1、M IdeaHumanoids|Asia PacificWhat Will Drive the Humanoid Sector in 2H25?We continue to believe downstream adoption and tech breakthroughs are the two key drivers of market sentiment in the humanoid sector.We think an adoption push is very likely in China in 2H25,which would strengthen market sentime

2、nt,and there are events to watch for a tech breakthrough.Morgan Stanley Asia Limited+Sheng ZhongEquity Analyst Sheng.Z +852 2239-7821 Morgan Stanley&Co.LLCAdam Jonas,CFAEquity Analyst Adam.J +1 212 761-1726 Morgan Stanley Asia Limited+Carlos ChaiResearch Associate Carlos.C +852 3963-3180 Morgan Stan

3、ley Taiwan Limited+Sharon ShihEquity Analyst Sharon.S +886 2 2730-2865 Morgan Stanley Asia Limited+Jack LuEquity Analyst Jack.L +852 2848-5044 Tim HsiaoEquity Analyst Tim.H +852 2848-1982 Shelley Wang,CFAEquity Analyst Shelley.W +852 3963-0047 Serena ChenResearch Associate Serena.C +852 2848-7107 Ch

4、elsea WangEquity Analyst Jinlin.W +852 2239-1118 China IndustrialsAsia PacificIndustry ViewIn-LineShift in market dynamics from hyped expectations to focus on adoption:A strong stock rally from Jan-25 to Mar-25(Chinas humanoid value chain up 37%)was supported by ambitious targets,technology breakthr

5、oughs,and government support.Following that,the market pulled back from Mar-25 to Jul-25(down 6%)as integrators lowered their 2025 targets and no impressive breakthroughs came.Whether integrators can realize commercial value in the near term is key for sector upturn,in our view.See key events in 2H2

6、5 here.We expect initial adoption and orders in 2H25.Beyond internal applications and sales to R&D institutions,we expect more orders and adoption in 2H25 that could support sector performance.Integrators are targeting hundreds to thousands of units to be delivered this year,racing to establish the