ROBOTICS: DAWN OFA NEW ERA IN THAILAND

Industrial Internet of

Things (IIoT)

CloudComputing

5GConnection

Artificial Intelligence

Machine Learning

Algorithms

Natural Language

Processing (NLP)

The advent of severaldisruptive technologies has dramatically transformed the growing usage of robotics today.

ROBOTICS: DAWN OFA NEW ERAIN THAILAND

Intelligent Robots have now become a major part of manufacturing processes, taking over repetitive, hazardous and tough tasks that challenge human capabilities. Recent research has shown different types of robots based on six (6) key applications, amongst which industrial robots is the most prominent:

Military Robots

Space Robots

Surgical & Medical Robots

Service Robots

Industrial Robots

Entertainment Robots

CHART I: TOP PATENT HOLDERS IN INTELLIGENT ROBOTICS*, GLOBAL,

CHART I: TOP PATENT HOLDERS IN INTELLIGENT ROBOTICS*, GLOBAL,

2012-2017Samsung

ElectronicsMicrosoft

Corp.Google Inc. iRobot Corp. IBM Corp.

908

630432 347

2456

Note: Total Patent Count includes granted patents and published applicationsSource: Frost & Sullivan (2017) 1

CHART II: ANNUAL SUPPLY OF INDUSTRIAL ROBOTS, NO. OF UNITS,

2016-2020F

ROBOT DENSITY UNVEILS HIGH POTENTIAL IN MANY ASIA PACIFIC COUNTRIES

Amidst this evolving backdrop, the demand for industrial robots has accelerated considerably due to the ongoing global trend toward automation and continued innovative technical improvements.

Asia Pacific clearly is the world's strongest growth marketas robot installations in the region were estimated tocomprise two-thirds of the worldwide capacity in 2017.

2016 2017 2018F 2019F 2020F

2,6463,000

3,5004,000

5,000

346,800 379,250 433,900 520,900

190,542230,300

256,550296,000

354,400

294,312

Global Asia Pacific Thailand

Although Thailand is lagging behind its regional peers in terms of Industrial Robot Density, (i.e. the number of multipurpose industrial robots per 10,000 employees), it has significant growth potential within Asia Pacific.

Source: International Federation of Robotics (2018)

Source: International Federation of Robotics (2018)

CHART III: TOP MARKETS IN ASIA PACIFICINDUSTRIAL ROBOT DENSITY, 2016

South Korea

Singapore

Future Growth PotentialJapan

Taiwan

China

Asia Pacific Average

Thailand

631

488303

17768

6345

2

THAI GOVERNMENT INITIATIVES TOACCELERATE DEVELOPMENT OF ROBOTICS

ROBOTICS DEVELOPMENT ROADMAP

Demand Stimulus

In August 2017, Thai Ministry of Industry approved a robotics development roadmapas the state pushes to enhance robotics as one of the S-Curve industries.

Stimulate investment in robotics and automation manufacturing to

THB 12 billion in 2018

The investment to exceedTHB 200 billion

in the next 5 years

Supply Support Technology AdvancementEnhancing the capabilities of

System Integrators (SI)

Boosting the number of SIs in Thailand from current base of

200 to reach 1,400 within 5 years

Center of Robotic Excellence (CoRE) established as a

collaborative network of eight pilot agencies*

The five year plan is set with the following targets:

Minimum 150 roboticprototypes to be developed

200 entrepreneurs to obtain technology transfer

At least 25,000 people tobe trained

BOARD OF INVESTMENT (BOI)

Participating firms enjoy a 50% reduction in corporate tax forminimum three years

SMART VISA PROGRAM

MINISTRY OF FINANCELaunched on

Deduct 300% of corporate tax for R&D expenditures

A new type of visa designed to attract foreign technology experts, senior executives, entrepreneurs and investors

Targeted towards 10 S-Curveindustries (incl. Robotics)

Full import duty waiverfor parts and equipments to manufacture robotics and automation systems

300%

50%3

years

February,2018Deduction

3

In line with Thailand 4.0 policy, a slew of measures are also in place to increaseproductivity through the use of robotics and automation systems.

*Remark: 1.) Thai-German Institute, 2.) Electrical and Electronics Institute, 3.) Institute of Field Robotics, 4.) Chulalongkorn University, 5.) King Mongkut's University of Technology North Bangkok, 6.) Mahidol University, 7.) Khon Kaen University, and 8.) Chiang Mai University.

Source: Frost & Sullivan (2017)

SIMULATION /PROGRAMMING SOFTWARE- Embedded Software - Cognitive & Monitoring

Modules

CHART IV: INDUSTRIALROBOTICSVALUE CHAIN, GLOBAL, 2017

- Force/Torque Sensors- Tactile Sensors- Obstacle Detection Sensors- Vision Sensors - End Effector Developers

SENSORS

- Intelligent Robots

ROBOTIC MANUFACTURERS

END USERS

In a recent report, Siam Commercial Bank’s Economic Intelligence Centre identified3 key success factors for Thai firms to follow in the System Integration business

Building and maintaining trust among clients by getting certified

by international bodies, such as the Control System Integrator Association

(CSIA)

Designing automation systems that suit clients’

needs

Completing projectswithin the given

timeframe

GRADUAL PROGRESS IN THAILAND’S ADOPTION OF ROBOTICS

As the Fourth Industrial Revolution gathers momentum, decision-makers in Thailand (public and private sectors) are now confronted with a new set of uncertainties. Thailand’s future potential for Robotics can be illustrated by the industry

value chain where the number of market participants in the robotic system integration space is expectedto increase in near term.

