China’s manual labor force is rapidly declining as the population ages and more people go to school. That trend, and government programs, are pushing up wages. In order to remain competitive, the country is going to have to invest an incredible amount in modernizing its industries.
The size of China, and the fact that it is only now beginning to ramp up its transformation means that there is enormous room for growth.
The great infrastructure boom in China might be slowing, but the automation boom is just starting.