Can the West recover from China’s hi-tech knockout blow?

If you had to choose one totem to represent China’s rise to the forefront of global technology, you might pick the Unitree R1 humanoid robot. It can walk, kick, balance, perform a basic range of kung-fu moves and even do cartwheels without falling over. But what makes it a fitting symbol of China’s tech ascendance is its price. The cheapest model costs only $5,900, a fraction of what competitor humanoids made by US companies sell for. Of course, such a price tag is not pocket change, but it does bring it into range for wealthy individuals and corporations, making it the first ‘affordable’ humanoid robot. $5,900 the cost of the cheapest model of a Unitree R1 humanoid robot, a fraction of what competitor humanoids made by US companies sell for. This is important because it defines the essence of China’s tech challenge to the West. In industry after industry, product after product, Chinese manufacturers are making cutting-edge technology at prices that western competitors cannot match. A wave of anxiety is sweeping through the boardrooms of famous companies in the United States, Germany, Japan, South Korea, Britain and other countries in the West as executives confront the loss of their technological lead to fast-moving, high-tech Chinese competitors. The soundtrack to such a sea change is a chorus of panicked utterances from the bosses of well-known companies in the West. ‘It’s the most humbling thing I’ve ever seen,’ said Jim Farley, Ford’s chief executive, after a visit in July 2025 to China left him astonished at the technological advances being incorporated into Chinese cars. ‘Their cost and the quality of their vehicles is far superior to what I see in the West,’ he said. ‘We are in a global competition with China, and it’s not just electric vehicles (EVs). And if we lose this, we do not have a future at Ford.’