China's manufacturing industry lifted the robot revolution or will affect the global economic landscape

Update:23-08-2017
Summary:

China is about to usher in a robot-led revolution, whic […]

China is about to usher in a robot-led revolution, which is likely to have a profound impact on the global economic landscape.

China's demand for robots has increased dramatically. According to the International Federation of Robotics, shipments shipped to China jumped 27 percent to 90,000 last year, creating a single country record, accounting for nearly three-thirds of the world's total one. The federation is expected to nearly double by 2019 by 2019.

"China is the world's largest robot market and the fastest growing market in the world," said Joe Gemma, chairman of the International Robotics Federation (IFR). "In terms of annual sales, China is the world's largest robot market and is so active in such a short period of time. In any other market have not seen. "

Consulting firm IDC recently mentioned in the report, China's consumption of robots and related services is expected to reach $ 74 billion in 2021, which represents the Asia-Pacific region in the next five years the total expenditure of 45.7%.

The robot is an important part of the Chinese government's "Made in China 2025". National President Xi Jinping has said that the robot revolution is expected to become the third industrial revolution entry point and an important growth point, will affect the global manufacturing industry, China will become the world's largest robot market. Gradual replacement of the assembly line can also help to solve the problem of declining population age.

However, automation may also bring some drawbacks. The US media quoted economists as saying that automation could increase productivity and increase export competitiveness, but would also increase domestic income inequality and threaten consumption, which could spill over to other countries. With the increase in supply and consumption, the risk of automation has exacerbated the dependence of China's economic growth on exports, which threatens a more balanced domestic economy and global economy.

Surprisingly, the rapid introduction of robots did not prevent Chinese workers' wages from climbing.

China's household financial survey data show that from 2010 to 2014, with high school education in the domestic manufacturing workers wages rose by 53%.

Since China's accession to the WTO, China's wage level has exploded. Euromonitor data at the beginning of the year showed that the average hourly rate of Chinese manufacturing rose from $ 1.2 to $ 3.6 per hour over the past decade, higher than any Latin American country except Chile, About 70% of the level, is rapidly catching up with Greece and Portugal.

The results of the China Enterprise-Employee Matching Survey (CEES) show that manufacturing firms are using automation technology, investing in R & D and adding higher value-added products, given that real payroll has more than doubled over the past 10 years.

The Pearl River Delta region is particularly evident in the wave of automation. According to Standard Chartered Bank survey, the Pearl River Delta factories continue to complain that labor costs rise too fast, there are still less than the situation of workers. Among the PRD manufacturers who are preparing to increase their capital spending, 68% said automation is the recipe for manufacturing to cope with wage pressures. Investing in automation and robots can make output efficiency quicker. This will promote industrial upgrading and reinvestment, making the economy more powerful.

Despite advances in robot technology, the cost of fully automated production lines is still relatively expensive and difficult to adjust. Therefore, in addition to the high output of the automotive and electronics industries, China's large-scale use of robots is relatively rare.