The Diffusion of Automation Technology in Global Supply Chains and Its Heterogeneous Effects on the Labor Market

Abstract

The rapid proliferation of automation technology has ushered in a transformative era for the global workforce, with profound implications for the Chinese labor market. This research paper offers a comprehensive analysis of the diffusion of automation technology within global supply chains and its multifaceted impact on China’s workforce. As automation reshapes industries, job roles, and skills demands, this study navigates the complexities of China’s evolving labor landscape. We explore the heterogeneity of automation effects across industries, regions, and skill levels, shedding light on the challenges and opportunities faced by Chinese workers. Additionally, we present forward-looking policy recommendations and research directions to help stakeholders effectively navigate the automation revolution.