According to a report by China Daily on March 19…
China is accelerating the development of “new quality productive forces,” with the government emphasizing artificial intelligence, digitalization, and data resources as key tools to modernize the economy. The 2026 Government Work Report highlighted initiatives ranging from smart manufacturing to large-scale computing infrastructure.
Officials and experts stress that these technologies are not only critical for creating new forms of economic activity but also for strengthening traditional industries.
Zhang Yuzhuo, chairman of the State-owned Assets Supervision and Administration Commission of the State Council, noted that sectors such as energy, petrochemicals, and construction remain the backbone of China’s economy. Recent efforts to digitize and green these industries have produced 70 high-standard smart factories and six pilot smart facilities.
In the energy sector, Yang Changli, chairman of China General Nuclear Power Group, said the company is pursuing “Digital Nuclear Power” to upgrade processes across equipment design, construction, production, and operations, highlighting AI’s potential even in traditional industries.
Construction is also seeing a digital transformation. Feng Yuan, chief engineer at China Southwest Architectural Design and Research Institute Corp, described how architects are shifting from drafting to planning roles through digital tools, enabling more innovation and human-centric design.
The report emphasizes building new infrastructure, including large-scale smart computing clusters. China has already established 42 clusters with a combined capacity exceeding 1,590 EFLOPS, ranking among the global leaders. Still, Gao Wen, an academician at the Chinese Academy of Engineering, warned that overall computing power remains insufficient to meet growing AI demands.
Looking ahead, Chen Lei, director general at the National Development and Reform Commission, said the 15th Five-Year Plan (2026–2030) will focus on deploying 10-gigabit optical networks and 5G-A commercialization to build a national integrated computing network. Gao predicts that once these networks are in place, accessing computing power could become as simple as using electricity.
The government’s push illustrates a broader strategy: leveraging AI and digital infrastructure to enhance traditional industries, build new economic capabilities, and strengthen China’s position in the global technology landscape.