(Yicai) Feb. 1 -- Chinese manufacturers of service robots, which perform useful tasks for humans, are focusing on seizing market share abroad thanks to their early entry into the sector and more competitive pricing, Yicai learned from industry insiders.

Keenon Robotics, which set up an overseas business department in late 2021, is earning more abroad than in China, and it expects this trend to keep growing in the future, a person in charge at the firm told Yicai.

Pudu Technology does most of its business abroad, a company insider said. Japan, the US and European countries are its main markets. The Shenzhen-based firm supplies 80 percent of Japan’s catering robots.

Our main rivals overseas are basically Chinese peers, both executives said.

Chinese manufacturers have first-mover advantage as they entered the sector early, an industry insider familiar with overseas markets told Yicai. It is hard for foreign companies to compete with Chinese firms in terms of price, as Chinese companies have realized cost savings based on economies of scale and thanks to a reduced reliance on imports.

Chinese robot manufacturers are now able to source hardware and parts locally, and this has had a big impact on lowering prices, the person said.

Before, Keenon imported the core parts it needs, but now most of these components are sourced locally, the person in charge at the Shanghai-based company said. This has greatly reduced costs and prices are likely to fall even further as more homegrown parts become available.

Back in 2016, Beijing Yunji Technology used to sell its food delivery robot to hotels for CNY136,000 (USD19,139) each, said Chief Products Officer Li Quanyin. But this robot is now priced at less than CNY30,000 (USD4,222).

Editors: Shi Yi, Kim Taylor