Humanoid Robots: China Aims to Become Market Leader Within Five Years

China aims to become the global market leader for humanoid robots within the next five years, the Wall Street Journal writes in a report. Beijing is relying on massive investments in its domestic industry. This is a strategy that already paved the way for China's success in electromobility.

Beijing is supporting the industry with a package of measures that goes far beyond financial injections: Local governments are providing companies with free or heavily subsidized office space and land, and granting access to affordable bank loans as well as subsidized university specialists, reports the Wall Street Journal.

In emerging hubs like the “Robot Valley” in Shenzhen, billions are flowing into the development of AI models and robotics hardware. Additionally, the state acts as an important early adopter, with authorities and state-owned companies deploying humanoid robots in museums or for traffic monitoring.

To further accelerate market entry, buyers are partially reimbursed up to 10 percent of the purchase price. This allows startups to test prototypes quickly under real-world conditions and collect valuable data for further development.

US Government Plans Countermeasures

As a result of state funding, more than 140 startups specializing in the development of humanoid robots have emerged in China. The companies benefit from being able to source critical components such as sensors, batteries, and motors for robot hands almost entirely locally, enabling them to implement changes cost-effectively and quickly.

Chinese company UBTech recently made headlines by selling its humanoid robots to Airbus, as well as Chinese startup Unitree, which spectacularly demonstrated how its humanoid robot “G1” autonomously trudges through snow and ice over long distances under extreme cold conditions.

Meanwhile, the US is viewing China's robotics offensive with growing concern. To avert a looming backlog, the White House is reportedly preparing a presidential decree, according to the Wall Street Journal, which is intended to specifically promote the US robotics industry.

Even though humanoid robotics is still at the beginning of its commercial development, the recent technological leaps underscore the industry's potential. The path to widespread industrial maturity still requires further development steps, but the growing interest from numerous sectors already suggests how large the actual market demand could be in the future. According to an estimate by Morgan Stanley, up to 100,000 humanoid robots could be delivered worldwide in 2026.

(emw)