The Next Industrial Age: China’s Bid for Global Robotics Leadership
▼ Summary
– China is the world’s largest market for industrial robots, accounting for 54% of global installations in 2024.
– The country is rapidly advancing beyond industrial robots into practical humanoid and general-purpose AI robotics.
– Government strategy, including the “Made in China 2025” initiative and substantial financial backing, is a major catalyst for this growth.
– Service robotics are also booming, driven by demographic pressures like a shrinking workforce and an aging population.
– China’s progress represents a strategic push for global technological leadership, combining state policy with a competitive domestic ecosystem.
China is experiencing a profound shift in its manufacturing and service sectors, driven by an accelerating push into robotics and artificial intelligence. What was once a domain of conceptual prototypes and lab curiosities has become a cornerstone of national strategy, with a clear focus on commercial viability and practical, real-world applications. This transformation is not a coincidence; it is the result of a deliberate convergence of policy, market forces, and technological advancements.
From Factory Floors to Humanoid Prototypes
The narrative of China’s robotics evolution is often told through the lens of its factory floors, where it has been the world’s largest market for industrial robots since 2013. In 2024, China accounted for 54% of new industrial robot installations globally, a figure that dwarfs the European Union (17%), Japan (8%), and the U.S. (7%). This dominance is fueled by a desire to automate its vast manufacturing base, a necessity in the face of a shrinking workforce and rising labor costs.
However, the revolution is now extending beyond the traditional factory setting into the realm of general-purpose, embodied AI. The 2025 World Artificial Intelligence Conference (WAIC) in Shanghai served as a vivid showcase for this progression. The event featured over 150 humanoid robots, a significant leap from the 18 companies that participated just a year prior. These machines are no longer simply demonstrating bipedal locomotion; they are performing complex tasks, from preparing food to sorting materials, indicating a move toward mass production and practical deployment.
A recent example of this focus on practical application was the inaugural World Humanoid Robot Games in Beijing, where more than 500 androids competed in a range of activities, from the 100-meter hurdles to kung fu. While some robots had their comical stumbles, others, like Unitree’s domestic champion, showed impressive speed and stability. These public spectacles, while entertaining, underscore a serious geopolitical reality: a race for technological supremacy. The U.S. may hold a lead in frontier AI research, but China is rapidly gaining ground, particularly in the hardware and real-life application of robotics.
Policy as a Catalyst
The speed and scale of China’s robotic renaissance are a direct result of government strategy. The “Made in China 2025” initiative has long prioritized robotics, leading to a surge in domestic manufacturing where the market share of Chinese vendors has risen from under 30% a decade ago to over 50% today.
The government’s support goes far beyond setting targets. It includes substantial financial backing and innovative policy mechanisms. A key example is the RMB 1 trillion state-backed venture capital fund and the RMB 60 billion National AI Industry Investment Fund, designed to provide the “patient capital” needed for high-risk research in areas like domestic chip design and advanced sensors. This approach is a direct response to a key vulnerability: the country’s reliance on foreign, high-performance chips, which has been exacerbated by U.S. sanctions.
Another unique policy is the “揭榜挂帅” (jiē bǎng guà shuài) mechanism, which translates to “revealing the list and appointing the leader”. This challenge-based initiative provides funding to any team that can solve a government-identified technological problem, encouraging a wider pool of talent to contribute to national goals.
Service Robots and a Shifting Market
While industrial robots are a major driver, the service robotics market is also experiencing a boom. The need for service robots is being propelled by the same demographic pressures, a shrinking labor force and an aging population, that drive industrial automation.
The market for professional service robots in China is expected to grow significantly, with applications in healthcare, logistics, and hospitality. Robots are being deployed for tasks such as disinfection, patient assistance, and delivering goods, with the market for professional service robots forecasted to reach $69.4 billion by 2031. The integration of AI is making these robots more sophisticated, enabling them to make intelligent decisions and learn from their environment.
However, the rapid growth is not without challenges. Some startups are highly dependent on government subsidies, and the industry’s reliance on imported chips remains a significant bottleneck. Moreover, there are emerging concerns about job displacement, with a notable protest by delivery riders in Hangzhou after robots were introduced to replace them. These are critical issues that will continue to shape the industry’s trajectory.
A New Era of Competition
China’s rapid ascent in robotics is more than a cyclical fad; it is a strategic and well-funded play for global technological leadership. The country’s ability to combine state policy with a competitive and innovative domestic ecosystem has created an environment where new products are brought to market faster and at a lower cost than their Western counterparts. As the world enters a new phase of automation, China is not just participating; it is actively setting the pace.
