Chinese humanoid AI robots are on the march. A year ago, they were highly sophisticated novelty acts, performing acrobatics on social media platform TikTok and doing synchronised kung-fu on TV.

Now, according to a new analysis by investment bank Morgan Stanley, they are moving into real jobs in factories and beyond.

This will fuel twin paranoias: about AI’s destructive potential and about China overtaking the West in tech.

So-called ‘embodied AI’ has a physical form such as a robot, a drone, or a driverless car, as opposed to a purely digital existence.

Morgan Stanley’s experts focus on the implications that the rise of the robots may have on investors and markets.