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Editorial from the April 2006 issue of Managing Automation

Automation on the Rise in China

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Abstract:While some companies are outsourcing to China to cash in on labor savings, others are there for the long haul, and they have made automation a priority.

China may be the low-wage manufacturing capital of the world, but not every company comes here to save money on labor.

Instead, as China develops its own economy, companies are opening plants here to be close to customers, to be close to raw materials, and for other strategic reasons.

Clariant, for example, a leading specialty chemicals company, is close to finishing construction on a state-of-the-art pigments plant in Hangzhou, about three hours from Shanghai.

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