Chinese-made Humanoid Robot Ready To Replace Millions Of Manufacturing Workers

Chinese President Xi Jinping visited AgiBot (photo: x @CyberRobooo)

JAKARTA In a large warehouse on the outskirts of Shanghai, dozens of humanoid robots continue to be trained to perform various tasks such as folding T-shirts, making sandwiches, and opening doors. The operation lasted up to 17 hours a day to produce large amounts of data used to train the robot made by Chinese startup, AgiBot.

AgiBot's goal is simple but ambitious: making humanoid robots an inseparable part of human life change the way we live, work, and have fun. Imagine one day, robots at our factory actually assemble themselves, said Yao Maoqing, one of the partners in AgiBot.

The importance of humanoid robotic technology for Beijing became increasingly evident when Chinese President Xi Jinping visited AgiBot last month and saw firsthand the capabilities of the robots. During his visit, Xi even joked that maybe one day the robots could play in a football team.

With challenges such as trade friction with the US, population downturn, and slowing economic growth, China sees humanoids as a solution to maintain its dominance in the manufacturing sector. The government actively supports this development by providing subsidies and funding AI and robotics startups, including the establishment of 1 trillion yuan (approximately IDR 2,979 trillion).

More than $20 billion has been allocated to this sector over the past year. Cities such as Shenzhen and Beijing have also created data training centers and provided incentives such as subsidies of up to 5 million yuan and free office spaces.

The rapid development in artificial intelligence, particularly through local companies such as DeepSek, helps humanoid robot developers to create an AI-embodied intelligence system that is capable of independently controlling robotic physical movements.

Unlike the generative AI trained with internet data, the embodied AI is trained using physical activity data in the real world, such as water storage or boxing. For this reason, the AgiBot facility in Shanghai is equipped with 100 robots and 200 human operators to produce data directly every day.

MagicLab, another humanoid startup, also revealed that they have started integrating AI such as DeepSek, Qwen (owned by Alibaba), and Doubao (owned by ByteDance) to develop their robotic thinking and reasoning skills.

China has a huge advantage in the supply chain of humanoid components. About 90% of all components can be produced domestically, reducing production costs significantly. Currently, material costs for one humanoid robot in China averaged US$35.000 (Rp582.2 million), and are expected to drop to US$17,000 (Rp282.7 million) by 2030. Some startups have even sold robots at a price of only 88,000 yuan (around Rp. 170 million).

A report from Morgan Stanley shows that Chinese companies dominate this market. Last year, 31 Chinese companies introduced 36 humanoid robot models, compared to just eight US companies.

Although the prospects for this technology are very promising, experts and legislators in China are starting to discuss its impact on the workforce. About 123 million people work in the manufacturing sector, and 70% of this sector could be affected by robotic automation.

To overcome the potential unemployment, proposals such as "AI unemployment insurance" for 612 months have begun to be discussed. However, the government also emphasizes that robots can fill labor shortages in sectors such as elderly care, which is increasingly needed as the population ages.

The national plan for elderly care announced in December 2024 has even encouraged the integration of humanoid robots into the social service system. Responding to this, Ant Group formed a new subsidiary named Ant Lingbo Technology which will develop robots for the needs of elderly care.

"In five to ten years, these robots may be able to organize the occupants' rooms, pick up packages, even help move someone from bed to bathroom," said Yao from AgiBot.

With massive investments, AI technology advances, and manufacturing advantages, China seems ready to make humanoid robots the foundation of the next industrial revolution. But social and economic challenges must still be managed wisely.