U.S. Robotics Industry Seeks to Cut Chinese Dependence
A new commission report highlights the need for domestic component production before mass-market humanoid assembly begins in 2028.
Updated on Oct. 16, 2026 in Robotics
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A preliminary report from the National Security Commission on Advanced Manufacturing and Robotics warns that U.S. robotics development remains heavily dependent on Chinese-sourced components. This reliance on key materials and parts creates supply chain risks as firms like Boston Dynamics plan for large-scale humanoid production.
Why it matters
The concentration of production for rare-earth metals and critical robotics components in China threatens U.S. domestic manufacturing autonomy. Reducing this dependence is essential to scaling U.S. humanoid robotics, which currently trails China in total operational deployment.
Chinese suppliers control 90% of rare-earth refining, 40% of the precision bearings market, and 35% of the electric motors sector. These metrics reflect a substantial reliance on foreign supply chains for the foundational hardware of modern automated systems.
The players
Boston Dynamics
An engineering and robotics firm focused on advanced humanoid platforms like Atlas that now faces supply chain pressure.
Hyundai Motor Group
The parent company of Boston Dynamics that is investing in domestic U.S. actuator production to support large-scale humanoid manufacturing.
National Security Commission on Advanced Manufacturing and Robotics
A federal commission established to analyze and report on the competitiveness of the U.S. robotics industry.
The details
Humanoid robots rely on actuators — the mechanical components responsible for movement — which require precision bearings and high-performance electric motors to function. Rare-earth metals are essential to the permanent magnets found within these motors, dictating torque and energy efficiency. Because China dominates the refining of these materials and the manufacturing of these components, U.S. producers currently face structural hurdles in building robust supply chains for mass-market deployment.
Timeline
March 2026: The National Security Commission on Advanced Manufacturing and Robotics was established.
2025: U.S. and Chinese industrial robot installation counts were recorded.
October 2026: The preliminary report on robotics competitiveness was released.
March 2027: The commission is scheduled to release its final report.
2028: Hyundai plans to begin mass production of Atlas humanoid robots.
The Tech Race
The U.S. is currently attempting to close a significant gap in robotics deployment, where China operates over 2.02 million units compared to the U.S. total. The National Security Commission on Advanced Manufacturing and Robotics is tasked with identifying the structural changes needed to regain long-term competitive parity.
The transition toward domestic production of robotics components, such as the 350,000 annual actuators planned by Hyundai Mobis, is intended to secure long-term availability for U.S. factories. These shifts are essential for enabling the 30,000-unit annual humanoid production goal projected for 2028.
The takeaway
The U.S. robotics industry is shifting its focus toward securing domestic component production to mitigate geopolitical supply risks. Observers should track the March 2027 final commission report for specific policy recommendations regarding rare-earth and precision-bearing supply independence.
What happens next
The National Security Commission on Advanced Manufacturing and Robotics will release its final report in March 2027.
Further reading
For broader context on the industry, see the latest updates in Robotics.
Source note: This article includes information reported by UPI.
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