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China positions itself as global AI leader, challenging US dominance

China positions itself as global AI leader, challenging US dominance

Key Takeaways

  • Chinese President Xi Jinping addresses the World Artificial Intelligence Conference in Shanghai.
  • Xi pledges to help developing nations build AI capabilities and promote open-source technology.
  • The speech marks China’s ambition to shape global AI governance and compete with US-led initiatives.

Chinese President Xi Jinping has cast Beijing as the champion of a new global AI order, using the World Artificial Intelligence Conference (WAIC) in Shanghai to promote open-source technology and challenge US influence. In his speech, Xi urged countries to seize the opportunity of open-source AI and pledged to help developing nations build their AI capabilities.

The remarks came at a pivotal moment as Chinese open-weight AI models are making rapid gains against proprietary systems from US companies such as OpenAI and Anthropic. Beijing-based startup Moonshot AI unveiled Kimi K3, described as the world’s largest open AI model by parameter count, just a month after the US government abruptly pulled Anthropic’s frontier-class AI models due to security concerns.

Xi called for AI systems to remain under human control and urged countries to establish early-warning and emergency-response mechanisms to manage AI risks. His comments reflect China's growing influence in the global tech landscape and its ambition to lead in both technology and standards.

The speech pitched China’s AI coalition as a rival to the US-led “Pax Silica” international initiative, which aims to secure global AI and critical mineral supply chains. Xi did not explicitly name Washington but his message was clear: China is not going to follow anyone on AI technology and standards; instead, it will lead in both aspects.

China’s positioning as a leader in the global AI order is further evidenced by its World AI Cooperation Organisation (WAICO), which signed up 29 member countries. Xi said this marked a “milestone in the history of world AI development” and responded to demands from Global South nations for greater participation in AI governance.

China will also provide AI training and develop AI cooperation centres with BRICS, ASEAN, Latin American, and African Union countries. This aligns China’s AI diplomacy initiatives with major Global South blocs where it already holds significant influence.

George Chen, Chair in Digital Practice at The Asia Group, a consultancy, commented: 'Xi's message is clear: China is not going to follow anyone on both AI technology and standards. Instead, China is going to lead the world in both aspects.' He added that Xi’s message can also be viewed as a warning — China will not let anyone tell it what to do with AI.

The July 17-20 gathering comes as Washington and Beijing prepare for their first government-level AI talks under US President Donald Trump's administration, elevating WAIC from its previous status. This marks an important step in the ongoing tech rivalry between the two global superpowers.

'Xi’s message is clear: China is not going to follow anyone on both AI technology and standards. Instead, China is going to lead the world in both aspects.'

George Chen, Chair in Digital Practice at The Asia Group