What is the difference between Industrial Design and Product Design?

I would argue : no, or hardly at all.

I would say that the differences have all but disappeared, perhaps with two exceptions:

• When Product Design (PD) refers to purely digital products that have purposes independent of physical products. Even system engineers can become product designers in this case. When an Industrial Design (ID) project includes digital systems, these are part of a wider system or experience that also comprises physical products (as opposed to ‘digital-only’ products).
• Transportation, Automotive or Vehicle Design fall under the realm of ID, not PD.  However they would usually be referred to directly as Automotive, Transportation or Vehicle Design.  Except, surprisingly, when it comes to the design of automotive machinery such as forklifts, street cleaning vehicles or agricultural or construction equipment.  Somehow, their added function makes them ‘industrial’ rather than ‘automotive’.

Product and industrial designers sometimes claim they just ‘know’ which is what. There are some other very vague notions that are cited as differences between the two design denominations, with very little substance. Here are a few examples:

• That somehow ID is more systems-oriented and involves more elements of a wider context. However today product designers include these notions by default to create complete experiences. The idea that PD focuses to a greater extent on a single product is antiquated.
• The concept that ID applies to things that are industrially produced is not helpful either. How are (non-digital) products produced, if not industrially?  The irony is that, as an industrial designer often working within architectural contexts, some elements I have designed were fabricated in short batches in workshops that I wouldn’t quite describe as ‘industrial’, rather more as skilled craft using some machinery.
• The idea that industrial design is somehow more technical and product design is an artsy skinning of a functional mechanism would be insulting to product designers and a recipe for bad design. I have even seen an article by a career guide saying “product design doesn’t require manufacturing knowledge or an understanding of how to produce CAD drawings”. If you’re an aspiring product designer, do not follow this advice.
• Others claim on the contrary that product designers are the ones that should know about manufacturability and Industrial designers should stick to form and function.

It is quite amusing to see how confused AI searchbots get when asked about the difference between the two. Perhaps this is not surprising, as AI searchbots are a reflection of what is out there on the web.

All this would not be of great importance if it wasn’t for academic institutions having to use clear definitions to describe their offerings, which can affect people’s career choices.  The areas of Industrial and Product Design are an evolving picture and I hope academia will help us see clearer into the related terminology.