China Archives | Digital Watch Observatory

China launches zero-carbon factory programme for industry and computing

China has launched a nationwide programme to establish national-level zero-carbon factories, extending its industrial decarbonisation strategy to both manufacturing and computing facilities as part of its broader climate and digital development agenda.

According to the Ministry of Industry and Information Technology (MIIT), the initiative will encourage manufacturers and computing facilities to reduce carbon dioxide emissions within their operations to near-zero levels through technological innovation, structural optimisation and improved management.

The programme in China will select manufacturing facilities and computing centres with strong low-carbon foundations, credible decarbonisation roadmaps and a commitment to meeting the programme’s targets within a defined timeframe. Participating organisations will implement measures including process decarbonisation, smart carbon management, carbon offsetting and transparent emissions reporting.

To support implementation, MIIT has introduced a trial evaluation framework setting out core requirements and guiding indicators for participating organisations. Rather than relying on one-off certification, the programme emphasises continuous emissions reductions supported by regular inspections and formal evaluations before facilities can be recognised as national-level zero-carbon factories.

The initiative supports China’s broader climate goals of peaking carbon dioxide emissions before 2030 and achieving carbon neutrality before 2060.

By explicitly including computing facilities alongside traditional manufacturing, it also acknowledges the growing environmental impact of digital infrastructure and AI-related computing.

Why does it matter?

The programme illustrates how climate policy is increasingly extending beyond traditional heavy industry to include digital infrastructure. As demand for AI, cloud computing and data centres continues to grow, governments are beginning to treat computing facilities as strategic assets whose environmental performance must be managed alongside economic development.

The emphasis on continuous monitoring and measurable emissions reductions also reflects a broader shift towards outcome-based industrial policy. Rather than rewarding one-time compliance, China’s framework seeks to embed ongoing carbon management into industrial operations, offering a model that could influence how other countries approach decarbonisation in manufacturing and digital infrastructure.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

UNESCO partners with China on climate monitoring for island states

UNESCO has signed agreements with two Chinese research institutions to strengthen climate monitoring, marine research and scientific capacity in Small Island Developing States (SIDS).

The agreements, signed on 17 July, bring together the International Research Center of Big Data for Sustainable Development Goals (CBAS) and the Second Institute of Oceanography (SIO) to expand access to satellite data, marine science expertise and technical support for vulnerable island states.

UNESCO said many island states face severe climate and environmental pressures but lack the research infrastructure, environmental data and technical capacity needed to respond effectively. The partnerships aim to address those gaps by providing training, scientific tools, knowledge exchange and support for collecting and using environmental data.

The cooperation will support UNESCO initiatives including IslandWatch, which promotes community-based ecosystem observation, and the Centres of Excellence in Marine Sciences and Biodiversity for Portuguese-speaking island states, which strengthen regional research and training.

São Tomé and Príncipe is expected to benefit significantly from the partnerships. After becoming the first country to have its entire territory designated as a UNESCO biosphere reserve in 2025, it requires stronger long-term ecosystem monitoring and scientific expertise.

CBAS has already assessed coastline change, sea-level rise and environmental conditions on Príncipe Island using satellite data, while SIO will contribute marine research and practical training to help local institutions address climate change and biodiversity loss.

The partnerships also contribute to UNESCO’s broader strategy for Small Island Developing States and the International Decade of Sciences for Sustainable Development (2024–2033), reinforcing international cooperation on climate resilience and sustainable development.

Why does it matter?

Many Small Island Developing States face disproportionate risks from sea-level rise, coastal erosion and biodiversity loss, yet often lack the scientific infrastructure needed to monitor environmental change. Expanding access to satellite data, marine research and technical expertise can improve evidence-based climate adaptation and natural resource management.

