The United States recently announced plans to ban the import of new Chinese-made humanoid and quadruped robots, citing national security concerns. The Federal Communications Commission (FCC) highlighted the potential risks these robots pose, including the surreptitious collection of sensitive commercial, governmental, and personal data, as well as vulnerabilities that could expose critical infrastructure to cyberattacks. This move follows research conducted last year by European scientists who identified exploitable security flaws in a Unitree robot.
In response, China rejected the U.S. actions as an overextension of national security and issued retaliatory measures against Washington, signaling escalating tensions between the two countries over emerging technology sectors.
Unitree Robotics, headquartered in Hangzhou, China, is a leading player in the humanoid robotics market. Founded a decade ago by Wang Xingxing—who began experimenting with robotics as a university student—the company has grown from a small start-up into one of China’s top robotics firms and a focal point in Beijing’s ambition to dominate humanoid robot technology. Wang, now 36, has become a prominent figure in China’s technology landscape, having addressed high-profile forums alongside President Xi Jinping.
Despite rapid technological progress and Unitree’s claim of leading the market in humanoid robot shipments last year, the commercial viability of these robots remains uncertain. The company reported approximately $250 million in revenue for 2025, more than quadrupling sales from previous years, and has achieved profitability. However, demand is projected to grow gradually, with most current applications limited to pilot projects and training roles in industrial settings.
Experts point to the evolving field of “embodied” or “physical” artificial intelligence (AI) as the driving force behind interest in humanoid robots. Unlike current AI systems that learn from vast digital datasets, these robots are designed to interact with people and objects in real-world environments. Applications range from factories and warehouses to retail spaces and potentially homes, although widespread household use remains a distant prospect.
The shift toward physical AI has garnered attention from major technology companies. Nvidia, a leading semiconductor manufacturer, announced a collaboration with Unitree to develop a research robot combining Unitree’s mechanical framework with Nvidia’s specialized AI chips. Industry analysts forecast robust growth in the market: a recent report estimated the global humanoid robot sector could expand from around $2 billion this year to $69 billion by 2030. Morgan Stanley projects the market could eventually exceed $5 trillion by 2050, with up to one billion units in operation worldwide—though such figures remain speculative.
While Unitree contends with intensified competition and caution in international trade policies, it faces rivals primarily from within China, such as Agibot, UBTech, Leju Robotics, EngineAI, and Fourier Intelligence. UBTech, which went public in Hong Kong in 2023, holds a market capitalization of $5.6 billion. Unitree stands as the first mainland Chinese humanoid robotics company to seek a public listing domestically.
U.S.-based firms—including Agility Robotics, Figure AI, Apptronik, 1X Technologies, Boston Dynamics (owned by Hyundai Motor), and Tesla—are also developing humanoid robots but have taken a more measured approach, focusing on refining technology before scaling production. Tesla notably aims to produce one million humanoid robots per year in the future but has yet to enter mass manufacturing.
China’s robotics industry appears to be advancing more rapidly toward volume production. According to research firm Omdia, Chinese manufacturers shipped approximately 18,500 humanoid robots in the first half of 2026, compared with about 4,000 units shipped by American companies.
Unitree’s products range from under $5,000 for educational models to over $150,000 for industrial applications. However, the path from compelling demonstrations—such as robots performing kung fu—to broad commercial deployment remains unclear. Industry analysts caution that the timing and scale of consumer adoption continue to be uncertain, with industrial and commercial uses expected to lead the initial phases of market growth.