In recent years, the manufacturing industry in Southeast Asia has risen rapidly. With the transfer of a large number of factories, will Southeast Asia become the next stop for Chinese automation manufacturers? Since China became the largest market for industrial robots, "machine replacement" has been in full swing in China, and the force is gradually spreading to countries in Southeast Asia, which is expected to see a robot boom in the next five years.
Informationization technology is having a huge impact on traditional industries. The human labor production mode has become obsolete. The new generation of factories adopts advanced robot automation technology. Nowadays, only considering the improvement of production efficiency is far from enough. The market demand is changeable. How to respond to the market quickly and find the demand accurately is the correct direction for the development of modern manufacturing industry.
Industrial 4.0 mode is to set up a set of information physical system, through the Internet of things technology production equipment, products, users and management personnel, huge amounts of data collected from the production process, using big data technology insight into market demand, give managers the best decision-making, analysis and improve the efficiency of the machine, led products from design, production to use to get the most reasonable.
In the trend of the Internet of Everything, all machines need to be connected to the network, which means activating the industrial Ethernet switch market. Industrial automation products have been based on foreign brands, after years of development, the domestic industrial Ethernet switch has also formed some powerful enterprises, such as Sanwang, Dongtu, etc. The main advantage of domestic brands lies in the cost performance. At present, Sanwang has launched ten-megabit industrial Ethernet switches, designed special products for electric power and rail transit, and developed industrial Ethernet modes for the majority of IoT product manufacturers.
According to an insider of Sanwang, the competition in China's automation market is becoming increasingly fierce, and the company is actively expanding overseas, especially in Southeast Asia. Currently, Sanwang's sales in Southeast Asia account for about 17 percent of its total sales, and are expected to continue to grow in the coming years. In recent years, the manufacturing industry in Southeast Asia has risen rapidly. With the transfer of a large number of factories, will Southeast Asia become the next stop for Chinese automation manufacturers?
Manufacturing is shifting to Southeast Asia
For manufacturing, Southeast Asia's abundant, young workforce, with skilled and low-cost workers, is the biggest draw. The Blue Book of Made in China 2025 said the global manufacturing layout is gradually adjusting and is shifting to lower-cost regions such as Southeast Asia, South Asia and Africa.
Society is advancing, and human beings cannot stop the trend of rising labor costs. The United States seems to be aware of the serious consequences of deindustrialization, hoping to attract manufacturing industry back through policies, and invest heavily in automated production technology, in an attempt to use advanced production technology to win new competitiveness. China is also facing the trend of rising labor costs. Is the global manufacturing shift to Southeast Asia forced by the situation?
Under the pressure of cost, some transnational manufacturing industries are returning to developed countries. On the other hand, global manufacturing industries are moving to Southeast Asia, Africa and other regions. SAIC also teamed up with GM last year to build a $700m factory in Indonesia, and Geely bought Proton, Malaysia's second-biggest car brand. The shift in manufacturing means a shift in the market, and some manufacturers are beginning to notice these changes.