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Pearl Briefing | Risk and reward in running the delta's factories with robots

Machines are helping factories cut labour costs amid manpower shortage

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Local governments in the manufacturing hub of Guangdong hope robots can help the cities withstand the double challenges of rising labour costs and a worsening manpower shortage.

As artificial intelligence experts debate whether robots will be an economic boon or a social threat, several cities in the Pearl River Delta have taken a leap by launching government-backed AI programmes.

Nearly 2,000 analysts surveyed by the US-based Pew Research Centre are split about the role of robots in society in the coming decade, with 52 per cent optimistic about the future, believing more jobs would be created than taken away by the technology. The rest worry about a possible breakdown in social order if robots replace human workers in a range of industries all at once.

But local governments in the manufacturing hub of Guangdong hope robots can help the cities withstand the double challenges of rising labour costs and a worsening manpower shortage, local media reported.

Officials also hope rising demand for robots can help turn the previous global factory for shoes, bags and toys into a production base for high-end electronic equipment, including robots and wearable devices.

The Yangcheng Evening News reported last month robots were cutting the number of workers by two-thirds in some companies, taking up jobs including welding, which can be dangerous activities for humans.

Hong Kong-headquartered manufacturer Jiali Group is one company going down the robot road. It decided to stay in Dongguan after investing 50 million yuan (HK$62.8 million) to bring 200 robots onto production lines. But many others are moving their factories out of the delta region.

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