Upgrading the Workshop of the World: Can Automation Spur Economic Development in China?

In Dongguan, the ‘Replacing Humans with Robots’ initiative is an example of how China hopes to upgrade industrial performance via automation. China’s hope is to move its manufacturing sector up the global value chain. Results have been mixed, with some firms improving profits and productivity but leaving workers feeling disposable and in need of high-tech skills training, despite enjoying safer working environments. To succeed, China must hurry to address the growing skilled labor gap while also expanding the domestic market for Chinese brands and encouraging branding and design – practices which add significant product value.