads and orange 'CSIRO' branding.
The BIA5 All Terrain robot mounted to an autonomous all-terrain vehicle that navigates and collects data in harsh environments. Credit: CSIRO.

World leading adoption of robotics and automation in Australian mining

Australia is one of the world’s biggest mineral resource producers. Estimated energy exports reached a record $459 billion in 2022–23 and mineral resources made up 69% of Australian export revenue in 2021-22 (DISR 2023a). Australia’s resources sector accounts for 14% of our GDP (Office of the Chief Economist 2022) and employs more than 300,000 people (ABS 2023).

The Australia resources industry is a world leader in using robotics and automation. Our mining industry has over 700 autonomous haulage trucks, with more in production (Mine 2022). Automating future mines will improve productivity and will help limit environmental impacts through reducing the scale of mining operations. 

Robotics and automation play a crucial role in transitioning to low-emissions technologies. Australia has abundant reserves of critical minerals, including rare earths. These are essential inputs to clean technologies such as solar panels, wind turbines and electric vehicle batteries. Australia has joined an international grouping, the Sustainable Critical Minerals Alliance. The alliance commits us to sustainability and the highest environmental, social and governance standards for the mining and processing of critical minerals. 

Many tasks can be done by automatic or remotely operated equipment such as load-haul-dump vehicles and rock breakers. Robotics and automation improve worker safety in hazardous underground environments. The Australian resources sector will continue adopting a range of robotics and automation technologies in the coming decades, including:

  • smaller cooperative autonomous vehicles
  • smarter sensors to detect and track ore
  • better use of information to manage and optimise mining operations
  • developing skills in systems integration and digital technologies for completely autonomous mines.

By 2030, adopting and integrating robotics and automation in the resources sector could add another $74 billion to the Australian economy. This will create new employment opportunities (AlphaBeta 2019) while supporting Australia’s transition to net zero.

Robotics and critical technologies

Critical technologies are current and emerging technologies that can either enhance or pose risk to our national interest. In 2023, the Australian Government released the Critical Technologies Statement and updated the List of Critical Technologies in the National Interest. The list of technologies identifies 7 key enabling technology fields that impact Australia’s national interest, including our economic prosperity, national security and social cohesion. Autonomous systems, robotics, positioning, timing and sensing is identified as one of the critical technology fields. 

Critical technologies are important enablers of robotics and automation. Intelligent robots can rely on machine learning algorithms, advanced information and communications technologies such as semiconductors and radiofrequency communications. Robotics and automation technologies are also used in developing other critical technologies. For example, manufacturing semiconductors and technology to create and store clean energy both require precise robotic equipment. 

Critical technologies in the national interest that are enabled by or used in robotics and automation

Full description follows.

Quantum technologies:
Quantum computing, communications, cryptography and sensing.

AI technologies: 
AI algorithms, machine learning, natural language processing, computer vision.

Advanced ICT:
Data analytics, high performance, computing, cyber security, optical and radiofrequency communications.

Position, timing and sensing:
Space-enabled positioning, quantum, LiDAR, thermal, chemical and other sensing.

Advanced manufacturing and materials:
High specification machining processing, coatings and composites, smart materials.

Biotechnologies:
Synthetic biology, neural engineering, vaccines, genome analysis.

Clean energy generation and storage:
Electric batteries, clean and low emission energy, photovoltaics.

Artificial intelligence and robotics

AI has revolutionised the capabilities of robots. It has helped create new types of robots that are more flexible, adaptable and intelligent. Through AI, robots have gained the ability to learn from data and experiences, adapt to changing situations and make decisions autonomously. The benefits have been far reaching, including improved navigation in dynamic and uncertain environments such as in mines, farms and disaster zones. 

Combining AI and robotics has created situationally aware robots that can perform complex tasks across domains and work safely alongside humans. AI-enabled robots can recognise objects, faces, emotions, speech and gestures and communicate with humans and other robots. They can optimise their actions, plan their goals, cooperate with others and learn from feedback. AI is also being used to develop and optimise robots, creating safer and more efficient and precise equipment.

Advances in AI have enabled entirely new classes of robots. For example, autonomous mobile robots (AMRs) use AI to make near-real-time decisions as they navigate without assistance. AMRs are being used in many domains, including healthcare. They can deliver medication, disinfect surfaces and facilitate interaction between healthcare professionals and patients that are in different physical locations.

The possible applications of robotics are rapidly expanding thanks to generative AI, deep learning, computer vision, large language models (LLMs) and other AI technologies. For example, LLMs have the potential to enhance robotics and automation technologies by improving their learning, communication and decision-making capabilities. The increasing growth in AI applications for robotics means it is increasingly important for robotics firms to invest in AI capabilities. Governments around the world have recognised this economic imperative and are investing accordingly.

Australia has unique advantages in contributing to the AI systems that will continue to revolutionise robotics into the future. Not only is Australia a leader in AI R&D, but our companies and researchers are already actively developing robotics software solutions to address problems across a range of industries. Responsibly developing and exporting secure-by-design AI products and services for robotics presents an immense opportunity for Australia. The Australian Government’s Safe and Responsible AI Agenda will ensure the design, development and deployment of AI systems in Australia in high-risk settings are safe and reliable, while the use of AI in low-risk settings can continue to be developed largely unimpeded.

Case study: Maximising the potential of robotics through AI

The University of Adelaide’s Australian Institute for Machine Learning (AIML) is Australia’s first facility dedicated to AI research and development. With more than 180 researchers, students and engineers, AIML performs detailed research on a range of topics such as machine learning, robotic vision and trusted autonomous systems.

AIML researchers have developed many computer vision systems and other AI-enabled solutions that have been deployed across various industries. These include:

  • automated loading and unloading of shipping containers
  • computer vision systems to detect material for recycling
  • systems for autonomous vehicles.

AIML’s research, when applied to industry problems, has led to increased productivity, product quality and workforce safety.

A small multi-limbed robot with propellors and visible circuitry, held in the hands of a person interacting with it.
A robot interacting with a human using camera hardware and computer algorithms to process visual data. Credit: Australian Institute for Machine Learning.

Case study: Improving quality of life with companion robots in aged care

Andromeda Robotics uses AI and robotics technologies to design robots that improve the lives of those in need, including the elderly and children in hospitals. The company has launched a pilot project testing its AI-enabled companion robot, Abi, at an aged care facility. 

Abi offers emotional support and acts as a source of entertainment, aiming to help alleviate loneliness and isolation. It uses a LLM to conduct conversations with residents at the facility, machine learning to recognise individual residents and AI to allow autonomous social interactions. Using these tools, Abi can tailor conversations based on previous interactions, and even give hugs. 

Companion robots have the potential to ease labour shortages in aged care and can contribute to improved care quality, staff efficiency and overall quality of life. Through Abi, Andromeda Robotics also hopes to inspire people to think differently about the role that technology can play in critical industries. 

Four elderly people in an aged care facility gathered around a brightly-coloured humanoid robot.
Companion robot Abi providing support at an aged care facility. Credit: Andromeda.