U.S. Robotics Commission Warns Physical AI Deployment Trails China

The National Security Commission on Robotics for Advanced Manufacturing, an initiative of the Special Competitive Studies Project, released a preliminary report finding that the United States leads in AI, computer vision, autonomy and robotics software but lacks capacity to deploy and produce robotic systems at scale. The report defines physical AI as AI embodied in machines that sense and act in the physical world.

China installed 295,000 industrial robots in 2024, compared with 34,200 in the United States. China now has more than two million installed robots, over five times the U.S. total, while the United States ranks eighth in robot density. Only 12.1% of U.S. manufacturing plants reported using robots in 2021.

The commission identified high integration costs, limited financing, knowledge gaps and uncertainty over cybersecurity, liability and safety standards as barriers. Small and medium sized companies, which represent about 95% of U.S. manufacturers, face particular difficulty adopting robotics. Federal robotics programs are also divided among at least four executive departments without a single accountable authority.

The preliminary report provides a diagnosis rather than policy recommendations. A final report planned for March 2027 will propose measures for government agencies, manufacturers, technology companies, educators, workers, investors and research institutions.