China Warns of Bubble in Humanoid Robotics Sector

China's National Development and Reform Commission issued a warning on Thursday about the risk of an investment bubble in the country's rapidly expanding humanoid robotics sector, urging greater oversight to curb excessive growth and product duplication.

In a briefing in Beijing, NDRC spokesperson Li Chao highlighted concerns that the surge in companies entering the field could overwhelm the market with similar models, stifling innovation and research and development. "Frontier industries have long grappled with the challenge of balancing the speed of growth against the risk of bubbles, an issue now confronting the humanoid robot sector as well," Li said. She noted that more than 150 firms are now operating in the industry, with the number continuing to rise, including many startups and entrants from other sectors.

The caution comes amid a flurry of investment and activity in humanoid robotics, which the Chinese government has designated as one of six key economic growth drivers in its five-year plan through 2030. The Solactive China Humanoid Robotics Index, tracking shares of related companies, has risen by approximately 26 percent this year, reflecting strong investor...