The agreements also illustrate how international scientific cooperation is becoming an increasingly important component of climate governance. By combining Earth observation, local capacity-building and regional research networks, UNESCO aims to strengthen the ability of vulnerable island states to generate and use their own environmental data rather than relying solely on external expertise.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

China and Thailand launch AI weather forecasting laboratory

China and Thailand have launched a joint laboratory dedicated to applying AI to meteorological disaster forecasting and early warning, aiming to strengthen climate resilience and support cross-border infrastructure and economic cooperation.

Announced during a meteorological sub-forum of the 2026 World AI Conference and High-Level Meeting on Global AI Governance in Shanghai, the initiative will support disaster forecasting while providing meteorological services for cross-border projects in sectors including energy, agriculture and infrastructure.

Described as the world’s first bilateral laboratory dedicated to AI applications in meteorology, it will develop intelligent early warning technologies for hazards including typhoons, heavy rainfall, heatwaves and droughts. The collaboration builds on the China Meteorological Administration’s MAZU intelligent early warning system.

The laboratory will bring together more than 40 researchers specialising in atmospheric science, AI, power systems, agricultural meteorology and regional cooperation. By combining expertise across these fields, the partners aim to improve forecasting accuracy and strengthen preparedness for shared climate risks.

The partnership reflects the growing role of AI in climate resilience and disaster risk management while highlighting increasing international cooperation on applying AI to environmental monitoring and critical infrastructure.

Why does it matter?

The project illustrates how AI is increasingly being deployed in critical public-interest applications beyond generative AI, including disaster preparedness, climate adaptation and environmental monitoring. More accurate forecasting can help governments, infrastructure operators and communities respond more effectively to extreme weather events.

The initiative also reflects a broader trend towards international cooperation on AI for public goods. By combining scientific expertise, data and forecasting technologies across borders, countries can strengthen regional resilience to climate-related risks while supporting sectors such as energy, agriculture and transport.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

China expands high-quality datasets to support AI development

China has built approximately 120,000 high-quality datasets as part of a broader effort to expand the data resources supporting AI development and the digital economy, according to the National Data Administration.

By the end of June, these datasets, covering fields such as scientific research, industrial manufacturing and healthcare, totalled more than 1,565 petabytes, an increase of over 60% compared with the end of the first quarter.

According to the administration, the total volume is equivalent to roughly 547 times the digital holdings of the National Library of China, illustrating the scale of the country’s expanding data resources.

China has also expanded data annotation through pilot programmes in seven cities, including Chengdu, Shenyang, Hefei and Changsha. Officials said these initiatives have processed more than 119 petabytes of annotated data while supporting around 140,000 data annotation jobs.

Why does it matter?

High-quality datasets are becoming a strategic resource for AI development, as they underpin the training, testing and evaluation of increasingly capable AI models. Expanding data availability and annotation capacity can strengthen research, industrial applications and the development of domestic AI ecosystems.

The announcement also reflects China’s broader strategy of treating data as national digital infrastructure. Alongside investment in computing power and AI models, expanding high-quality datasets is intended to support innovation while reinforcing the country’s long-term competitiveness in artificial intelligence.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

China releases international AI ethics governance action plan

China has released an Action Plan on International Artificial Intelligence Ethics Governance during the 2026 World AI Conference and High-Level Meeting on Global AI Governance in Shanghai, outlining its vision for international AI governance and ethical cooperation.

Issued under the guidance of the Ministry of Industry and Information Technology and relevant partners, the plan seeks to strengthen international cooperation on AI ethics within the framework of the UN Pact for the Future and its Global Digital Compact.

The action plan encourages countries to develop AI governance according to their national circumstances while promoting ethical oversight across the entire AI lifecycle. It advocates risk-based governance, agile regulation, stronger cooperation across AI supply chains and greater international policy coordination based on consultation, joint participation and shared benefits.

China also committed to working with international organisations to implement the plan, expand multilateral cooperation and strengthen dialogue among governments, industry and academia. Particular emphasis is placed on supporting developing countries through capacity building, improving access to AI governance resources and promoting a more inclusive global AI governance ecosystem.

