• Invest $150 million to strengthen ABB’s leading position in China, the world’s largest robotics market

8440-3003 The new facility is expected to be operational in early 2021, using state-of-the-art automated and digital manufacturing processes

ABB today announced that it has officially broken ground on a new robotics factory and R&D facility in Shanghai, China. The plant is expected to be operational in 2021 with a total investment of $150 million (about 1 billion yuan).

ABB Robotics Shanghai new factory groundbreaking ceremony

8440-3003 Located in Kangqiao, Shanghai, the new 67,000 square meter facility will employ advanced manufacturing processes including machine learning, digitalization and collaboration solutions, aiming to make it the most advanced, flexible and automated factory in the global robotics industry – a cutting-edge center for using robots to make robots. The new facility will also house a strong research and development center to help accelerate innovation in the field of artificial intelligence. The R&D center will adopt an open innovation model, and ABB will work closely with customers to develop automation solutions that meet their individual and customized needs.

8440-3003 ABB Robotics solutions serve a diverse customer base in Asia, supporting automotive manufacturers, particularly electric vehicles, as well as manufacturers in the electronics, food and beverage, pharmaceutical, logistics automation and general industries. ABB expects global robot sales to grow from $80 billion today to $130 billion by 2025. China is the world’s largest robot market, with one-third of the world’s robots sold there in 2017.

Peter Voser, Chairman and CEO of ABB, said: “Since announcing the new plant project in October last year, we have received strong support from the local government. The project was included in the top 10 projects of the 2019 Made in Shanghai program, which is a great honor for ABB. The new plant is an important milestone for ABB in China and will further strengthen our leading position in the world’s largest robotics market.”

8440-3003 From left to right: Peter Fu, Chairman and CEO of ABB Group; Gu Chunyuan, President of ABB Asia, Middle East and Africa; An Shiming, President of ABB Robotics and Discrete Automation; Li Gang, President of ABB Robotics and Discrete Automation in China

From left to right: Peter Fu, Chairman and CEO of ABB Group; Gu Chunyuan, President of ABB Asia, Middle East and Africa; An Shiming, President of ABB Robotics and Discrete Automation; Li Gang, President of ABB Robotics and Discrete Automation in China

The groundbreaking ceremony was attended by representatives of the Shanghai Municipal Government, ABB customers, suppliers, partners and ABB Group management.

Digital factory of the future

8440-3003 Highly automated new factories will be based on interconnected islands of automation rather than fixed assembly lines, with robots able to move from one workstation to another, offering a higher level of customization and greater flexibility than traditional linear production systems. Automated guided vehicles will be able to supply parts for robot production in a timely manner, while the latest collaboration technology will ensure that humans and robots can work together safely in close proximity, bringing greater flexibility and agility to the production process, fully combining the advantages of robots with the outstanding work ability of employees.

8440-3003 The new facility will be a complete digital manufacturing ecosystem with digital twins enabling managers, engineers, operators and maintenance teams to benefit from data insights and machine learning to improve performance and maximize productivity. ABB will utilize a machine learning-based system to check robotic assembly work to ensure the highest quality standards are met.

“As a leader in China’s industrial robot market, we are proud to help the Chinese industry continue to strengthen its manufacturing strength.” While we face market challenges in the short term, China’s position as the world’s manufacturing hub, its shift to mass customization, and its growing shortage of skilled labor will drive a strong and enduring demand for automation solutions.” Sami Atiya, president of ABB’s Robotics and Discrete Automation division, said: “We expect to 8440-3003 double the breadth and depth of our robotics product line over the next few years. This means that we need factories that can produce more types of robots and can effectively scale up capacity to adapt to changing market conditions and technology trends.”

ABB Robotics currently has three factories around the world: the new Shanghai plant will replace the existing Shanghai plant to serve customers in Asia, the Vasteros plant in Sweden to serve customers in Europe, and the Auburn Hills plant in Michigan, USA to serve customers in the Americas.

China is ABB’s second largest market in the world, and ABB conducts a full range of business activities in China, including research and development, manufacturing, sales and engineering services, with 44 local companies and nearly 20,000 employees in 131 cities. ABB Robotics has more than 2,000 engineers, technical experts and operations staff in 20 cities in China. Since 1992, ABB has invested more than $2.4 billion in China.