Remnant: From the Ashes Message Board  

Just as a headsup,
did some testing with friends and other players have said so as well already. Enemies dmg seem to scale of your upgraded armour and vise versa for weapons, decided to shove weapon up to a +168 and completely made normal enemies invulnerable.
doubt this is anything that can be fixed through the use of a trainer but thought id put it in here as well due to the level scaling which seems to occur as well in general in some cases with bosses.
Don't really get the point of upgrading loot now in general but we'll see what happens with the game in the future i suppose.

Edit: seems like the devs put an official response on their discord as to how it works.
Upon entering an area the game scans your gear. Both equiped and in your bag. It finds the highest of each slot and averages them together. Let's say that turns out to be 10. The enemies are ALWAYS your level +1. So in this case 10+1. Each area also has a hidden "minimum" number, if you are below that it's going to be much much harder. But you can never upgrade your way past content. This is a design choice and 100% confirmed by the devs in discord. Your traits are NOT calculated into the scaling. So your traits are supposed to make up that 1 level difference.
what a disaster of a game design choice lol.

[Edited by LingeringFog, 8/17/2019 1:10:38 PM]

yes, but I then used the trainer option to lower my level, and its only your level that scales the enemies it seems, at a boss your right the scaling made it impossible to kill, but when I used the trainer to lower my level to 100 I killed a boss in about 10 hits.

I just picked up a trait that reduces ranged dmg, with the same edit, im now invulnerable to ranged dmg, I imagine theres probably one for melee somewhere too.

[Edited by Ashar, 8/17/2019 8:17:41 AM]