Market Trends of China AMH Industry
This section covers the major market trends shaping the China Automated Material Handling Market according to our research experts:
AGV to Register Highest CAGR
- AGVs in China are being used across automotive, food and beverage, pharmaceutical, retail, electronics, and manufacturing industries. The automotive and general manufacturing industry in China is expected to gain traction in the future, owing to industrial developments with IoT as a mediator.
- Several government initiatives support the change; for example, Made in China 2025 (China) was introduced to promote the future of productivity and growth in manufacturing industries. Due to these strategies, the Chinese Central Government expects China’s automobile output to reach 30 million units by 2020 and 35 million by 2025.
- In addition, the IoT has ramped up logistics into high gear in China, which has encouraged sales of various retail and e-commerce companies. Billions of connected objects have the potential to support direct customer interaction and automate sales and ordering processes.
- Hence, several leading players are offerings advanced AGVs for the market. For instance, in December 2020, Toyota Forklift has unveiled two new autonomous warehouse vehicles, developed in partnership with Bastian Solutions, a Toyota Advanced Logistics company.
Understand The Key Trends Shaping This Market
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General Manufacturing is expected to hold the highest growth rate
- Manufacturing is one of the pillars of the Chinese economy and is undergoing a rapid transformation. It is reported that low-end manufacturing firms are moving to Southeast Asia to cut costs, which include automotive and electronics manufacturing companies. It is estimated that the automotive industry will expand by 6-7% annually in the next five years.
- China is the world's largest manufacturing economy and is also considered to be one of the most competitive nations globally. The effort to maintain its core low-cost production base and cost advantage without compromising on building complex capabilities is contributing to the success of the economy. Manufacturing is one of the prominent features of China's economy, and it is undergoing a rapid transformation. This large-scale transformation has aided the country in being a leading nation in the manufacturing market globally.
- According to the National Development and Reform Commission (NDRC), China's investment in the high-tech manufacturing industry expanded by 12% year-on-year in FY 2020.
- Moreover, According to the Ministry of Industry and Information Technology, China added more than 100 smart manufacturing pilot projects till 2020. As per the 13th Five-Year Plan of Smart Manufacturing, China aims to establish its intelligent manufacturing system and transform key industries by 2025.
