China Warns of Humanoid Robotics Bubble

China's top economic planners issued a stark warning on November 27 about the booming humanoid robotics sector. The National Development and Reform Commission, the country's powerful agency for guiding economic growth, flagged risks of a speculative bubble forming in this hot field.

The alert comes as Chinese firms pour billions into developing human-like robots. Companies like Unitree Robotics, a Hangzhou-based leader in agile quadruped and humanoid models, have seen their valuations soar. Unitree's H1 humanoid, with its advanced mobility and AI integration, exemplifies the rush. Other players, including UBTech with its Walker series and Xiaomi's CyberOne, are racing to deploy these machines in factories, homes, and services.

China has dominated humanoid robotics innovation, backed by government subsidies and a vast supply chain. Factories churn out components at scale, drawing global attention. Yet the NDRC cautioned that overhyped investments could lead to a crash, much like past tech bubbles. Officials urged focus on practical applications over flashy demos.

This reality check tempers the excitement. Humanoids promise to reshape labor, from warehouse tasks to elder care. But sustainable growth demands caution. Investors and startups now face pressure to prove real-world value amid the hype.