Shanghai unveils roadmap for embodied AI, targets 50b yuan industry by 2027

by YANG Shuhongji

More than 150 humanoid robots shared the stage at this year's World AI Conference in Shanghai, highlighting China's progress in embodied intelligence. Days later, the municipal government published a detailed policy roadmap to cement Shanghai's lead in the emerging field.

The Implementation Plan for Promoting Embodied Intelligence Industry Development in Shanghai, released on August 6, outlines a multi-year effort to build a globally competitive ecosystem anchored in real-world application. By 2027, the city aims to foster 100 core enterprises, launch 100 application scenarios, and promote 100 globally competitive products.

The plan includes targeted support for breakthroughs in at least 20 core technologies—such as embodied models and domain-specific training data—as well as funding for physical infrastructure, open-source platforms, and international collaboration.

Focus on real-world scenarios

The city identified five high-priority sectors for embodied AI deployment: logistics and assembly, industrial manufacturing, retail, healthcare and elder care, and domestic services. Over the next three years, Shanghai will back pilot projects in areas including parcel sorting, warehouse transport, factory inspections, supermarket navigation, hospital care, and home cleaning.

Projects that meet eligibility criteria may receive up to 20% of verified investment, capped at 10 million yuan. Companies are also encouraged to partner with logistics hubs, hospitals, public housing operators, and elderly care institutions to build replicable, intelligent work units.

Upgrading the industrial chain

Shanghai has been laying groundwork for embodied AI since 2023, when it launched a smart robotics action plan. Since then, the city has attracted major players including Fourier Intelligence and Zhiyuan Robotics, while the broader Yangtze River Delta has emerged as a vital components base.

To deepen its advantage, the roadmap calls for a full-chain upgrade—from components to platforms. Shanghai will support local production of high-value parts such as chips, actuators, core boards and smart sensors, especially where linked to local strength in robotics hardware and AI models.

Enterprises manufacturing standardized models for mass deployment can receive sales or leasing incentives up to 5% of contract value, capped at 5 million yuan.

Public infrastructure and financial tools

A city-level AI industry fund will be coordinated with venture capital and ecosystem funds to support early-stage startups. Innovative tools such as data or computing power equity swaps will provide alternative financing paths. A dedicated cluster will be established in Zhangjiang, Pudong.

Five public platforms will be developed for compute resources, digital twin training, prototyping, investment services, and leasing. Companies using sufficient computing power may receive up to 40 million yuan annually in "compute vouchers." Subsidies for pilot test platform development can reach 50% of costs, up to 20 million yuan. Firms purchasing language or action data for training can apply for up to 5 million yuan per year in "data vouchers."

Open-source infrastructure will also be supported. Communities and products related to open models, data, algorithms, or operating systems may receive up to 5 million yuan. Companies leading international standard-setting can receive up to 1 million yuan. The "100 Schools for Embodied AI" initiative will bring in international experts and build national-level talent hubs.

Toward a world-class hub

The plan emphasizes cross-regional collaboration, calling for integration of R&D, manufacturing and services across the Yangtze River Delta. In May, Shanghai hosted the Zhangjiang Embodied Intelligence Developers Conference, where the National–Regional Humanoid Robotics Innovation Center launched a unified industry standards initiative alongside centers in Zhejiang, Anhui, Shandong, Guangdong and Hubei. The effort aims to standardize skill levels, training infrastructure, data lifecycle management and component design.

At the same event, the Embodied Intelligence Data Alliance was formed by the National–Regional Center, Fourier Intelligence, Zhiyuan Robotics, and KPS. The alliance focuses on curating industry-grade datasets in transportation, healthcare, and service scenarios to accelerate vertical deployments.

With a mix of targeted subsidies, open standards, and long-term talent strategy, Shanghai is positioning itself as a global epicenter for embodied intelligence.