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China increases factory automation in response to manufacturing returning to US

Two years ago, Foxconn announced that it would be phasing in up to 3 million industrial robots in an effort to reduce its labor costs. In the last year, it has started this process.

Foxconn has managed to deploy significant numbers of its new robotic workers. Over the course of last year, Foxconn managed to install 30,000-50,000 new robots in its factories, and is aiming for 300,000 more by 2014.

Because of the changing economy in China, and the fall in price for automation technology, American companies have been “reshoring” their production back the the United States. However, with Chinese companies also investing in automation technology, China may mitigate prohibitive labor costs.


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