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China's AI industry scales new heights amid tech boom: report

China

China

China

China's AI industry scales new heights amid tech boom: report

2026-11-04 21:34 Last Updated At:23:47

China's artificial intelligence (AI) industry is scaling new heights, driven by explosive enterprise adoption and a booming embodied intelligence sector, according to an industry report released on Wednesday.

China's embodied intelligence market was worth approximately 915 billion yuan (around 137.13 billion U.S. dollars) in 2025, up 20.4 percent year on year, according to the China Internet Development Report 2026 released by the Chinese Academy of Cyberspace Studies at the ongoing 2026 World Internet Conference (WIC) Wuzhen Summit in Wuzhen, east China's Zhejiang Province.

The report noted that China's AI agent market had expanded swiftly, with the country's enterprise AI agent market reaching 21.2 billion yuan (3.18 billion U.S. dollars) in 2025.

By June 2026, a total of 924 generative AI services had completed official filings, alongside 573 generative AI applications or functional registrations, the report said.

Driven by widespread adoption, China's daily average token call volume skyrocketed to 140 trillion in March 2026, marking a more than 1,000-fold increase over a two-year span, according to the report.

The report also noted that China's external exchanges and cooperation in cyberspace have deepened, earning broad international alignment and amplifying its global influence and leadership in digital governance.

Commenting on these trends, Chen Baihui, vice chairman of the WIC E-commerce Specialized Committee, emphasized the transformative power of openness, citing the theme of the summit "Open Source and Openness, Joint Contribution and Shared Benefits -- Jointly Building a Community with a Shared Future in Cyberspace."

"'Open Source and Openness' lowers technological barriers and usage costs, enabling small and medium-sized enterprises in developing countries to access and afford AI. 'Joint Contribution and Shared Benefits' promote communication in data protection, human resources development, and regulatory coordination, reducing friction costs in cross-border applications. 'Open Source and Openness, Joint Contribution and Shared Benefits' are not just technical philosophies, but critical opportunities to narrow the digital divide and help developing countries boost productivity and integrate into the global digital economy," Chen said.

The Chinese Academy of Cyberspace Studies also issued the World Internet Development Report 2026 on the same day, highlighting rapid advances in AI technology worldwide.

A new wave of scientific and industrial revolution is accelerating, with global AI transitioning from quantitative accumulation to qualitative leaps while expanding deeper into the physical world and scientific research, said the report, projecting that AI will contribute 22.3 trillion U.S. dollars to the global economy by 2030, accounting for 3.7 percent of global GDP that year.

Meanwhile, the report also warned that regional imbalances are intensifying, with AI developments inadvertently widening the digital divide and creating a new "intelligence gap" among countries.

Addressing these global governance challenges, Cyrus Hodes, co-founder of AI Safety Connect, highly commented on China's proactive approach to international collaboration and guardrails.

"China is calling for global governance mechanism, China is calling for regulation, China is implementing regulations. So, really, China is leading the way there and China is open to have a global discussion there. So, I'm hoping that other countries will listen to that call, will sit at the table and will look at cooperation mechanism toward the development and deployment of this AI systems. So, capacity building is not only to teach the rest of the world how you can use this system, but also to bring safety guardrails and safety education around that," he said.

The two reports have been released annually since 2017 as outcomes of the WIC Wuzhen Summit.

The 2026 summit has gathered roughly 1,800 delegates from 138 countries and regions as openness and shared innovation will remain the central theme. The event runs through Thursday. The WIC was established as an international organization headquartered in Beijing in 2022.

China's AI industry scales new heights amid tech boom: report

China's AI industry scales new heights amid tech boom: report

Austrian Chancellor Christian Stocker visited Tongji University in Shanghai on Wednesday, before attending the opening ceremony of the ninth China International Import Expo (CIIE) in the city on Thursday.

Stocker is paying an official visit to China until Saturday at the invitation of Chinese Premier Li Qiang.

While delivering a speech at the Tongji University, he put scientific research and higher education cooperation in the spotlight.

"Austria and China will build the future together, bringing mutual benefits to both countries. This requires courage, confidence and long-term commitment," said the Austrian chancellor, noting that Austria will be a trustworthy partner to China in opening a new chapter for cooperation.

At a panel discussion, participants from both countries discussed the future of science and engineering.

Recent exchanges between the Tongji University and Austrian universities focused on joint research, student mobility and the growing role of artificial intelligence in engineering education.

"This year marks the 55th anniversary of [the establishment of] diplomatic ties between China and Austria, and 100 years [the 100th year] since Professor Hans List began teaching at the Tongji University. These two milestones invite us to look back at history. The longstanding friendship between Chinese and Austrian engineers is a vivid example of China's openness to the world," said Wan Gang, honorary president of the China Association for Science and Technology.

In 1926, Hans List began teaching at the Tongji University, helping train China's first generation of internal combustion engine specialists. A century later, his family donated historical archives and a statue of him to the university.

There has been close cooperation between the Tongji University and AVL List GmbH, which was founded by Hans List and is one of the world's leading mobility technology companies for engineering, simulation, and testing in the automotive industry.

A century ago, Austria brought some of its most advanced engineering technologies to China. Today, the two countries are building on that legacy, strengthening their friendship and partnership, and driving a new wave of innovation together.

Austrian chancellor visits Tongji University in Shanghai

Austrian chancellor visits Tongji University in Shanghai

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