In an analysis published by ThinkChina, researcher Hao Nan argues that China is approaching a second Belt and Road moment centred on artificial intelligence. Rather than focusing solely on consumer-facing software, Beijing is attempting to internationalise an integrated "AI stack"—spanning applications, cloud capacity, servers, and mature-node semiconductors—across developing markets to externalise domestic industrial capacity.
Recent multilateral engagements illustrate this direction. At the Shanghai Cooperation Organisation summit in Bishkek on 1 September, President Xi Jinping proposed establishing an international AI application cooperation centre and executing 100 technology cooperation projects over three years. Less than two weeks later at the BRICS summit in New Delhi, Xi called for an AI open-source community, AI-enabled industrialisation, and deeper collaboration across tech supply chains.
Institutional scaffolding is also expanding through the launch of the World AI Cooperation Organization (WAICO), which 37 countries have agreed to establish following China's AI Cooperation and Development Action Plan in July. WAICO is intended to provide developing nations with affordable computing services, green computing infrastructure, interconnected networks, multilingual datasets, and open-source communities.
According to the analysis, China's domestic AI sector faces asymmetric conditions: hardware bottlenecks at the cutting edge due to high-bandwidth memory shortages and export restrictions, contrasted with vast domestic capacity in data centres, telecom equipment, and mature chips. Expanding overseas demand across the Global South is viewed as critical to closing the commercial loop by providing paying users, recurring workloads, and capital to fund further technological development.
Sources
- ThinkChina · 2026-10-05
