Beijing is poised to leverage the newly established WAICO alliance to shape global artificial intelligence (AI) regulations, as per analysts' observations.
At a significant artificial intelligence summit, the geopolitical undercurrents were unmistakable. Chinese President Xi Jinping, during his address at a major tech event in Shanghai on Friday, emphasized the necessity for international collaboration in AI development, while subtly critiquing the United States for its dominant position in the technology sector.
The summit highlighted China's advancements in cutting-edge technology, positioning itself as a rival to the U.S. in the ongoing competition for technological superiority in AI. As Chinese AI developments gain traction internationally, Beijing is proactively positioning itself as a key player in reshaping the global AI landscape, which poses a challenge to U.S. influence over AI's evolution and regulatory frameworks.
A significant development emerged with the announcement of the World Artificial Intelligence Cooperation Organisation (WAICO), a coalition composed of 29 countries, unveiled at a high-profile event that included United Nations Secretary-General Antonio Guterres. This initiative is a cornerstone of China's strategy to assert itself in the global AI arena.
Xi's remarks at the World Artificial Intelligence Conference underscored the importance of harnessing open-source AI as a "historic opportunity." He emphasized that it is vital to ensure equitable access to AI capabilities for developing nations, noting that China is dedicated to collaborating with countries in Africa, Latin America, and Asia to prevent the emergence of "new historical injustices."
“AI should not be monopolized by any single nation; it must be a collaborative international endeavor,” Xi asserted, advocating against an overly nationalistic approach to security in AI. He further highlighted the importance of a "people-centered" strategy, ensuring that AI remains controllable by humans through measures such as regulation and monitoring systems.
WAICO, officially formed on July 16, had been in the works since last year and aims to foster international collaboration on AI regulation to ensure the technology serves humanity safely. Based in Shanghai, the alliance includes several prominent nations from the Global South, such as Indonesia, Brazil, Malaysia, South Africa, Senegal, Russia, and Pakistan. Analysts predict that China will harness WAICO’s influence to steer AI policy discussions at the UN.
The significance of this initiative cannot be overstated. AI is a crucial component of China's broader industrial ambitions, with substantial investments aimed at establishing a self-reliant ecosystem encompassing everything from chip manufacturing to consumer applications. This drive has spurred a competitive "Chip War" with the U.S., both nations vying for supremacy in chip technologies linked to advanced military and AI systems.
While the U.S. currently holds the edge in access to leading-edge semiconductors, China excels in powering extensive data centers essential for AI model training and operation. Moreover, China's control over vital rare earth minerals used in chip production, paired with its advantageous access to affordable electricity for energy-intensive AI processes, suggests a growing capability in the AI domain. Beijing generates more than twice the electricity of the U.S., a gap likely to widen due to aggressive state investments in energy infrastructure.
In response to U.S. technology import restrictions, which are justified by national security concerns, China perceives these measures as efforts to impede its AI progress. In May, the U.S. affirmed restrictions on critical semiconductor shipments to Chinese subsidiaries, prompting Beijing to impose its countermeasures on dual-use technologies and essential minerals for American firms.
As AI technologies evolve rapidly, nations are grappling with the challenge of aligning regulations with this fast-paced growth. Concerns regarding AI's deployment in military contexts have sparked intense governance discussions. China's proactive involvement in organizing the AI conference and forming the WAICO alliance positions it to significantly influence AI governance.
Originally proposed by Chinese Premier Li Qiang in July 2025, WAICO signals a potential shift in China's international strategy—from merely exporting its AI capabilities to crafting global frameworks and policies that reflect its interests. By engaging with middle-power and low-income allies, whose support could bolster its position at the UN, China aims to recalibrate the global technology governance narrative.
With the U.S. stepping back from establishing global norms in cyber and AI domains and reducing its financial commitments to cyber diplomacy, analysts note that Beijing is eager to assert its leadership role and rally support for its vision of state-centric technology governance.
