When Foreign labor isn't cheap enough, automate!

China labor unrest to speed up automation trend


Confronted with rising wages and a shortage of labor, a supplier of car body frames to Honda Motor Co. last month earmarked the equivalent of a half year's profit to triple the number of robots at its three Chinese plants.

The $22 million investment by Japan-based H-One is part of a push to automate factories across China that is expected to gather pace in the wake of the recent burst of strikes and expected appreciation of the yuan.

"The automation equipment industry is growing very, very fast. Sensors, frequency converters, conveyor belts, pneumatic systems, power tools -- you name it," said Raymond Tsang, head of consultancy Bain & Co.'s Greater China industrial practice.

"We're seeing anywhere between 20 to 30 percent growth in those sectors year over year."

The series of high-profile strikes in recent months has affected mostly Japanese-owned auto and parts factories including Honda and Toyota Motor Co. in southern China. It has put a spotlight on growing unrest among China's massive migrant worker population wanting a greater share of the country's growing wealth.






http://www.autonews.com/apps/pbcs.dll/article?AID=/20100628/GLOBAL03/306289925/1131#ixzz0sFOJyDnB

those job sectors most affected must be incredibly miserable to work in.

by the members here. As long as they can get it cheap, it doesn't matter. And if automation takes away jobs, oh well.


I guess World Cup is brain food to some.