Los Angeles, United States, October 9, 2018/QY Research, Inc.

 

According to the German “Focus” weekly report, German companies have withdrawn from China in batches for a variety of reasons. One of the important reasons is that the robot revolution has changed people’s ideas and reduced the German companies’ yearning for China.

China has been an ideal country for large-scale Concepcion for many years: huge markets and cheap labor are particularly attractive. However, the constant shackles of political and official institutions and the Sino-US trade war have gradually fainted China’s light. The heavy debt of Chinese private companies has brought potential risks to the Chinese economy. In particular, another trend has begun to change people’s minds that robots are cheaper than Chinese workers, and they can stay in Germany. As a result, compared with the beginning of the new millennium, the number of German companies that are now shifting production abroad has decreased significantly, and more and more German companies have begun to withdraw from Asia or Eastern Europe. Among them, well-known German enterprises returning home: Marklin, Adidas, Bosch and Ji Yiga. Enterprises that have long been actively promoting digitalization are clearly at the forefront of returnees.

The ratio of robots to employed people in Germany is 31:1000, and the density of robots ranks third in the world. Economists have found that the more robots used in industrial countries, the fewer factories move abroad, and the more likely it is to move production back to the country. Take the United States as a comparison: the United States has a robot density of only 19:1000, ranking seventh in the world. Returning to the US is much less than returning to Germany.

 

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