China

Intelligence for Better Decision Making

Humanoid Robot Production Accelerates as XPeng and Tesla Announce Major Milestones
Jan. 22, 2026 | Technology & Innovation

Leading manufacturers of humanoid and industrial robots are advancing rapidly toward commercial-scale production.

**Chinese new energy vehicle maker XPeng Motors has completed its first ET1 humanoid robot, built to automotive standards and representing a significant technical milestone.**
CEO He Xiaopeng described the ET1’s development as a crucial breakthrough on the path to mass production of advanced humanoid machines. XPeng plans to begin large-scale manufacturing of high-level humanoid robots later in 2026 as part of its broader effort to commercialize physical artificial intelligence, moving from technology exploration to practical application. In November, the company unveiled IRON, a new-generation humanoid capable of human-like “catwalk-style” movements; its demonstration sparked online debate over authenticity and drew international attention after Tesla CEO Elon Musk liked a social media post about IRON and predicted that Tesla and Chinese companies would dominate the market.

**Meanwhile, Tesla CEO Elon Musk has warned that initial production rates for the company’s humanoid robot, Optimus, will be “agonizingly slow” due to the complexity and number of new parts involved, although he expects output to accelerate significantly over time.**
Tesla aims to start Optimus production toward the end of 2026, following timelines similar to those for its other advanced products. The company’s $1.39 trillion valuation reflects investor expectations for both self-driving technology and humanoid robots, even as its primary revenue and profits continue to come from electric vehicle sales. Musk considers the humanoid robot project central to Tesla’s long-term strategy and has suggested that Optimus could eventually surpass the vehicle business in economic value by performing a wide range of tasks that humans typically avoid, thereby unlocking substantial new opportunities.
Surge in Global Investment Accelerates Growth and Expansion of Chinese AI Startups and Concept Stocks
Jan. 22, 2026 | Technology & Innovation

Investors are channeling substantial capital into Chinese AI startups and concept stocks, fueling global expansion and technological development.

**Malaysia-based private equity firm Crewstone International (CSI) led a US$73.6 million pre-IPO+ financing round for Shanghai- and Hangzhou-based AIoT solutions provider Uni-Ubi, joined by state capital investment group Shanhai Industries Group from Wenzhou City and existing shareholder Bojiang Capital.**
Uni-Ubi will use these funds to support its global expansion and localization efforts, with a particular focus on emerging markets in Southeast Asia.

**Beyond its financial investment, CSI will leverage its Southeast Asian network and expertise in international capital markets to facilitate Uni-Ubi’s market entry, partnerships, localization, and resource integration.**
Founded in 2011, CSI manages over US$1 billion in assets across more than 40 companies spanning logistics, healthcare, green technology, manufacturing, ICT, and e-commerce.

**Uni-Ubi plans to deploy the capital to develop “core AI 2.0 capabilities” in robotics, multi-modal large models, and general-purpose robot intelligence.**
These initiatives aim to enable robots to perceive, reason, and act in unstructured environments, aligning with the broader embodied intelligence trend. In 2025, the Chinese embodied intelligence sector attracted 37.9 billion yuan (US$5.4 billion) across 304 financing deals, more than quadruple the 2024 total. Since its 2014 founding, Uni-Ubi has built a full stack of “AI 1.0” products—including facial recognition and temperature measurement systems for access control, security, and digital management—and delivered solutions to construction sites, parks, residential communities, and hotels in nearly 90 countries since 2019.

**Meanwhile, San Francisco–headquartered legal AI startup Ivo raised US$55 million in a Series B round led by existing investor Blackbird on January 20, 2026, valuing the company at approximately US$355 million post-money.**
The round also included new investors Costanoa Ventures, Uncork Capital, Fika Ventures, GD1, and Icehouse Ventures. Ivo intends to use the proceeds to accelerate development of its legal services platform and expand its sales force to meet growing demand.

**Ivo’s AI-driven platform automates contract review workflows and extracts insights from legacy agreements to evaluate shifts in negotiating positions and risk profiles for clients such as Uber, Shopify, IBM, Reddit, and Canva.**
Since its previous funding round in February 2025, Ivo has increased its revenue sixfold. The company distinguishes its technology by decomposing contract review into over 400 discrete AI tasks to improve accuracy and minimize legal errors. Facing rising demand for support on complex agreements, Ivo plans to triple its headcount from 60 employees by the end of 2026.

Monitored Intelligence for China - Jan. 23, 2026


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Erudite Risk takes an all risks approach to intelligence reporting. We categorize key intelligence into one of 40 different risk intelligence categories.

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Interview: China's economy demonstrates resilience, optimism prevails for future growth: ADB's country director for China

Xinhua | English | News | Jan. 23, 2026 | UndeterminedEconomic Growth

China's economy showed strong resilience and vitality in 2025, achieving a 5-percent growth despite a complex domestic and international environment, according to Asif Cheema, Asian Development Bank's (ADB) country director for China. The ADB revised its 2025 growth forecast upward in December, reflecting confidence in China's economic trajectory. The growth was driven by robust export performance and active industrial sectors, notably in high-tech and new energy industries.

