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China Warns of Retaliation After U.S. Robot Crackdown

China is threatening retaliatory measures after the United States imposed new restrictions on imports of foreign-made humanoid robots over cybersecurity concerns, saying the move would damage bilateral trade ties.

China Warns of Retaliation After U.S. Robot Crackdown

The U.S. Federal Communications Commission said on Tuesday it had added foreign-made advanced robotic devices, including humanoid robots, to a list restricting new imports on national security grounds. The agency did not name any country and said retailers could continue importing models that had already received approval.

China’s commerce ministry urged Washington to withdraw the restrictions, saying the FCC had repeatedly ignored Beijing’s restrained approach to product bans.

As the FCC continues to tighten restrictions on Chinese goods, the move “severely damages China-U.S. economic and trade stability,” the ministry said in a statement. It added that China would take countermeasures if the United States did not reverse the decision.

The latest dispute comes ahead of a planned September meeting between U.S. President Donald Trump and Chinese President Xi Jinping, as tensions over advanced technologies and artificial intelligence continue to escalate.

“This is bad news for Chinese humanoid producers planning their IPOs in the coming months,” said Marc Einstein, research director at Counterpoint Research. “The two major cards China can play are to further restrict rare earth sales to American companies and further restricting Chinese market access for American companies like Tesla and NVIDIA.”

Chinese companies Agibot, Unitree and UBTech held the three largest shares of the global humanoid robot installation market last year, according to Counterpoint Research, while Tesla’s Optimus ranked fifth.

Shares in Hong Kong-listed UBTech fell more than 6% in early trade before recovering some losses. Unitree and Agibot have both filed for initial public offerings.

Robostore, a distributor of Chinese humanoid robots in North America, has been expanding its U.S.-based operations in preparation for potential trade restrictions, Chief Executive Teddy Haggerty said in a statement.

Separately, U.S. Treasury Secretary Scott Bessent has said Washington could impose sanctions on China over alleged AI model “theft,” while Trump said on Thursday the United States may take a more cautious approach to AI export controls to preserve its technological advantage over China.

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