The plan further encourages research and open-source collaboration on AI explainability, privacy protection and bias mitigation. It also calls for integrating AI ethics into education, protecting vulnerable groups, including women, children, older persons and persons with disabilities, and helping narrow the digital divide.

Why does it matter?

The action plan reinforces China’s ambition to play a leading role in shaping international AI governance through multilateral institutions, ethical standards and capacity building. By linking the initiative to the UN Global Digital Compact and the Pact for the Future, Beijing is positioning its governance approach within ongoing global discussions on AI regulation.

The emphasis on flexible national implementation, support for developing countries and open-source collaboration also reflects China’s broader effort to influence how international AI governance evolves, particularly in areas where global rules and standards are still taking shape.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

China promotes inclusive AI governance at Shanghai conference

China has pushed back against claims that its open-source AI strategy and cooperation with developing countries are intended to expand its geopolitical influence.

Foreign Ministry spokesperson Lin Jian said on 16 July that AI development affects all humanity and should be guided by openness, inclusion and stronger international governance.

He called for efforts to narrow digital and technological divides, strengthen AI safety and give developing countries greater access to the benefits of the technology.

Lin also criticised technological restrictions and attempts to divide AI development along ideological lines, saying China supports sharing experience and expanding global AI innovation.

The comments came ahead of the World AI Conference and High-Level Meeting on Global AI Governance, which opened in Shanghai on 17 July and runs until 20 July.

At the opening ceremony, President Xi Jinping called for a global AI governance system centred on openness, inclusion, safety and shared development.

The conference brings together government representatives, international organisations, researchers and technology companies to discuss AI development and governance.

China is using the event to present international cooperation, open-source development and capacity-building for developing countries as central elements of its approach to global AI governance.

Why does it matter?

China’s position reflects growing competition over who shapes global AI standards, infrastructure and access. Its emphasis on open-source models and capacity-building may appeal to developing countries seeking affordable technology, while also strengthening Beijing’s influence in global AI governance. The debate, therefore, concerns both narrowing the AI divide and the strategic dependencies that may emerge around models, infrastructure and technical standards.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

UN chief warns against concentrated AI power

UN Secretary-General António Guterres has called for AI to be governed through broad international cooperation rather than shaped by a small group of governments and technology companies. Speaking at the opening of the World Artificial Intelligence Conference in Shanghai, he described AI as “humanity’s greatest opportunity in the 21st century”, while warning that it could also become “one of its greatest risks”.

“Technology that will shape the future of humanity must be shaped by all of humanity”, Guterres said. He stressed that AI governance cannot be governed by a handful of countries or companies” and that “every nation needs a seat at the table”. Recent UN efforts include the Global Digital Compact, the Independent International Scientific Panel on AI and the first Global Dialogue on AI Governance, held in Geneva earlier in July.

AI could support medical research, education, food systems, employment and progress towards the sustainable development goals, but unequal access remains a major concern. “One-third of humanity is still offline,” Guterres noted, warning that concentrated computing capacity, expertise and investment could produce “greater inequalities, greater divides in income, in opportunity, in security”. More than 20 countries have nominated centres for a UN-supported capacity-building network, while recommendations for a Global Fund for AI are also expected.

The UN chief identified capacity development, common safety standards and environmental sustainability as central priorities. “Human rights must be protected”, the UN chief said. “Humans must keep control over every life-and-death decision.” He also stressed that “no AI system should be put in a child’s hands before it has been proven safe”.

Guterres called on major AI companies to disclose their environmental impact and use renewable energy by 2030. “The defining question is whether that transformation will reduce inequalities or reinforce them,” he said. “Whether it will concentrate power or expand opportunity.”

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

World AI Cooperation Organization established in Shanghai

Twenty-nine countries signed an agreement in Shanghai on 16 July establishing the World Artificial Intelligence Cooperation Organization (WAICO), an independent intergovernmental international organisation that will be headquartered in Shanghai.

