Chinese electric vehicle manufacturers are accelerating their development of humanoid robots, directly challenging Tesla’s Optimus bot in what’s becoming a new frontier of AI-powered automation. Xpeng, one of China’s leading EV startups, unveiled its Iron robot last week—a nearly 6-foot tall humanoid that’s already operational in the company’s factories and retail stores.
The Iron robot represents five years of development and shares AI technology with Xpeng’s electric vehicles. With over 60 joints and more than 200 degrees of freedom, the humanoid demonstrates sophisticated mechanical capabilities. Xpeng’s robotics push is part of a broader high-tech strategy that includes developing flying cars, with the company’s “Land Aircraft Carrier” modular flying vehicle set to launch in December 2024.
Xpeng isn’t alone in this robotic arms race. In June 2024, Dongfeng Motors partnered with Chinese robotics firm Ubtech to deploy Walker S humanoid robots on production lines. These AI-powered machines perform critical quality control tasks including inspecting seat belts and door locks, conducting quality checks, and assembling car axles. Ubtech’s robots have been piloted by multiple Tesla competitors, with EV startup Nio using them as “interns” to assist with car production.
BYD, Tesla’s primary Chinese rival, is also testing Ubtech’s humanoid robots in its factories, according to local reports. Additionally, Ubtech’s Cruzr commercial service robot has been deployed as a mechanical salesperson in BYD’s South American stores and has assisted with product launches, demonstrating the versatility of AI-powered humanoid robots beyond manufacturing.
This scramble to incorporate humanoid robots comes as Elon Musk positions Tesla’s Optimus as the company’s most important product. The robot played a prominent role at Tesla’s robotaxi unveiling in October 2024, where a fleet of Optimus bots—some partly controlled by humans—served drinks and interacted with attendees.
The robotics competition unfolds against challenging market conditions for Tesla in China. The company’s electric vehicle sales declined year-over-year in October 2024, even as Chinese rivals BYD, Zeekr, and Xpeng experienced significant growth, intensifying pressure on Tesla’s core automotive business.
Key Quotes
Iron is Xpeng’s latest foray into science fiction-tech, with the company also working on flying cars.
This characterization from the article highlights how Chinese EV manufacturers are pursuing multiple futuristic technologies simultaneously, positioning themselves as comprehensive technology innovators rather than just vehicle manufacturers.
The billionaire has described Optimus as Tesla’s most important product.
This statement about Elon Musk’s view of the Optimus robot underscores how seriously Tesla takes the humanoid robotics market, elevating it above even the company’s core electric vehicle business and explaining why Chinese competitors are rushing to develop rival products.
Our Take
The humanoid robot race between Tesla and Chinese EV makers reveals a fascinating strategic convergence: companies that mastered AI for autonomous driving are now applying that expertise to bipedal robotics. This makes perfect sense—both domains require advanced computer vision, real-time decision-making, and sophisticated motor control. Chinese manufacturers appear to be moving faster from prototype to deployment, with robots already working in factories while Tesla’s Optimus remains largely demonstration-focused. The shared AI architecture between Xpeng’s vehicles and robots is particularly clever, allowing the company to amortize R&D costs across product lines. However, the real test will be reliability and cost-effectiveness at scale. Tesla’s manufacturing expertise could still prove decisive, but Chinese competitors have demonstrated they can iterate rapidly and deploy aggressively in their home market, which remains the world’s largest for both EVs and industrial automation.
Why This Matters
This development signals a critical shift in the global AI and robotics landscape, with Chinese manufacturers rapidly closing the gap with Western technology leaders. The race to deploy humanoid robots in manufacturing and retail environments represents more than just automation—it’s about integrating AI systems across entire business ecosystems, from vehicles to factories to customer service.
The convergence of EV and robotics technology demonstrates how AI is becoming the foundational layer connecting multiple industries. Chinese companies leveraging shared AI platforms across vehicles and humanoid robots could accelerate innovation cycles and reduce development costs, potentially giving them competitive advantages in both markets.
For workers and businesses globally, this trend foreshadows accelerating automation in manufacturing and service sectors. The deployment of AI-powered humanoid robots for quality control, assembly, and customer interaction tasks suggests that human-robot collaboration will become standard in factories and retail environments within the next few years. This competition also highlights China’s determination to lead in strategic AI technologies, with implications for global supply chains, manufacturing competitiveness, and the future of work.
Recommended Reading
For those interested in learning more about artificial intelligence, machine learning, and effective AI communication, here are some excellent resources:
Recommended Reading
Related Stories
- Tesla Q1 Earnings Preview: What to Expect From Elon Musk’s EV Giant
- Larry Ellison’s Wealth Could Skyrocket Thanks to Tesla Stock and AI Boom
- US to ban exports of car software to China and Russia
Source: https://www.businessinsider.com/tesla-chinese-ev-competitors-build-optimus-rivals-2024-11