Honda Replaces 30% Workforce With Humanoid Robots And Automated Vehicles At Chinese EV Plant

In the age of artificial intelligence, various industries are undergoing a paradigm shift, driven by the integration of advanced, intelligent automation. Naturally, the automobile industry is no exception. The adoption of AI-powered tools, equipment, and software has sparked a revolution that goes beyond product innovation.

AI is now transforming the core fabric of industrial operations—and a recent event has underscored how quickly the AI revolution has driven into the automotive space.

China is not only leading the automotive scene with autonomous vehicle-maker like BYD, Baidu's Apollo, Pony.ai, WeRide, XPeng, and Nio, but also reshaping factory operations.  

One of the biggest car brands, Honda, is leading the way with an aggressive push towards automation. Starting with its Chinese factory producing the Ye P7 crossover production, the Japanese business hopes to enhance operating efficiency by reducing on-floor people by 30% and replacing them with AI robots and tools.

Read on! 

Honda Replaces Floor Staff With AI Robots And AGVs

Honda’s push is backed by the tactical application of AI-powered humanoid robots and autonomous guided vehicles (AGVs) at its Guangzhou factory, home of its Ye P7 crossover’s production line. The Japanese carmaker aims to use AI hardware to optimize welding processes, lowering fixed costs and increasing efficiency in manufacturing.

This is not just streamlining the manufacturing process but redesigning how automobiles are manufactured. The company, in collaboration with Guangzhou Automobile Group (GAC), is using these technologies to remain competitive in China's fast expanding electric vehicle (EV) industry.

The Guangzhou factory's reliance on AGVs–automated vehicles undertaking heavy lifting, such as transferring battery packs across the production floor–is replacing tasks that were historically done by humans. This shift toward AI automation has raised serious concerns about the future of blue-collar jobs in the automotive sector.

Yet, with major companies such as Mercedes-Benz, BMW, and Dongfeng heavily investing in comparable technology, it points to a larger trend. So, despite the threats to the labor sector, will this trend extend across automotive manufacturing, or even manufacturing, overall? 

Are Humanoid Robots The Future?

While specially designed robots and AGVs have become prevalent, the question of humanoid robots continues to be disputed. While they boost productivity and reliability manyfold, experts point out serious expense and effectiveness challenges.

At present, task-specific machines are better suited for large-scale manufacturing. Nevertheless, the landscape is transforming, with automakers investing in humanoid robots to replace humans in automotive factory settings.

We’ve already seen the rise of humanoid robots’ popularity in China and the United States. At CES 2025, we saw various humanoid robots being revealed, as well as partnerships being struck.

UBTECH's Walker S1 robots, for instance, are working with carmakers BYD and BAIC and logistics company SF Express. Figure, based in California, is testing its Figure 02 humanoid robot at BMW's Spartanburg facility, while Mercedes-Benz is evaluating Apptronik's humanoids for component management.

In addition, ambitious projects such as Elon Musk's intention to build half a million Optimus robots by 2027 and Agility Robotics' plans to have its next-generation Digit robots operating securely alongside people by mid-2025 show the swiftness of humanoid robot advancement.

Overall, these moves point to an increasing interest in the adoption of AI-powered humanoid robotics for industrial applications, especially in the automotive sector. 

What Does The Rise In AI Automation Mean For Manufacturing?

Well, Honda's committed AI automation approach in China signals that the sector is experiencing an intense transition. The emphasis on AI-driven efficiency and the inclusion of advanced robotics are more than just cost-cutting measures but a reflection of a complete reinvention of the manufacturing process.

As technology advances, the role of human labor in manufacturing will undoubtedly change, posing crucial considerations regarding employees and the future of employment in the automotive industry. While Honda's step is small, it is a crucial one in the ongoing AI-powered robotics revolution, and it will be interesting to see how other industry giants respond.

Do you think humanoid robots will play a major role in the future of automotive manufacturing?

Let us know in the comments below!