Industry Brief, July 21, 2026: Productivity stall, returns robots, Korean steel, aluminum

By MillBrief Editorial · July 21, 2026 · Retrospective edition, published September 23, 2026

This is a retrospective edition. The brief did not run on July 21, 2026; we wrote it on September 23, 2026 using only reporting that was published on or shortly before July 21, 2026, and it makes no forecasts.

This is a retrospective edition covering July 21, 2026, using only reporting published on or up to two days before that date. Four items: a think tank’s case that US factory productivity has stalled and that robots deserve a tax credit, a fashion retailer investing in the robots that handle its returns, Korean steelmakers moving robots into their hottest jobs, and an offer to halve aluminum tariffs for companies that build at home. Our own words, links to the original outlet, vendor numbers labelled as vendor numbers.

Think tank says US factory productivity has stalled, and proposes a 25% credit for robots

In a blog post, the Information Technology and Innovation Foundation (ITIF) argues that US manufacturing labour productivity, meaning output per hour worked, has slowed sharply. Its figures put average annual growth at 3.8% from 1987 to 2005 and at just 0.4% from 2005 to 2023, which it reads as a structural slowdown rather than a cyclical dip. Of the 27 manufacturing industries with available data, only two, leather tanning and finishing and tobacco, grew productivity faster after 2005 than before.

The post says every advanced manufacturing industry with data saw productivity growth fall. Computer and electronic products went from 1.9% a year to minus 1.2%, a drop of about three points, and aircraft fell by a similar margin. ITIF’s proposal is for Congress to create a 25% tax credit for firms that adopt productivity-enhancing technology, including industrial robots, artificial intelligence systems and advanced manufacturing software.

Why it matters: This is a policy proposal, not law. A 25% credit would, however, change the arithmetic on many small projects that narrowly miss a payback target today. Keep your numbers ready so you can rerun them quickly if a credit like this appears: the TCO calculator builds up the full delivered cost a credit would apply to, and our payback guide explains how existing tax treatment, such as Section 179 expensing, already shortens the effective payback.

Source: ITIF, July 20, 2026.

Zalando invests in Sereact, whose robots unpack and fold returns

Tech.eu reports that Zalando, the European fashion platform, has joined Sereact’s Series B as a strategic investor, bringing the round to $116 million. Headline led the round in April. Sereact, founded in 2021 and based in Stuttgart, sells AI software for robot picking cells, dual-arm returns stations, humanoid robots and a 3D perception system for inventory and quality control, and lists Daimler Truck, Mercedes-Benz, BMW and Ikea among its customers. Zalando says around half of the items ordered from it are returned. Its interest, per the article, is in packing and returns handling, where Sereact has a dual-arm system that opens boxes, removes items and folds garments.

The company claims more than 200 systems are live across Europe and more than one billion production picks have been completed on its platform. It offers customers a price guarantee based on cost per return and says its robots are around 30% cheaper than manual processing in most regions; these are Sereact’s own figures. CEO Ralf Gulde told the outlet he is cautious about legged humanoids, calling them expensive, fragile and short on battery, and said industrial customers want something reliable for 10 to 15 years rather than a particular shape.

Why it matters: A price guaranteed per unit processed moves some of the performance risk onto the supplier, which is worth asking for on any cell with a clear unit of work. If a vendor offers it, pin down in writing what counts as a completed unit and how misses are handled; our RFQ guide shows how to put acceptance terms like these into the request.

Source: Tech.eu, July 20, 2026.

Korean steelmakers move robots into the hottest jobs

Businesskorea reports that Hyundai Steel has started running Trim-Rob, a robot that cuts and trims the ends of coils heated above 1,000 degrees, at its Dangjin works. Previously two to four workers on shifts did this by hand. The robot counts the rings on each coil, recognises tangles and overlaps, and cuts only what is needed. POSCO has deployed Boston Dynamics’ Spot quadruped for preventive maintenance at a blast furnace at Gwangyang, is working on humanoids for handling steel products, and is close to introducing a robot that finds faulty conveyor rollers by sound and replaces them.

The article expects union resistance, pointing to the Hyundai Motor union’s position that robots cannot go into domestic plants without a labour agreement. It cites a Korea Employment Information Service report estimating that successful AI and automation adoption would reduce employment at industrial sites by 8.5% in five years and 13.9% in ten, while business groups argue that automation is unavoidable against low-priced Chinese competition.

Why it matters: Hot, heavy and dangerous stations are the easiest automation projects to justify, and the easiest to explain to the people who do them today. Dull, dirty or dangerous work is the first filter in our guide to what to automate first.

Source: Businesskorea, July 20, 2026.

Trump offers to halve aluminum tariffs for companies that build US capacity

Supply Chain Dive reports on a presidential proclamation signed July 20 that would cut the tariff on a set volume of a company’s aluminum imports in half, in return for commitments to invest in US aluminum production. Most aluminum imports currently face a 50% tariff. Commerce Secretary Howard Lutnick is to set up a programme; applicants must submit plans to build, refurbish or expand US aluminum facilities and commit to starting construction by January 20, 2029. Once approved, the reduced rate would apply each year to import volumes matching the projected new production.

The Commerce Department will also weigh commercial feasibility and expected annual output. The article says no start date or further approval details were given, and the White House did not immediately respond. A similar programme already exists for steel and aluminum producers based in Canada and Mexico.

Why it matters: The relief goes to companies that commit to building aluminum capacity, not to shops that simply buy the metal, so most small manufacturers should plan on today’s input costs. When you value an automation project, use current costs rather than hoped-for relief; our payback guide shows how to rebuild the numbers from your own costs rather than a vendor’s.

Source: Supply Chain Dive, July 20, 2026.