In 2025, China ranked among the top 10 of the Global Innovation Index and surpassed the OECD average with an R&D spending intensity of 2.8 percent. Cheema highlighted "resilience" and "innovation" as key attributes of China's economy, citing rapid progress in artificial intelligence (AI) research and patenting. AI's integration with traditional industries is boosting productivity and fueling significant corporate revenue growth, positioning AI as a strong engine of economic expansion.

Cheema also praised China's macroeconomic policies aimed at improving productivity, enhancing social security to stimulate domestic consumption, and further opening the economy. Foreign investor confidence increased sharply, with offshore inflows into Chinese stocks reaching 50.6 billion U.S. dollars in the first ten months of 2025, up significantly from 11.4 billion dollars for all of 2024.

Looking ahead, Cheema expressed optimism about China's economic outlook, emphasizing stability and sustainable growth through continued efforts to boost domestic consumption and high-tech sectors. As the world’s second-largest economy and largest exporter, China plays a vital role in the global economy by fostering job creation, economic opportunities, and technology transfers through both trade and overseas investments.

Chinese private firms embed themselves in Southeast Asia

China Daily | English | News | Jan. 23, 2026 | Shifting Geopolitical Alliances

Chinese private firms are increasingly embedding themselves in Southeast Asia through comprehensive investments in industrial development, infrastructure, and workforce training. Zhenshi Holding Group, a diversified Chinese industrial firm, has established the Indonesia Huabao Industrial Park in Morowali, Central Sulawesi, which serves as a key example of this trend. The park integrates nickel-iron smelting and related industries with supporting infrastructure such as power facilities, roads, housing, and ports, transforming undeveloped land into a significant industrial hub.

Local employment is a central focus, with Indonesian workers making up over 91 percent of Huabao’s workforce, totaling 2,555 on-site employees and 8,217 including affiliated projects. The company has invested heavily in workforce development, providing thousands of training hours and skill-building programs in vocational, leadership, and digital areas, including Mandarin language courses tailored for the workplace. These efforts have earned recognition from local government and business associations for contributions to employment and human resource development.

Zhenshi’s investment strategy extends beyond manufacturing to stimulating local supply chains, infrastructural improvements, and community development. The park has developed over 300 suppliers, including Indonesian firms, and invested $10 million to expand Morowali’s airport, enhancing regional transport capacity. Ongoing social responsibility projects cover infrastructure, education, healthcare, environmental protection, and economic support, reflecting a broader shift in Chinese overseas investment towards industrial upgrading and sustainable local engagement.

Southeast Asia is a growing priority for Chinese firms aiming to diversify supply chains and markets, with over 6,500 Chinese companies investing directly in ASEAN countries. Indonesia’s large market and rich nickel reserves make it particularly attractive amid growing electric vehicle and new materials industries. The China-ASEAN economic relationship remains strong, bolstered by trade agreements such as the China-ASEAN Free Trade Area 3.0 Upgrade Protocol.

For Zhenshi, the Indonesian experience has shifted its overseas approach from isolated projects to integrated industrial platforms that promote long-term regional development. The Huabao Industrial Park exemplifies how Chinese private enterprises are positioning themselves as enduring partners in Southeast Asia’s economic growth.

Japan unqualified to seek a seat as a permanent member of UN Security Council: Chinese envoy to UN

Global Times | English | News | Jan. 23, 2026 | Geopolitical Conflict and Disputes

Chinese Ambassador Sun Lei, Chargé d'Affaires a.i. to the UN, stated on January 21, 2026, that Japan is fundamentally unqualified to seek a permanent seat on the UN Security Council. He argued that Japan cannot shoulder the responsibility of maintaining international peace and security nor gain the trust of the global community.

Sun highlighted that the Security Council is central to upholding the postwar international order and that Japan's historical militarism has not been fully addressed. Despite the Tokyo trials punishing Japanese war criminals 80 years ago, right-wing forces in Japan have sought to whitewash wartime atrocities such as the Nanjing Massacre and forced labor, while revising history textbooks and honoring Class-A war criminals at the Yasukuni Shrine.

He also criticized Japanese leaders, including Prime Minister Sanae Takaichi, for provocative remarks on Taiwan, pro-nuclear positions, and efforts to revise security policies, which Sun viewed as a push toward remilitarization that threatens regional and global security.

Sun concluded that a country that denies its wartime crimes, challenges World War II outcomes, and disregards the postwar order cannot be trusted with the responsibilities of a permanent Security Council member. China, as a current permanent member, expressed its willingness to collaborate with peace-loving nations to uphold the postwar order and maintain the Security Council's authority and unity.

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