China accelerates production of humanoid robots: The real problem is just beginning.
The rapid growth in the sector isn't solely due to companies' commercial investments. Chinese government support plays a significant role in the expansion of the humanoid robot industry. However, the fact that production capacity is growing faster than commercial demand raises some questions. Falling robot prices and potential future overcapacity are among the main risks facing the sector. Experts compare this situation to the growth China previously experienced in the electric vehicle and solar panel sectors. In both areas, strong government support allowed production capacity to exceed demand. A similar situation has emerged in the humanoid robot sector. Some companies are sustaining their operations largely through government subsidies and public procurement.