From Nikkei Asia, March 25:
Demand for automation fueled by increased local manufacturing and e-commerce sales
Automated logistics and industrial equipment companies from China are betting on the U.S. market for growth, fueled by booming e-commerce sales and U.S. President Donald Trump's push to boost domestic manufacturing.
Among the companies looking to expand their U.S. operations is logistics robot firm BlueSword, which said it is aiming to grow the country's share of overall sales with its new automation system. Logistics robots are used for transportation, handling and sorting goods in warehouses, and supply chain management.
"The demand for robotics is huge," said Joseph Wang, BlueSword's vice president of solution planning. Wang added that expansion was mostly driven by increased manufacturing in the U.S. and e-commerce sales. "We understand that the robotics industry is reaching a new peak demand in the United States."
BlueSword was one of some 120 Chinese firms participating in this year's ProMat, a biennial manufacturing and supply chain trade show held in Chicago. That figure has more than doubled since the last time the show was held.
As Trump imposes tariffs to protect U.S.-based industries as part of his domestic reindustrialization push, foreign and domestic companies have in recent months announced investments to build manufacturing plants in the U.S. Government grants put in place under previous President Joe Biden have also helped, with a slew of new electric vehicle battery and semiconductor chip plants expected to open in the next few years.
But the flurry of tariff announcements and constant speculation on whether duties will go into effect has added to uncertainty, business executives say.
A KPMG survey last October found that 76% of U.S.-based executives are moving supply chains to the U.S. immediately or in the short term in response to geopolitical and economic uncertainty.
China's Siasun Robotics, which works with automakers Ford and Toyota Motor, said it has been approached by existing and new customers to discuss purchasing more industrial robotic machinery in recent months.
Chinese industrial robotic companies said that, while onshoring has spurred demand for their products in the U.S., tariffs are also impacting their business and profit margins.
Many logistics robots are manufactured in China and exported to the U.S. Some firms have begun exploring setting up factories to produce robots locally but are concerned about the high costs....
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