Commerce Secretary Howard Lutnick signaled that the Trump administration is preparing for a potential crackdown on heavily subsidized Chinese robotics imports, warning U.S. business leaders that the global race for robotics dominance is rapidly becoming a national-security issue.

Speaking at a closed-door meeting with top executives from SpaceX, Boston Dynamics, JPMorgan Chase, Goldman Sachs, Siemens, and Rockwell Automation, Lutnick said the Commerce Department is reviewing Chinese state-backed robotics imports and could take action once that review is completed.

“This is the arms race that is coming,” Lutnick reportedly told attendees, according to a Politico report citing participants in the meeting.

The comments mark one of the clearest signals yet that Washington may be preparing to expand its technology confrontation with Beijing beyond semiconductors and artificial intelligence into the rapidly growing robotics sector.

China currently dominates much of the global robotics supply chain. The country deployed approximately 1.8 million industrial robots in 2023, roughly four times the U.S. total, and analysts project Chinese companies could control nearly 80% of the global humanoid robot market by mid-2026.

Humanoid robots—machines designed to walk, lift, carry objects, and perform tasks traditionally handled by people—are increasingly viewed as the next major phase of automation. Chinese companies including Unitree, Inovance Technology, and Tuopu Group have emerged as leading players, aided by substantial government support and lower manufacturing costs.

According to attendees, Lutnick framed the issue as both an economic and national-security challenge. One executive reportedly warned that allowing critical industries to depend on foreign robotic systems could leave the United States with “an American brain and a Chinese body,” a scenario participants described as strategically dangerous.

The warning comes as congressional concern over Chinese robotics accelerates.

Just one day before the meeting, the House Select Committee on the Chinese Communist Party raised alarms over Chinese robotics manufacturer Unitree, which has been designated by the United States as a Chinese military company. Committee Chairman Rep. John Moolenaar and other lawmakers have pushed for restrictions on Chinese-made humanoid robots entering the American market, including sales through major online retailers.

The Commerce Department has already begun laying the groundwork for possible action.

Earlier this year, officials convened a robotics supply-chain roundtable, and on April 30 the department launched a national-security review examining Chinese drones and robotics systems. The review is expected to evaluate whether subsidized imports could undermine domestic manufacturing capabilities or create security vulnerabilities.

Potential responses under consideration reportedly include:

• Favoring U.S.-made robotics systems in federal procurement.
• Restricting Chinese robotic systems from sensitive infrastructure and government facilities.
• Creating supply-chain standards that prioritize domestic and allied-country manufacturers.
• Expanding financial support for American robotics startups and advanced manufacturing projects.

The Pentagon is also reportedly exploring financing options aimed at strengthening the domestic robotics industry.

The robotics debate arrives amid a broader escalation in U.S.-China trade tensions.

On the same day as Lutnick’s remarks, China’s Ministry of Commerce expanded export restrictions on ten American companies, including MP Materials and USA Rare Earth, two firms central to U.S. efforts to build an independent supply chain for rare-earth magnets and minerals.

Those materials are essential components in electric motors, industrial robots, military equipment, and advanced manufacturing systems.

The dispute highlights a challenge facing policymakers: while Washington wants more robotics manufacturing at home, China continues to dominate many of the raw materials needed to build those machines.

Business leaders at the roundtable also noted domestic hurdles that go beyond foreign competition. Executives cited permitting delays, financing challenges, and workforce shortages as major obstacles to expanding robotics manufacturing in the United States.

Some analysts believe sweeping restrictions may still be months away. Experts note that the administration remains focused on multiple trade, national-security, and election-year priorities, potentially limiting the speed of new policy actions.

Still, Lutnick’s remarks leave little doubt about the administration’s direction.

After years of battles over semiconductors, artificial intelligence, telecommunications equipment, and rare-earth minerals, robotics is emerging as the next major front in the competition between the world’s two largest economies.

For manufacturers, technology firms, investors, and workers, the message from Washington is increasingly clear: the future of automation is no longer just a business issue—it is becoming a matter of national policy.

JBizNews Desk | New York
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