By: Dan Brew, Jargon Group Cardiff
Wales may be a small nation but when it comes to manufacturing it is leading the way. For centuries, Wales has had a proud history of manufacturing, from the development of the first ball bearing to Port Talbot producing the lion's share of UK domestic virgin steel.
However, a shift is taking place as the more carbon-intensive industries face a decline due to economic and environmental factors. With challenge comes opportunity and Wales is already taking centre stage as a leader in high-value manufacturing.
Pocket-sized computers, high-definition cameras and engines
Pencoed, the home of Sony’s UK Technology Centre recently celebrated the production of 50 million Raspberry Pi units, with a visit from HM The King, who has revealed that he encouraged Sony to open a factory in Wales while on a trip to Japan. The factory also produces 4k cameras and is the only site for the business outside of Japan to do so, it’s an excellent example of the world-class manufacturing taking place within Wales that so often goes unnoticed.
Wales is also home to many other examples of high-value manufacturing including the compound semiconductor cluster, where research institutions and manufacturers have successfully joined forces. Compound semiconductors are essential for 5G, AI and IoT, so the nation is helping to power the next generation of technologies by being at the cutting edge of manufacturing.
In addition, Airbus has a global centre of excellence for manufacturing in Broughton and Toyota produces engines at its Deeside facility. Welsh manufacturing is a truly global affair with companies establishing operations in Wales and Welsh manufacturing exports in demand internationally, a jewel in the crown of its economy.
What’s next for manufacturing in Wales
The manufacturing sector employs a not insignificant 150,000 people and many more work in the supply chain, it also contributes around 16% to the national economic output of Wales, significantly higher than the UK average (Welsh Government statistics). If these figures are anything to go by then Wales is well placed to take advantage of future innovations in the manufacturing space from an already strong starting position.
With a new government in Westminster, there’s also the possibility of more investment flowing into Wales in the years to come. Technologies such as robotics, AR, AI and digital twins backed by both public and private sector funding could make a real difference to the sector and could afford manufacturers new growth opportunities. In a recent report by industry body Make UK, the United Kingdom has fallen out of the top ten global manufacturing nations indicating the need for a more cohesive industrial strategy and greater funding for the sector to boost growth.
In a country where the signs of deindustrialisation can sometimes be so apparent, manufacturing has created many opportunities and has created glimmers of light as Wales navigates a new economic future.