China's AI industry to exceed $140 billion and accelerate technological leadership

China's AI industry to exceed $140 billion and accelerate technological leadership
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The Chinese artificial intelligence industry is reaching a new level. By the end of 2025, the market volume will exceed $140 billion, and AI will become one of the key factors of the country's technological and economic leadership.

China is steadily approaching a new technological milestone: by the end of 2025, the volume of the national artificial intelligence industry will exceed 1 trillion yuan, which is equivalent to about 140 billion US dollars. This indicator reflects not only the growth of the market, but also the systemic transformation of the Chinese economy towards intellectual and high-tech industries.

The key driver of the expansion of the AI sector has been the massive implementation of solutions based on large language models in industry, logistics, finance and the service sector. During the year, the share of such technologies in the industry structure increased from 19.9% to 25.9%, indicating a transition from experimental use to large-scale commercialization.

The consumer segment also plays a significant role in the growth. Intelligent wearable devices, robotics, and AI-powered sensor equipment are rapidly entering everyday life. In the first ten months of 2025, online sales of such devices increased by more than 23%, confirming the steady demand from the public and businesses.

Of particular importance for China's technological sovereignty is the development of its own element base. The authorities and corporations are consistently increasing the production of specialized chips for artificial intelligence. Already in the fourth quarter of 2024, the share of domestic processors in data centers exceeded 50%, which significantly reduced dependence on foreign supplies and strengthened the national AI ecosystem.

According to relevant research institutes, China owns about 60% of the world's patents in the field of artificial intelligence. This makes the country one of the key centers of global research and development, shaping the future standards of the industry.

The state strategy "AI Plus", launched by the State Council, gives an additional impetus to development. It provides for the deep integration of artificial intelligence into at least six basic sectors of the economy by 2027, from industry and transport to medicine and urban infrastructure. In the longer term, by 2030, the smart economy is seen as the main source of China's qualitative growth, productivity gains, and international competitiveness.

At the same time, Beijing is promoting the idea of international cooperation in the field of AI, offering to create a global platform for joint research and development of standards. This approach allows China not only to strengthen its own position, but also to shape the rules of the game in the global technology market.