China’s AI Boom Extends Beyond DeepSeek
News Desk
Islamabad: China’s rapid advancements in artificial intelligence (AI) are driven by a combination of domestic innovation ecosystems and proactive global collaboration, according to Xu Shan, Deputy Director of the International Cooperation and Technical Service Department at the CAICT AI Institute.
The newly released 2025 Government Work Report outlines ambitious plans for AI development. “The country will establish mechanisms to increase funding for future industries, fostering advancements in biomanufacturing, quantum technology, embodied artificial intelligence, and 6G technology,” the report states.
China’s AI+ initiative has already led to the creation of numerous smart devices and manufacturing equipment, including intelligent networked new energy vehicles, AI-powered smartphones and computers, and smart robots. These efforts will be further expanded to strengthen the AI industry chain and boost new-quality productive forces.
By the end of September 2024, China’s core AI industry was valued at nearly 600 billion yuan, with over 4,500 AI-related companies. Official forecasts predict that the industry will experience explosive growth, with its market size expected to reach 1,729.5 billion yuan by 2035, representing a compound annual growth rate of 15.6%.
Drivers of China’s AI Boom
“China’s AI ecosystem benefits from vertical integration across foundational research, application development, and market deployment, all supported by a mature industrial infrastructure,” Xu told China Economic Net.
Government-backed innovation clusters, such as Shanghai’s initiative to position itself as a hub for industrial AI innovation, play a crucial role in this expansion. Additionally, targeted policies empower SMEs and startups to develop specialized AI applications, including robotics.
Wu Jun, a member of the Chinese Computer Vision Expert Committee, emphasized the importance of government support in China’s AI success. “While many countries hesitated, China swiftly established a comprehensive AI development policy.
The explosive growth we see today is a natural progression from quantitative accumulation to qualitative transformation. China’s AI boom extends beyond DeepSeek,” he said.
The AI+ strategy is fostering industry-wide collaboration by integrating big data analysis, algorithms, and cloud computing across sectors. Major e-commerce and social platforms are leveraging AI-driven information infrastructure and user data to drive intelligent industry upgrades, creating a self-sustaining cycle of innovation.
China has now built a comprehensive AI ecosystem, covering the entire industry chain, including chips, algorithms, data, platforms, and applications.
China’s Global AI Engagement
On the global stage, China has committed to a “people-centered and AI-for-good” approach, actively participating in AI governance within the United Nations framework.
The country has introduced significant initiatives such as the Global AI Governance Initiative, the Resolution on Strengthening International Cooperation in Building AI Capabilities, and the AI Inclusion Program, offering its own solutions for responsible AI development.
Since 2018, China has hosted the World Artificial Intelligence Conference, providing an international platform for AI collaboration and promoting inclusive AI growth.
“China aims to benefit not just itself but also others in the AI revolution,” said Wu. The country has established an AI joint laboratory with Chiang Mai University in Thailand and signed an agreement with Taif University in Saudi Arabia to develop AI-powered medical solutions for children with autism.
These efforts include research on high-precision AI-driven healthcare, treatment assistance programs, and multimodal large-model algorithms for autism analysis and treatment.
As the Fourth Industrial Revolution accelerates, China’s AI advancements are set to drive global innovation, reinforcing its position as a leader in artificial intelligence development and governance.
