China Launches Ambitious Plan to Boost Economy with Data-driven Growth
China has unveiled a three-year action plan to leverage its massive troves of data and boost its economy. The plan, published by the newly established National Data Administration (NDA), aims to build over 300 representative application scenarios by 2026 and achieve a 20 percent annual growth in the data industry while increasing data trading volume.
The initiative seeks to cultivate data as a new driving force for China’s economic development by capitalizing on the country’s sizable market and abundant data resources. It addresses challenges faced by China’s digital economy, including the low quality of data supply, poor circulation mechanisms, and untapped potential for applications.
The NDA’s plan involves mobilizing data resources to support the development of China’s own artificial intelligence (AI) large language models, such as ChatGPT. Efforts will also be made to encourage research institutions and leading enterprises to build industry databases, thereby creating high-quality datasets for training AI models.
Established last year, the NDA is tasked with coordinating and promoting the construction of data infrastructure and integrating, sharing, and utilizing data resources across China’s economy and society. The agency operates under the National Development and Reform Commission and is led by IT veteran Liu Liehong.
As part of the three-year plan, various types of private capital will be guided and encouraged to invest in the data industry. Support will also be provided to data brokers in raising capital through going public. Additionally, the NDA has identified 12 industries, including manufacturing, agriculture, commerce, transport, finance, and IT, that should make better use of data.
These data-driven strategies reflect China’s desire to catch up with the US in AI development while facing challenges such as restricted access to advanced chips. By establishing the NDA and implementing comprehensive data policies, China aims to unlock the economic value of its data while ensuring security and privacy.
As China continues to focus on digital economy and AI, this ambitious plan sets the stage for data-driven growth, solidifying its position as a global leader in technology and innovation.
