China is accelerating the development of its artificial intelligence (AI) industry by expanding national AI infrastructure according to local resources and needs. By the end of June 2024, China’s intelligent computing capacity increased by 177 percent annually, reaching 2,185 exaflops. Xiao Hongwei highlighted the fast-paced transition from AI technological concepts to actual product development within the country.
Recent economic data collected from 31 provincial regions in China reveal that the AI industry is developing according to sectoral and geographical characteristics. Demand for AI-related products and services continues to grow steadily. According to Xiao, Beijing, Shanghai, and Guangdong play leading roles in AI industry development due to their technological expertise, workforce, and industrial infrastructure.
The 2026–2030 Five-Year Plan sets targets for these three regions to enhance their global AI competitiveness. Beijing is striving to establish itself as a worldwide center for AI innovation. According to the city’s Cyberspace Administration, as of July 23, 259 large AI models and 195 AI products have been registered.
Other regions in China have identified various AI development areas based on their unique resources and industrial capabilities. For example, Anhui province in the east has accelerated the development of the AI chip industry. The Lichuan AI Computing Center developed AI infrastructure utilizing local natural resources and climate, providing approximately 150 petaflops of computing power with a utilization rate exceeding 80 percent.
