Kuka Robots Invade China as Wage Gains Put Machines Over Workers

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Kuka AG, Europe’s largest maker of industrial robots, is creating a regional hub in China to tap surging sales in the world’s most populous country, where rising wages are lifting demand for automated factory gear.

The German company will boost assembly capacity in China to 5,000 units this year, from less than 1,000 two years ago, Chief Executive Officer Till Reuter said. China will become a center for procurement, production of components and assembly for the entire Asian region, while research, development, and most production will remain in Germany, he said.