China's $26 Billion Humanoid Robot Push Puts it Ahead in Global AI Race

Since late 2024, Chinese national and local authorities have assembled over $26 billion in funds for humanoid robotics and related AI, while more than 140 companies, concentrated in Shenzhen and Suzhou, are now producing these machines. Analysts expect Chinese firms to ship up to 100,000 humanoid units in 2026 after securing over $300 million in orders in the second half of 2025, even as the U.S. retains an edge in core AI models but depends on Chinese manufacturing. This state-backed manufacturing head start, including subsidies like free land and purchase incentives, is raising concern among American policymakers and industry leaders such as Elon Musk about China's long-term dominance in embodied AI.