Over the years, the production base of semiconductors has shifted from the developed countries in North America and Europe to the emerging markets of Asia Pacific and Lamarket in America. Low labour costs and unsaturated markets combined with steady economic recovery have made Asia Pacific an attractive location for semiconductor manufacturers. With some of the world fastest growing economies such as China and India belonging to this region, Asia Pacific is expected to exhibit accelerated growth in demand for electronic components and applications.
Japan is the one of the oldest and most advanced markets for semiconductors in the world. However, its supremacy in the industry has been challenged by several other Asian countries, which have received excellent government support in terms of policy. As Asia Pacific continues to outperform the global automation and electronics industry, Japan needs to implement effective policies to make the most of its technical and infrastructure resources, and compete with alternative locations such as China, India, and Taiwan.
Japan saw its stranglehold on the semiconductor industry ease in the last decade. After the asset collapse in the early 1990s, the Japanese semiconductors industry did not witness much expansion or huge investments. However, increased consumer spending and an upbeat business sector have aided the resurgent economy. The country is also expected to experience a shift in demographic pattern and this could have a positive effect on most economic variables. Robotics could play a vital role in future, given the rapidly ageing population.
