US companies put record number of robots to work in 2018

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Association says shipments increased in most sectors tracked, as automation is moving into warehouses and small factories

28 February 2019 - 23:41US companies installed more robots last year than ever before, as cheaper and more flexible machines put them within reach of businesses of all sizes and in more corners of the economy beyond their traditional foothold in car plants.

Shipments increased in every sector the group tracks, except automotive, where carmakers cut back after finishing a major round of tooling up for new truck models. Pressure to automate is growing as companies seek to cut labour costs in a tight job market. Many companies that are considering bringing work back from overseas in response to the Trump administration’s trade wars may find automation the best way to stay competitive, even with higher-cost US workers.

“We had three propane, 5,000-pound forklifts,” said Ken Hahn, the company’s president. “We’ve eliminated those.” Hahn’s robot cost $40,000, about twice that of the cheapest option he considered, but far below the $125,000 machines also on offer.

 

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