China prioritises AI and tech self-reliance in new five-year plan

Innovation and advanced technology sit at the centre of China’s new five-year development strategy.

Chinese flag over a world map symbolising China's technology strategy and global innovation ambitions

A new five-year development plan approved by lawmakers in Beijing places innovation and advanced technology at the centre of future economic growth. The strategy is designed to strengthen technological capabilities and position China as a leading global tech power.

The plan outlines ambitions to upgrade China’s industrial sector, expand domestic research capacity, and reduce reliance on foreign technologies. Priority sectors include AI, robotics, aerospace, biotechnology, and quantum computing. Officials see these industries as key drivers of economic growth over the coming decades.

AI features prominently in the strategy, with the term appearing dozens of times in the policy document. Beijing plans to expand AI-related industries, invest in large computing clusters, and support the development of advanced systems capable of performing complex tasks beyond traditional chatbots.

China also aims to increase spending on science and technology, with government research budgets rising by around 10 percent annually. The plan sets a target of expanding research and development investment by at least 7 percent per year, reflecting Beijing’s intention to strengthen domestic innovation capacity.

Efforts to achieve greater technological self-sufficiency come amid continued tensions with the United States over trade and technology restrictions. Export controls on advanced semiconductor technologies have highlighted China’s dependence on foreign chips, prompting the government to pursue breakthroughs across the semiconductor supply chain and emerging technologies.

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