China Slows Humanoid-Robot IPOs as Regulators Question Whether Demand Is Real

Chinese regulators are slowing the rush of humanoid-robot companies seeking stock-market listings as they examine whether soaring valuations and revenue from state-backed projects reflect genuine commercial demand.

The increased scrutiny follows a volatile start for Unitree Robotics, whose shares rose more than fivefold after their Shanghai debut last month before falling 55% from their peak.

Reuters reports that regulators have used informal “window guidance” to hold back some proposed humanoid-robot listings.

One source familiar with the matter said humanoid IPOs had effectively been frozen for the time being. Another stressed that there was no formal ban, describing the intervention instead as a sector-specific slowdown.

The move does not represent a retreat from humanoid robotics by Beijing.

China has designated embodied intelligence — AI systems capable of perceiving and acting in the physical world — as a strategic emerging industry. That support has attracted substantial investment from private investors and local governments.

Regulators are now paying closer attention to where robotics companies’ revenue actually comes from.

Some companies have generated significant business through robot data-collection centres and joint ventures supported by local governments. In some ventures, local authorities can provide between 80% and 90% of the initial investment.

Those arrangements can generate orders, increase company revenues and support higher private-market valuations. Regulators are questioning whether they demonstrate sustainable demand from independent customers.

One person close to humanoid-robot investors estimated that valuations at some companies could fall between 60% and 70% if revenue associated with data-collection centres were removed.

The scrutiny comes as the commercial humanoid market remains small despite enormous investment and ambitious growth forecasts.

Figures compiled by the International Federation of Robotics show that only around 7,000 humanoid robots were sold worldwide in 2025 for industrial and professional service applications.

Many were bought by research organisations or companies using them to generate data for AI development rather than deploying them for productive work. Carmakers experimenting with humanoids typically have only single-digit or double-digit numbers operating in individual plants.

At least six Chinese humanoid-robot companies are preparing to go public, including Deep Robotics, X Square Robot and AGIBOT.

Investors remain willing to finance the sector, but Reuters reports that greater attention is now being paid to deployments, order volumes and whether impressive technical demonstrations can become commercially viable products.

China is therefore continuing to back humanoid robotics as a strategic technology while applying a tougher test to companies seeking public money: whether their revenues ultimately come from customers willing to buy their robots without government-supported projects creating the demand.

Sources

• Reuters: China slows humanoid robot IPO rush as hype outruns reality
• Reuters: Humanoid robot sales tally hit 7,000 globally last year