Chart of the Week: Robot nation

We are in the midst of a technological revolution where the capabilities of artificial intelligence (AI) are increasing at an astonishing rate; and where, in some specific circumstances, AI’s decision-making capabilities now surpass those of humans. This leaves society with a choice — should we opt for a path where AI is used as a means to enhance the productivity of traditional (i.e., human) labour, or should we use it to boost the productivity of artificial (i.e., robot) labour, potentially reducing the link between demographics and economic potential? If we opt for the latter route (i.e., ‘robotisation’), then Japan — the world’s largest exporter of industrial robots — appears well-placed to take advantage. Data from the Japan Robot Association show that annual production rose to an all-time high in 2021, with annual production exceeding 230,000 units. A substantial proportion of this output is exported around the world, with China now the largest customer — perhaps reflecting an awareness from the PRC’s policymakers that the nation’s demographic dividend is coming to an end.

Refresh this chart in your browser | Edit the chart in Datastream

Join a growing community of asset managers and stay up to date with the latest research from Refinitiv and partners to help you inform your investment decisions. Follow our Asset Management LinkedIn showcase page.