4

ACTUATORSA type of motor responsible for

converting energy into physical motion

SYSTEM INTEGRATORS (SI)Individuals/companies that analyse,

design, and install robotics automation system based on specific industrial needs

1 1

1 2 3

5

COMPANIES EMBRACING ROBOTICS IN THAILAND

Thai Beverage Group Pushingfor robots in Thailand 4.0

ABB inaugurated roboticsplant to sharpen Thailand’s

manufacturing edge Overview:ABB recently opened a new facility, ABB Robotics Machine-Tending Limited (RMT), to produce machine-tending robotics, in Rayong Province, Thailand.

Overview:ThaiBev has set up a subsidiary called BevTech to develop robots, automated production technology and machinery to support its subsidiaries.

Results:Currently about 100 robots in its warehouses and factories

Expected to ramp up to 1,000 robots in its network in the future

Results:Reduced engineering costs for local businesses

Support for production processes that need automated machine-tending

FUTURE GROWTH OPPORTUNITIESFOR MICE STAKEHOLDERS IN THAILAND

It is no surprise that several MICE events (e.g. RoboCup Asia-Pacific 2017) in the Robotics & Automation sector have recently taken place in Thailand. This emerging trend could create further demand for niche business events that focus on

innovation in areas such as Process Automation, Systems Integration and Robotics.

While the adoption of intelligent robots remains in nascent stage in Thailand, creating campaigns and awareness may significantly help build interest among organizations and user communities (both local & international). MICE stakeholders

should, therefore, target the following activities to ride the wave of Robotics-driven initiatives in Thailand.

Business Meetings

Conferences / Conventions etc.

Exhibitions / Trade-shows etc.Chart IV shows that major opportunities for

Thai Robotics businesses lie in System Integrator (SI) and end-users

Since SIs provide consultation, design, and system installation for end-users, number of business meetings between these players are forecast to rise sharply in Thailand

MICE stakeholders such as Associations should proactively reach out to Corporates (local & foreign) to take advantage of this industry trend

As Chart II and III highlights Thailand’s growth potential in adopting Robotics, more and more industry conferences and conventions are expected to take place in near term (refer to the back cover for more details)

This means MICE stakeholders such as Professional Conference Organizers (PCO) and Venues can collaborate with local think-tanks, SIs and end-users to arrange suchMICE events in Thailand

Attracted by Thai Govt.’s numerous efforts at promoting “Robotics Development Roadmap”, a higher number of exhibitions and trade-shows are forecast to be organized in future

As a result, Professional Exhibition Organizers (PEO) and Venues in Thailand should target Robotics Manufactures (see example below) to showcase their capabilities to end-users through these MICE events

CHART V: FUTURE ROBOTICS & AUTOMATION TRENDS IMPACTING THE MICE INDUSTRY

KEY TAKEAWAYS FORMICE STAKEHOLDERS IN THAILAND

Looking ahead, stakeholders linked to the MICE industry in Thailand should implement robotics and automation technologies in the coming years to improve productivity and cost-effectiveness. For example, Event Management Software can significantly help PCOs and PEOs in driving down labour costs by automating guest registration and

enabling RFID tracking. Furthermore, tedious activities such as concierge services, meeting scheduling and facilities management maybe handled even more efficiently by robots.

With this context, MICE stakeholders must seize the opportunity to collaborate with Thailand Convention andExhibition Bureau (TCEB) to establish Robotics into a competitive and viable industry in Thailand through various

MICE activities.

Real-TimeContent

Dissemination

IntelligentRFID

Tracking

AutomatedAttendee

Registration

EventManagement

Software

ConciergeServices

MeetingScheduling

FacilitiesManagement etc.

ROBOTS-ASA-SERVICE• Concierge Services• Meeting Scheduling• Database Synchronization• Security & Traffic Management• Facilities Management etc.

6

UPCOMING ROBOTICS MICE EVENTS IN THAILAND

August 2018 September 2018 October 2018

20th International Conference on Automation and Robotics

Bangkok, Thailand

ICAR2018

The 6th IEEE International Conference on Robotics,

Informatics, and Intelligence control Technology

Bangkok, Thailand

RIIT2018

CEBIT ASEANThailand 2018

Bangkok, Thailand

CEBITASEAN

© 2018 Thailand Convention & Exhibition Bureau. All rights reserved.

November 2018 November 2018 January 2019

World Robot Olympiad Thailand 2018

Chiang Mai, Thailand

WRO2018

ROBOT X at METALEX

Bangkok, Thailand

METALEX2018

International Conference on Advanced Control, Automation

and Robotics

Phuket, Thailand

ICACAR2019