In a big warehouse on the outskirts of Shanghai, dozens of Ai humanoid robots are put through their paces-folding shirts, making sandwiches and opening doors-over and over, for up to 17 hours a day. This relentless routine is part of an aspiring effort by AgliBot, a Chinese robotics startup, to gather the data required to train robots that could one day be as common as smartphones and fundamentally transform daily life and industry in China.
AgiBot’s vision is bold: “Just imagine that one day in our own robot factory, our robots are assembling themselves” says Yao Maoqing, a partner at the company. This vision isn’t just a private dream-China’s leadership is watching closely. President Xi Jinping recently visited AgiBot’s facility, underscoring the strategic importance of humanoid robots as China confronts challenges like trade tensions with the U.S., an aging population and slowing economic growth.
Government Support and Industry Momentum
China’s government is pouring resources into the sector. Over $20 billion has been given to Ai humanoid robots in the past year, with a new trillion-yuan ($137 billion) fund in the works to back startups in AI and robotics. Local governments are also chipping in: Shenzhen has set up a 10 billion yuan AI and robotics fund and companies in Wuhan can qualify for subsidies and free office space.
State procurement is ramping up, too. Purchases of humanoid robots and related technologies by government entities soared from 4.7 million yuan in 2023 to 214 million yuan in 2024. The city of Shanghai, for instance, provided AgiBot with rent-free premises for its data collection operations, where about 100 robots are operated by 200 humans daily to generate high-quality training data.
The Race to Mass Production
China’s humanoid robot industry is entering a new phase of mass production. According to recent reports, six leading manufacturers plan to produce over 1,000 units in 2025, pushing the domestic market value to around $616 million this year. At the 2024 World Robot Conference in Beijing, more than two dozen Chinese-designed humanoid robots were showcased, signaling the country’s determination to lead the field.
Chinese companies are leveraging their strong supply chains to drive down costs. The average bill of materials for a humanoid robot is expected to fall from $35,000 this year to $17,000 by 2030 if most parts are sourced domestically, greatly undercutting global competitors like Tesla. Some startups are already selling robots for as little as 88,000 yuan (about $12,000).
AI, Data and the Quest for “Robot Brains”
The real breakthrough, however, lies in pairing advanced hardware with sophisticated AI. Chinese companies such as DeepSeek are at the front, developing large language models (LLMs) and embodied AI platforms that enable robots to interpret their environments, reason about tasks and learn from experience. Unlike generative AI, which can draw on big internet datasets, embodied AI requires high-quality, task-specific data-something China is rapidly accumulating through large-scale, real-world deployments.
Innovative platforms like “Hui Si Kai Wu” developed in Beijing, are pushing the boundaries of robotic autonomy. These universal software systems merge vision, decision-making, language comprehension and motion control, enabling robots to adapt dynamically to new tasks and environments. Open-source projects like the Tiangong humanoid robot are also accelerating progress by allowing researchers worldwide to contribute to and refine their capabilities.
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Real-World Applications and Challenges
Chinese humanoid robots are already demonstrating impressive feats: running half-marathons, performing somersaults, and even playing football, as President Xi joked during his visit. In factories, robots like UBTech’s Walker S are handling heavy parts and navigating complex environments, marking a new era of human-robot collaboration.
Yet, challenges remain. The high cost of robots and the limited availability of operational data for training AI models are hurdles that the industry must overcome. Efforts are underway to build the world’s largest general-purpose robotics AI database, which could unlock new levels of intelligence and versatility.
Social Impact and the Future Workforce
With 123 million people working in manufacturing, the potential for job displacement is significant. Lawmakers are beginning to grapple with these implications. Proposals include creating an AI unemployment insurance program to cushion workers affected by automation. However, many in the industry argue that robots will take on the most dangerous, repetitive, or undesirable jobs, and that new roles will emerge in the long run.
China also sees a major opportunity for humanoid robots in old care, as the population ages. The government’s national plan encourages the integration of robots into care facilities, and major tech firms are developing solutions specifically for this sector.
Summary
- Open Innovation: China’s embrace of open-source platforms, like the Tiangong robot, is fostering global collaboration and accelerating technological progress.
- Expanding Use Cases: Beyond factories, Chinese startups are piloting robots in retail, logistics, and even hospitality, where robots can greet customers or deliver goods.
- International Competition: While China is not yet the undisputed global leader in humanoid robotics, its rapid progress, government backing, and manufacturing prowess are positioning it as a formidable contender, especially as it seeks to replicate its successes in smartphones and electric vehicles.
China’s Ai humanoid robots revolution is gathering pace, blending ambitious government policy, cutting-edge AI, and manufacturing scale. As robots move from spectacle to everyday utility, the world is watching to see how China balances technological leadership with the social challenges of automation.
