China’s artificial intelligence boom could help mitigate a tariff pain

Beijing – For distrustful Chinese companies of American tariffs, the big difference between the first and second terms of President Donald Trump is the appearance of generative artificial intelligence.

Chinese companies are working hard. Almost every day in the last two weeks, a Chinese company has announced a new AI product, or how they are making money with technology.

To name a few:

Short Video Company Apartment He said on Tuesday that his AI tool to generate videos, Kling, has raised more than 100 million yuan ($ 13.78 million) since its launch last summer.

Tencent Last week he updated his AI model to generate 3D images, which can be used in games or for 3D printing, and launched the full version of its Hunyuan T1 reasoning model. A few weeks before, Tencent had integrated T1 with its application of Yuanbao chatbot that also allows users to play the Deepseek R1.

Active Yuanbao daily users increased 20 times in just one month, Tencent said last week. The company also shared how some farmers have used the AI ​​application to analyze soil conditions for planting.

Baidu On Monday, he launched tools for people to create simple websites and games with conversation indications instead of having to write code. Kunlun Tech, Browser Opera’s father, his Mureka application updated on Wednesday to use AI to generate music.

As a manufacturing center, China has “great advantages in terms of the ‘physical'” since the country has many machines that can collect valuable data to train the specific models of the industry, Maxwell Zhou, CEO of the Deeproute Autonomous Driving Software Company.

Deeproute.AI, launched in 2019, announced last week that I was building a system for autonomous delivery vehicles to send plots with simple voice commands such as “picking coffee from this store and sending it to the apartment.”

Zhou said he expects the system to be operating in China at the beginning of next year.

While it is not clear which AI companies will succeed, analysts expect Chinese companies to have a better opportunity to excel with the help of AI applications. IA tools could reduce costs for companies and compensate part of the impact of an economic deceleration.

The combined impact of technology is to raise expectations for the growth of Chinese corporate profits in next year, said Ding Wenjie, an investment strategist of global capital investment in China Asset Management.

The profits will indicate if the economy is really changing, especially under the pressure of tariffs and other commercial restrictions.

Goldman Sachs in early February estimated that a 20% increase in US tariffs on Chinese goods could shave 5% in Chinese corporate profits, in terms of Hong Kong dollar.

The biggest question for the United States and China, however, extends beyond tariffs.

After a visit to China this week for a conference, the New York Times columnist Thomas Friedman concluded that they were not rates or taiwan that US and Chinese presidents needed to discuss immediately, but that AI is as intelligent as humans and permeates the world.

The author of “The World Is Flat” compared a possible collaboration between the United States and China in the agreement of control of Soviet nuclear weapons.