A rules-based research index tracking the public-equity performance of Chinese companies whose business depends on AI being embodied in the physical world — robots, autonomous vehicles, drones, and the components and software that make them work.
The supply chain — harmonic reducers, servo motors, precision components — has rallied so hard that without the 35% sub-sector cap, components would dominate the Index. The cap holds it at exactly 35.0%, redistributing the rest across edge AI compute (Cambricon and Horizon Robotics), sensors, and endpoint robots.
All 41 constituents are investable by US persons. Two AI-chip names — Cambricon and Black Sesame — appear on the US Commerce Entity List (which restricts US tech exports to them) but not on lists that ban US-person investment. They are flagged with an asterisk in the constituent list.
See the full methodology in §2 and §6.
| # | Company | Ticker | Sub-sector | Weight | PAI exposure | 30D |
|---|---|---|---|---|---|---|
| 01 | Cambricon*寒武纪 | 688256.SH | Edge AI compute | 10.00% | 50% | +57.28% |
| 02 | Inovance Technology汇川技术 | 300124.SZ | Components & actuators | 9.12% | 55% | +20.09% |
| 03 | Horizon Robotics地平线 | 9660.HK | Edge AI compute | 8.81% | 100% | −1.72% |
| 04 | UBTECH Robotics优必选 | 9880.HK | Humanoid robots | 4.65% | 95% | +5.50% |
| 05 | Hengli Hydraulic恒立液压 | 601100.SH | Components & actuators | 4.49% | 35% | +18.02% |
| 06 | Will Semiconductor韦尔股份 | 603501.SH | Sensors & perception | 4.32% | 35% | +11.11% |
| 07 | Leader Harmonic Drive绿的谐波 | 688017.SH | Components & actuators | 3.87% | 95% | +47.60% |
| 08 | Lens Technology蓝思科技 | 300433.SZ | Components & actuators | 3.82% | 30% | +4.38% |
| 09 | Ecovacs科沃斯 | 603486.SH | Service robots | 3.46% | 90% | +10.22% |
| 10 | Tuopu Group拓普集团 | 601689.SH | Components & actuators | 3.44% | 35% | +18.43% |
* Listed on the US Commerce Entity List. The Entity List restricts US-origin technology exports to the company but does not restrict US-person investment in its publicly traded securities. Major US-domiciled thematic ETFs (iShares Robotics & AI Multisector, Global X Robotics & AI) routinely hold Entity-List-only names. This Index excludes only companies on lists that prohibit US-person ownership (OFAC SDN, OFAC NS-CMIC).
Top 10 represents 55.97% of total index weight · See full constituents (41) →
“Physical AI refers to artificial intelligence systems that enable machines to autonomously perceive, understand, reason about, and interact with the physical world in real time.”
Companies whose products are dependent on, or directly enable, AI-driven perception, decision, or action in the physical world. Hardware or software both qualify — the test is functional, not formal. General-purpose AI software (LLM chatbots, search, ad tech) is out of scope.
Mainland China A-shares (Shanghai, Shenzhen, STAR) and Hong Kong H-shares are the primary universe. US-listed Chinese ADRs are included only by exception, where a company has material dominance in a Physical AI sub-area not represented through A/H listings.
Constituents must have ≥30% revenue exposure to Physical AI activities, ≥USD 300M float-adjusted market cap, and ≥USD 2M average daily trading volume over the trailing 90 days. All names must be investable by US persons (not on OFAC SDN or NS-CMIC).
Float-adjusted market capitalization, multiplied by each company's Physical AI revenue exposure. Diversified giants are scaled down to their Physical AI footprint. Single-stock weight capped at 10%; single-sub-sector at 35%. Reviewed quarterly, rebalanced semi-annually.
Our China Humanoid Robotics Tracker covers private and public companies, funding rounds, and competitive positioning at the company level — beyond what an index can show.
The China Physical AI Index is a public information product published by Tech Buzz China for informational and educational purposes only. It is not investment advice, not a recommendation, and not an offer or solicitation to buy, sell, or hold any security. The Index is a calculated value derived from publicly available data; it is not a fund, not an ETF, and not a tradable financial instrument. Past performance — whether actual or hypothetical — is not indicative of future results. Securities listed in mainland China, Hong Kong, and as Chinese ADRs carry currency, regulatory, capital-controls, and geopolitical risks.
See the full disclaimer language and methodology §11.
Weekly analysis from Tech Buzz China, including updates from our research products and longer Substack deep dives.
Free and paid tiers. No separate mailing list.