Japan’s factory automation sector: Poised for a significant upturn?
Against a backdrop of rising wages, labor shortages, and increased reshoring, the benefits of automation in the manufacturing sector have never been more apparent. Despite this growing necessity, many manufacturers have continued to postpone placing new orders for automation equipment in an environment of uncertainty fueled by geopolitics, the upcoming US election, ongoing concerns about a slowdown in China, and high interest rates.
But I believe we’re now on the verge of a multiyear cyclical upturn in the factory automation sector. In particular, with a strong global share in key segments of the market, including industrial robots and machine vision, I see a compelling outlook ahead for select Japanese players in this sector, as outlined below.
