China warns of bubble risks in booming humanoid robots arena

Core Viewpoint - The National Development and Reform Commission of China has expressed concerns about the potential formation of a bubble in the humanoid robotics industry, highlighting the risks associated with excessive investment in this pivotal technology sector [1][2][3]. Industry Overview - The humanoid robotics sector has seen a surge in the number of similar robots produced by over 150 companies, prompting the need for vigilance to prevent market saturation and to protect genuine research and development efforts [2][3]. - The rapid growth in humanoid robot development has been fueled by increased public interest, particularly following the performance of Unitree's robots during the Spring Festival Gala, leading to the designation of this industry as a key economic growth driver by the Communist Party [5][6]. Investment Trends - The Solactive China Humanoid Robotics Index, which tracks shares of robot-related companies, has increased nearly 30% this year, reflecting heightened investor interest in the sector [6]. - Citigroup Inc. projects that the market for humanoid robots could reach $7 trillion by 2050, although widespread adoption in households and factories is still years away [7]. Government Initiatives - The Chinese government plans to enhance mechanisms for market entry and exit to foster fair competition within the humanoid robotics industry [7]. - Efforts will be made to accelerate research and development of core technologies and to support the establishment of training and testing infrastructure [7][8]. - The government will also promote the consolidation and sharing of technology and industrial resources to expedite the practical application of humanoid robots [8].