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By Malik Shahzad Aslam :
A growing number of Japanese companies are turning towards artificial intelligence-powered robots as the country grapples with labour shortages and intensifying global competition in advanced manufacturing technologies.
A new Reuters survey conducted by Nikkei Research revealed that nearly one-third of Japanese firms are either already using AI-driven robots or actively considering introducing them into their workplaces. The trend reflects Japan’s broader push to modernise industries and strengthen its position in the rapidly evolving global robotics market.
The survey showed that around four per cent of companies have already deployed AI-enabled robots, while another five per cent plan to introduce them in the near future. A further 25 per cent said they were evaluating the technology, indicating rising interest across major industrial sectors. However, nearly two-thirds of respondents said they currently had no plans to adopt such systems.
Japan has long been recognised as one of the world’s leading robotics powers and is home to major manufacturers including Fanuc, Yaskawa Electric and Kawasaki Heavy Industries. These companies helped establish Japan’s dominance in industrial automation through machines designed to perform repetitive factory tasks with precision and speed.
But the latest wave of AI-powered robotics represents a significant shift from traditional industrial systems. Unlike conventional robots programmed to repeat fixed routines, AI-equipped machines are increasingly capable of analysing their surroundings, making decisions independently and adapting to changing environments in real time.
Industry analysts say this evolution is becoming increasingly important as Japan faces a shrinking workforce caused by its ageing population and declining birth rate. Labour shortages have affected sectors ranging from manufacturing and logistics to healthcare and retail, forcing companies to seek automation solutions to maintain productivity.
Transportation equipment manufacturers, including automakers, emerged as the strongest supporters of AI robotics in the survey. Around 80 per cent of firms in the sector said they were already using or considering the use of AI-powered robots in their operations.
Experts believe car manufacturers are among the earliest adopters because modern vehicle production increasingly depends on advanced automation, precision engineering and smart assembly systems capable of improving efficiency while reducing labour costs.
By contrast, the wholesale sector showed little enthusiasm for the technology, with 94 per cent of respondents saying they had no intention of deploying AI robots.
Among companies already using or considering AI robotics, the majority identified manufacturing processes as the primary area of application. Around 71 per cent said the technology would mainly be used in production environments, while 19 per cent pointed to hazardous tasks where robots could reduce risks to human workers.
A smaller group, around 11 per cent, said AI robots could also be useful in customer-facing services, reflecting growing experimentation with robotic assistants in hotels, shops and public facilities.
The survey was carried out between May 1 and May 15 and involved 220 companies that responded anonymously out of nearly 500 firms approached by Nikkei Research on behalf of Reuters.
Japan’s government has repeatedly highlighted artificial intelligence and robotics as central pillars of the country’s future economic strategy. Officials view automation not only as a solution to domestic labour shortages but also as a way to maintain Japan’s competitiveness against rivals such as China and the United States, both of which are investing heavily in next-generation AI systems and robotics technologies.
Chinese manufacturers in particular have rapidly expanded their presence in the global robotics market, while American technology firms continue to dominate many areas of AI software development and machine learning systems.
Alongside questions about automation, the Reuters survey also highlighted concerns surrounding corporate financial behaviour in Japan.
Many respondents reacted cautiously to new government guidance encouraging listed companies to make more effective use of large cash reserves that have accumulated over recent years.
According to official data, Japanese companies holding capital of at least one billion yen collectively possessed cash and deposits worth around 83 trillion yen in 2024, marking a 54 per cent increase compared with a decade earlier.
Japanese regulators, including the Financial Services Agency and the Tokyo Stock Exchange, recently proposed revisions to corporate governance rules aimed at encouraging businesses to use their financial resources more efficiently to drive economic growth and investment.
However, 60 per cent of survey respondents argued that decisions regarding financial assets should remain with individual companies, while 44 per cent said policymakers should consider differences in corporate size before imposing broad governance expectations.
Some companies also defended maintaining large cash reserves, arguing that financial stability was necessary to support future wage increases and business resilience during periods of uncertainty.
The survey further revealed mixed reactions to proposed rules requiring listed firms to submit securities reports several weeks before shareholder meetings. Many respondents said meeting such deadlines would place additional administrative pressure on businesses and could require significant scheduling adjustments.
The findings illustrate the balancing act facing Japanese companies as they attempt to modernise through AI and automation while navigating economic uncertainty, rising competition and increasing pressure for corporate reform.
Despite concerns, analysts believe Japan’s long-standing expertise in robotics combined with growing investment in artificial intelligence could position the country as a major player in the next phase of global industrial transformation.
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