China

Intelligence for Better Decision Making

China’s AI Sector Drives Southeast Asia Expansion and Unveils Strategic Innovations
Nov. 18, 2025 | Technology & Innovation

China’s artificial intelligence sector is rapidly extending its reach into Southeast Asia while unveiling new products and partnerships at home and abroad.

**Chinese AI firms are intensifying their expansion into the Association of Southeast Asian Nations (ASEAN) as Beijing positions AI as a core pillar of economic and technological cooperation.**
In August 2025, China rolled out guidelines under its “AI Plus” initiative that call for stronger global cooperation, inclusive AI sharing, and the creation of a global governance framework. Chinese officials view AI as a key driver for deepening China-ASEAN integration and forging a shared regional future.

**ASEAN markets appeal to Chinese providers with their fast-growing digital economies, favorable demographics, and high demand for digital infrastructure and industrial digitization.**
Firms offer a broad range of AI solutions, from healthcare diagnostics and intelligent building management to energy system optimization and public service chatbots. Industry leaders see China’s advanced AI capabilities and ASEAN’s market diversity as a complementary basis for mutually beneficial partnerships.

**To support these overseas ventures, Beijing inaugurated the ZGC AI Business International Service Hub (ASEAN) at the 2025 GAI+ Conference in Beijing.**
The hub closes information gaps and assists Chinese AI enterprises with market analysis, regulatory navigation, and partnership matchmaking. Officials describe it as a strategic mechanism for sustaining vendor growth and strengthening international presence.

**Alibaba’s cross-border e-commerce arm, Alibaba.com, is integrating AI-driven enhancements into its global B2B platform.**
Its new “AI Mode” search will give buyers subscription-based comparative insights on price, logistics performance, and production capacity at $20 per month or $99 per year. Alibaba.com is also developing “agentic pay,” an AI tool that drafts and manages trade contracts from conversational inputs, and piloting tokenization of euros and US dollars to speed settlement and cut out intermediaries. For payment tokenization, Alibaba.com plans to work with JPMorgan’s JPMD technology while remaining open to broader stablecoin solutions.

**Kingdee International Software Group unveiled its latest AI-native offerings at the Global Changemakers Conference 2025 in Shanghai.**
Its “Xiao K” super entrance integrates nearly 20 intelligent agents spanning marketing, supply chain, human resources, finance, and ESG, working around the clock to reduce labor costs and boost efficiency. Kingdee also introduced an upgraded “Kingdee AI” cloud platform that aligns with China’s national “AI+” roadmap, which aims to enhance scientific and technological capabilities by 2035 as outlined by the Fourth Plenary Session of the 20th Central Committee of the Communist Party of China.

**AI chip developer Intellifusion Technologies has dubbed 2025 a pivotal year for AI and predicts that the world will enter a fourth industrial revolution led by AI by 2030.**
Intellifusion teamed up with Kingdee on a “Core Software Symbiosis” initiative to upgrade 1,000 enterprises with integrated AI-powered software and computing-power solutions within three years, leveraging Kingdee’s network of partners.

**Kingdee also signed a strategic agreement with Malaysia’s Chin Hin Group Berhad to enter Southeast Asia’s enterprise market.**
Chin Hin chose Kingdee’s AI-driven software suite as a benchmark for digital transformation, shifting away from traditional Western ERP systems.
Severe Cold Wave Strikes Central and Eastern China, Triggering Coordinated Energy Security Measures
Nov. 18, 2025 | Energy & Natural Resources

A severe cold wave will sweep central and eastern China from November 16 to 18.

**China’s National Meteorological Center issued a blue alert on November 16 for a cold wave expected to hit central and eastern China from November 16 through 18, marking the season’s first nationwide cold‐wave event.**
Forecasters predict average and low temperatures will fall by 6 to 10 °C, with provinces including Shaanxi, Chongqing, Henan, and Hubei facing drops of 12 to 14 °C. Strong north winds of force 4–6, with gusts up to force 8, will extend across most regions before easing around November 19.

**Since November 14, the cold front has pushed eastward and southward, driving temperature declines exceeding 12 °C in parts of Inner Mongolia, Heilongjiang, Jilin, and Shaanxi.**
The advance has triggered snowfall and blizzards in northeastern areas and near the Qinling Mountains. Nationwide precipitation remains limited due to weak moist airflow and the absence of a southern‐branch trough. By November 19, the 0 °C isotherm will have shifted south to southern Jiangsu, southern Anhui, and central Hubei, and snow will end on November 18, giving way to predominantly clear, dry conditions.

**Rapid temperature drops and strong winds have driven a surge in residential and industrial heating demand.**
The State Grid and National Energy Administration have mobilized comprehensive winter energy security measures, boosting coal and natural gas inventories and prioritizing power dispatch to households and key enterprises. They have also improved the efficiency of new energy utilization and accelerated grid reinforcement.

