China’s AI Breakthroughs Ignite Tech Rally as DeepSeek Defies Chip Bans
President Xi Jinping's New Year address spotlighted China's accelerating innovation drive, with artificial intelligence and military-tech advancements taking center stage. The speech coincided with projections showing China's GDP on track to reach 140 trillion yuan ($20 trillion) by 2025, surpassing key Five-Year Plan targets.
Defying U.S. semiconductor restrictions, Chinese startup DeepSeek stunned global markets by unveiling a cost-efficient AI model that circumvented export controls. This technological breakthrough has sparked an IPO frenzy among domestic chipmakers, significantly boosting Beijing's push for technological self-reliance. Despite ongoing trade tensions, China's export momentum remains strong, leveraging its dominance in rare earth minerals to secure tariff concessions.