Robot Parts for Reshoring
Matthew@matthewedanwoo
−6.2%
since Oct 6
The idea
I believe US manufacturing comes back by running on robots, so I want to own the parts every robot needs rather than bet on who builds the robots themselves. The basket spreads across motion control and drivetrain components, the chips that act as robot brains, machine vision and sensing, and the connectors and power gear that wire a modern factory, with two broad automation funds as ballast and a small cash reserve to add on weakness. It is built around no single company, since this is a decade-long rebuild, not a quick trade, and I'd rethink it if reshoring itself loses steam.
What it owns
- Every robot arm and automated production line runs on motors, gears and bearings that form the backbone of factory automation and cannot easily be swapped out. · Rockwell AutomationIt is the largest US-based supplier of the control systems that operate automated factories, offering direct exposure to domestic industrial rebuilding around robotics., Emerson ElectricIt provides the control systems and software that direct the operation of automated factory equipment and production lines., Parker HannifinIt supplies the motion control and fluid power components that move robot arms and drive factory automation equipment., Regal RexnordIt makes the gears and power transmission components that convert motor rotation into the precise movement of robot joints., The Timken CompanyIt makes bearings, the essential component inside every moving joint of robots and automated machinery., RBC BearingsIt manufactures the high-precision bearings that robot arms and automated systems depend on to function without failure.27%
- The compute and analog chips that convert sensor signals into movement are embedded in every robot regardless of manufacturer or design. · NVIDIA CorporationIt makes the chips most likely to serve as the computational core inside next-generation robots across different manufacturers., Analog DevicesIt makes the analog chips that convert sensor readings into signals a robot's brain can understand and act upon., Texas InstrumentsIt is the largest supplier of the analog chips scattered throughout industrial equipment and manufactures predominantly in the United States., onsemiIt makes the image sensor and power management chips that allow robots to see and control their energy consumption., AmbarellaIt makes chips that process camera images on the device itself, allowing robots to see and make decisions without sending data elsewhere.22%
- Factory robots cannot operate effectively without the ability to see and sense their environment, making vision and sensor suppliers critical to any automation buildout. · Cognex CorporationIt supplies the cameras and software that enable factory robots to see and interpret their surroundings during automated production., Teledyne TechnologiesIt makes industrial imaging and sensing products that go into automated manufacturing lines regardless of robot manufacturer., Zebra TechnologiesIt supplies scanners and tracking systems that automated factories and warehouses use to locate and manage every part in motion., Novanta Inc.It supplies the lasers, optics and precision motion components that other companies embed inside robots and automated equipment.19%
- Rebuilt factories require extensive wiring, connectors and electrical power distribution systems before any robot can be switched on. · Amphenol CorporationIt makes the connectors that wire together nearly every electronic system, including robots and automated equipment., TE ConnectivityIt manufactures industrial-grade connectors and sensors built to withstand harsh factory floor conditions across all robot and equipment types., Eaton CorporationIt supplies the electrical distribution, power management and conversion equipment that modern automated factories require.15%
- Two diversified funds spread exposure across the entire robotics and automation sector over a decade-long holding period, capturing winners beyond single-stock picks. · ROBO Global Robotics and Automation ETFIt holds a diversified basket of robotics and automation companies globally, providing broad coverage of the sector beyond individual stock selections., First Trust RBA American Industrial Renaissance ETFIt holds a basket of small and mid-sized American industrial companies directly tied to manufacturing returning to the United States.10%
- Cash7%