US Robotics Firms Depend on Chinese Parts Amid Calls for Domestic Supply

Robotics innovators in the United States are building sophisticated AI models for machines, but the majority of the hardware—motors, chassis, batteries and sensors—still originates from Chinese suppliers, according to Sergey Levine of Physical Intelligence. Levine argued that Chinese components are low-cost, high-quality and readily available, yet he emphasized the strategic advantage of developing a fully domestic supply chain.

Industry leaders, including Evan Beard, CEO of Standard Bots, told a congressional hearing that sourcing from China can be five to ten times cheaper than U.S. production, creating a scaling challenge for American firms. A McKinsey report from June highlighted China’s substantial capacity in robotics parts, especially its control of about 90% of permanent-magnet processing, a capability bolstered by its electric-vehicle sector.

The Federal Communications Commission recently prohibited new foreign-made humanoid robots from entering the U.S. market on national-security grounds, a decision praised by U.S. manufacturers but criticized by some startups for restricting access to affordable components. Researchers stress that a healthy robotics ecosystem requires a balanced, homegrown hardware base rather than reliance on a single overseas source.