Global Credit Research (17.05.2017) The accelerating adoption of robotics in manufacturing in some of the worlds' more advanced economies could pose challenges to emerging market exporters that have benefited from their comparative advantage of lower cost, high skilled labor, says Moody's Investors Service in a report.
The US (Aaa stable), Germany (Aaa stable), Japan (A1 stable), Korea (Aa2 stable) and China (Aa3 negative) account for about 75% of spending on global industrial robotics worldwide. In these five countries, the use of robotics could even bring back some of the processes that have been offshored to lower labor cost destinations.
Robotics technology is most commonly used in the highly globalized automotive and electronics industries, and the five main nations that are adopting it are also key trade nodes in their respective regions. This implies that while the adoption of robotics is currently concentrated in only a few countries, it will have implications beyond their borders. In particular, the countries that are linked to them through trade and manufacturing supply chains will be impacted. These include emerging markets economies, such as Czech Republic (A1 stable), Hungary (Baa3 stable), and Slovenia (Baa3 positive) in Central and Eastern Europe, as well as Malaysia (A3 stable) and Thailand (Baa1 stable) in Asia.