Chinese Foreign Minister Wang Yi signed the agreement on behalf of China, while representatives from countries including Kazakhstan, Laos, Pakistan, Russia and Indonesia became founding members.

UN Secretary-General António Guterres attended the signing ceremony alongside representatives of other countries and international organisations.

According to the agreement, WAICO will uphold the purposes and principles of the UN Charter, promote extensive consultation, joint contribution and shared benefits, and follow a people-centred approach. Its stated objective is to strengthen international cooperation and global governance on AI while supporting the development of AI that is beneficial, safe and fair for humanity.

The establishment of WAICO follows China’s proposal last year to create a dedicated international organisation for AI cooperation. The organisation adds a new institutional forum to the evolving landscape of global AI governance, alongside existing multilateral and regional initiatives focused on AI policy and international cooperation.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

ECB survey highlights popularity of Chinese e-commerce platforms

More than half of consumers in the euro area have used Chinese e-commerce platforms such as Temu, Shein and AliExpress, according to a Consumer Expectations Survey by the European Central Bank (ECB). Low prices and wide product selection were the main reasons for their popularity.

According to the survey, clothing, household goods and electronics are the most frequently purchased product categories, with most orders worth €50 or less. Usage is highest in Greece, Portugal and Spain and is more common among lower- and middle-income households.

Among consumers who do not use these platforms, the main concerns are product quality, trust, personal data security and environmental impacts. The survey also found that geopolitical considerations play only a limited role in purchasing decisions compared with price and convenience.

The ECB says the findings highlight the growing influence of Chinese e-commerce platforms on consumer behaviour in the euro area and suggest they could affect competition and price dynamics in the retail market.

Why does it matter?

The survey illustrates how low-cost Chinese e-commerce platforms are reshaping consumer behaviour across Europe. Their growing popularity could intensify competition for European retailers while influencing pricing strategies, cross-border trade and consumer expectations around cost and convenience.

The findings also highlight the broader policy challenges posed by cross-border digital commerce. As platforms such as Temu, Shein and AliExpress expand their presence in Europe, regulators will continue balancing consumer benefits from lower prices with concerns over product safety, sustainability, data protection and fair competition.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our Diplo chatbot!

China seeks stronger rules for virtual currency money laundering

China has proposed a series of legal and procedural reforms to improve the investigation and prosecution of virtual currency-related money laundering cases. Prosecutors argue that current legislation creates difficulties in determining criminal liability, collecting digital evidence and recovering illicit assets, leaving gaps in the country’s enforcement framework.

The proposals recommend issuing dedicated judicial guidance, expanding training in blockchain analysis, and requiring investigators to examine both the underlying criminal offence and any related laundering activity. Greater use of blockchain transaction reports and earlier prosecutorial involvement in complex investigations are also intended to improve case handling.

Prosecutors have also suggested updating evidence rules to recognise verifiable blockchain transaction records and qualified blockchain analytics reports, subject to judicial review. Courts could rely more heavily on corroborating circumstantial evidence in cases involving mixers, privacy-focused cryptocurrencies or anonymous wallets where direct tracing is difficult.

The recommendations also call for a national framework to manage seized virtual assets through standardised custody, valuation and disposal procedures, alongside stronger international cooperation on cross-border investigations and asset recovery.

Why does it matter?

The move signals that China is refining its legal approach to virtual currency crime by focusing on investigative procedures and evidentiary standards rather than introducing an outright policy shift. Clearer rules for handling blockchain evidence and seized digital assets could strengthen enforcement while providing greater consistency in complex financial crime cases.

The recommendations also reflect a broader global trend towards equipping law enforcement with specialised tools to investigate illicit cryptocurrency activity. If adopted, the reforms could influence how other jurisdictions develop legal frameworks for digital asset investigations, cross-border cooperation and asset recovery.

Would you like to learn more about AI, tech, and digital diplomacy? If so, ask our chatbot!