[Edaily Reporter PARK MIN ] On the 4th, ROBOTIS(108490)is showing strength in early trading on the KOSDAQ market, buoyed by a return to profitability in the second quarter and visible growth in the Chinese market.

In particular, as momentum from spillover benefits resulting from the U.S. Federal Communications Commission’s (FCC) regulations on Chinese-made robots has resurfaced, positive sentiment is spreading across the domestic robotics sector as a whole.

According to MP Doctor, as of 9:28 a.m. today, ROBOTIS is trading at 304,000 won, up 22.33% (55,500 won) from the previous trading day. At the same time, TPC Mechatronics Corporation(048770)was trading at 3,965 won, up 30.00% (915 won) from the previous day, hitting the daily price limit, while TXR Robotics Co., Ltd. (+15.14%) and Robostar Co.,Ltd.(090360)(+12.41%) are also posting double-digit gains.

The market is focusing on the convergence of ROBOTIS’s improved fundamentals and positive external policy developments.

ROBOTIS successfully returned to operating profit in the second quarter thanks to strong demand for its core component, the “Dynamixel” actuator. In particular, as orders from Chinese humanoid robot clients began to pick up in earnest, sales in the Chinese market surged approximately threefold, fueling expectations for a turnaround in the company’s performance.

In addition, the fact that the U.S. Federal Communications Commission (FCC) has moved to regulate Chinese-made robots on the grounds of strengthening cybersecurity and national security has come back into focus, which is believed to have provided further momentum to the stock’s rise.

Previously, the FCC recently imposed a blanket ban on the certification and import of new Chinese-made robot models—including humanoid and quadruped robots—to block cybersecurity threats and disruptions to communication networks.

Analysts suggest that investor sentiment has been boosted by the expectation that global big tech companies and industrial robot buyers—who are now seeking to establish alternative supply chains after the U.S. government blocked the entry of Chinese robot companies that had been aggressively competing on price—will turn their attention to South Korean firms that have proven their technological stability.