The United Nations Industrial Development Organization (UNIDO) has released its 2022 report on “The Future of Industrialization in a Post-Pandemic World,” describing resilience factors, types of responses, and trends of the future.
According to the recent report, the crisis has impacted supply and demand. Supply is hit by disruptions of operations, delivery, and supply chain; shortages and higher cost of inputs; shortage of cash flow and resources; and, halt of operations.
Meanwhile, demand becomes subject to change in customers’ preferences; peaks and falls of demand; and uncertainty for investments.
The organization outlines three approaches that governments and industrial firms should endeavor to follow in order to meet the impacts of the awful virus on the industry field in the future.
The first approach is the acceleration of the digitalization and automation of industrial production, enabling remote control of factories and less reliance on humans who get affected by health crises.
The second one is greening industrial production to ensure efficiency and sustainability. The third approach is global economic power shifts.
The report also expects that Asia will become a dominant hub of industrial production, and the giant country China will count more knowledge turning into a high-income economy.