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Recently, atopic dermatitis in babies has been increasing.
Literal
Recently, baby [genitive-の] atopic dermatitis [subject-が] is-increasing.
A public-health observation. アトピー性皮膚炎 ('atopic dermatitis') is a clinical compound: アトピー (atopy, loanword from 'atopic') + 性 ('-ness' suffix) + 皮膚炎 (dermatitis, 皮膚 'skin' + 炎 'inflammation'). The ~性 suffix forms abstract '-ity/-ness' nouns. 増えている ('is increasing') is the progressive of 増える ('to increase'), marking the trend as ongoing. The subject marker が treats the dermatitis as the grammatical subject. A sentence typical of parenting articles and medical news.