China's AI boom bigger than just DeepSeek
By Wu Siya
BEIJING, Mar. 5 (China Economic Net)–"China's accomplishment in artificial intelligence stems from a synergistic interplay of domestic innovation ecosystems and proactive global collaboration," Xu Shan, Deputy Director of International Cooperation and Technical Service Department, CAICT AI Institute, told China Economic Net.
In the newly released 2025 Government Work Report, expected development planning in the AI field was released. “The country will establish a mechanism to increase funding for industries of the future and foster industries such as biomanufacturing, quantum technology, embodied artificial intelligence, and 6G technology.”
By now, China’s artificial Intelligence+ action has cultivated numerous smart terminals and smart manufacturing equipment such as intelligent networked new energy vehicles, AI mobile phones and computers, and smart robots, as well as various measures will be further deepened and implemented to strengthen the artificial intelligence industry chain, thus promote the new quality productive forces.
Data shows that by the end of September 2024, the scale of China’s core artificial intelligence industry has been close to 600 billion yuan, with more than 4,500 related companies. According to official forecasts, AI industry in the country will usher in a new wave of explosive growth in the future, with the growth rate leading the world. From 2025 to 2035, the scale of China’s AI industry is expected to grow to 1729.5 billion yuan, with a compound annual growth rate of 15.6%.
So why is there such a boom in artificial intelligence in China?
“China’s AI ecosystem leverages vertical integration across foundational research, application development, and market deployment, supported by a mature industrial infrastructure,” Xu emphasized. “Government-backed clusters like “Shanghai to make itself highland for industrial innovation in AI”, while targeted policies empower SMEs and startups to advance specialized fields such as robotics through niche innovations.”

Pakistani farmers use AI APP developed by Wu’s team to manage farmland [Photo provided to CEN]
“The leap forward of our AI industry is inseparable from the timely support of the government,” echoed Wu Jun, a member of the Chinese Computer Vision Expert Committee. “While many countries were still waiting and watching, China had already quickly determined the overall development policy of AI. Therefore, the explosive development in the past few years should be said to be a natural process of quantitative to qualitative change, meaning China’s AI boom bigger than just DeepSeek.”
Wu Jun pointed out that the “AI+” strategy could effectively cultivate new quality productive forces through domestic cross-industry collaboration. For instance, major e-commerce and social platforms rely on new information infrastructure and massive user data to deeply integrate big data analysis, algorithms, cloud computing to boost the intelligent upgrading of industries and form a virtuous circle. By now, China has initially built a relatively comprehensive AI system, and the industry chain covers key upstream and downstream links including chips, algorithms, data, platforms, and applications.
“Internationally, China has adhered to a people-centered and AI-for-good approach, actively engaging in AI governance under the United Nations framework. It has proposed significant initiatives such as the Global AI Governance Initiative, the Resolution on Strengthening International Cooperation in Building AI Capabilities, and the AI Inclusion Program, contributing China’s solutions for AI governance,” Xu introduced. “Additionally, since 2018, China has hosted the World Artificial Intelligence Conference, providing a high-level platform for international AI exchange and collaboration and promoting inclusive AI development.”
Facing the surging tide of the Fourth Industrial Revolution, China must not only benefit itself but also others. “In addition to establishing an artificial intelligence joint laboratory with Chiang Mai University in Thailand, we have also signed an agreement with Taif University in Saudi Arabia to jointly develop AI + smart medical products for the diagnosis and treatment of children with autism, including “Research on algorithms for high-precision smart health care and treatment assistance programs based on large models” and “Research on algorithms for autism analysis and treatment models based on multimodal large models,” Wu told the reporter.
(Editor:Wang Su)