Industry 4.0 for Inclusive Development

The use of industry 4.0 technologies in manufacturing can increase productivity and reduce the environmental impact of industrialization and may create rather than replace jobs. At the same time, most firms in developing countries are not ready to use such technologies; most continue to use analog technologies in production processes and need to further industrialize to benefit from industry 4.0. There is a risk of slow industrialization and dissemination of industry 4.0 in manufacturing in developing countries, further increasing inequalities between countries, and replicating the patterns seen in previous technological revolutions. This report discusses industry 4.0 in manufacturing sectors and its impact on inequalities within and between countries.