**To strengthen cross‐regional capacity, grid authorities completed 68 anti‐icing and disaster‐resilience projects in 2024 and commissioned 113 new high‐voltage transmission lines since early 2025.**
Major hydropower units—such as Fujian’s Gutianxi plant and the Yebatan Hydropower Station—have come online, while ultra-high-voltage lines from Xinjiang’s new energy base enhance eastward power delivery.

**Coal production remains robust at more than 12.3 million tonnes per day, and power plant stocks now support about 35 days of use.**
Coordinated rail, road, and water transport combined with market regulations have contained coal price volatility. In urban networks, advanced fault detection and repair technologies have secured supply reliability, illustrated by the Xiong’an New Area’s 99.9999 percent grid uptime.

**In the first three quarters of the year, renewable generation reached 2.89 trillion kWh, a 15.5 percent increase year‐on‐year, with wind and solar accounting for 22 percent of total electricity consumption.**
The Xinjiang integrated coal-new energy base and its associated ultra-high-voltage transmission lines reinforce the eastward delivery of green power. Meanwhile, nuclear heating projects—most notably Shandong’s “Warm-Core No 1”—now serve 400,000 residents, reducing air pollution and diversifying heat sources.

**Oil and gas infrastructures have undergone maintenance on major pipelines, expanded storage capacity, and optimized domestic field output.**
The National Pipeline Network Group and Sinopec have increased LNG procurement and storage ahead of peak winter demand. Tarim and Changqing oilfields have ramped up gas injections and rebuilt reserves to secure reliable fuel supplies for heating and industry.

**Experts describe China’s winter energy security framework as an integrated, intelligent, and green system.**
Its multi-energy complementarity, advanced dispatch mechanisms, growing low-carbon capacity, and reinforced safety resilience support stable economic operations and societal well-being amid significant temperature fluctuations.

Monitored Intelligence for China - Nov. 18, 2025


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Sino-German auto biz cooperation revved up

China Daily | English | News | Nov. 18, 2025 | UndeterminedBizdev-Partnering

China and Germany are advancing their automotive cooperation from complementary market roles to joint development of technologies and standards aimed at the global industry's shift toward electrification and intelligence. This evolution was highlighted at the ninth Sino-German Automotive Conference in Changchun, where experts emphasized building a new global auto cooperation ecosystem rooted in mutual technological innovation and industrial integration.

The cooperation is transitioning from traditional trade and investment toward innovation-driven partnerships. Chinese automotive players are increasingly proactive in electric and intelligent vehicle development, supported by a comprehensive supply chain that empowers international partners. Volkswagen's collaboration with China's Xpeng exemplifies this shift, reflecting China's expanding role in global industrial restructuring.

China's rapid pace of innovation and digital advancements complement Germany’s strengths in engineering and industrial precision, creating opportunities for mutual learning and competitive advantage. The joint development of plug-in hybrids on dedicated electric vehicle platforms was identified as a promising area that combines German quality with Chinese speed.

China's auto sector continues strong growth, producing 27.69 million vehicles from January to October 2025, a 10 percent increase year-on-year, with new energy vehicle (NEV) output rising 33.1 percent to 13.01 million units. NEVs accounted for over 51.6 percent of new car sales in October, marking a historic milestone, and exports surged 90.4 percent to 2.01 million units in the first 10 months. Chinese automakers intend to deepen cooperation into new energy, smart connectivity, and supply chain resilience.

The partnership has already produced results such as Audi FAW New Energy Vehicle Co Ltd’s all-electric vehicle plant in China, delivering the Audi Q6L e-tron in July. Both countries see collaboration as a means to accelerate green and digital industry transitions. Germany values access to China’s large NEV market and innovations in batteries and smart technologies, while China benefits from German engineering and brand-building expertise.

Looking ahead, the next phase of Sino-German cooperation will emphasize joint research, shared platforms, and co-created standards to maintain competitiveness and support global industry sustainability. Industry leaders also stressed the need for stronger integration among companies and governments to manage challenges like rising tariffs and supply chain risks, highlighting the success of long-term, balanced collaboration between the two nations.

Japan's accelerating military deployment a manifestation of its strategic shift, Chinese experts say

Global Times | English | News | Nov. 18, 2025 | Geopolitical Conflict and Disputes

Japanese Prime Minister Sanae Takaichi's recent remarks on China's Taiwan region have intensified Chinese concerns over Japan's military expansion, which is seen as a departure from its pacifist constitution. Since the passing of Japan's "three new strategic documents" in 2022, the country has been developing multiple long-range missiles, improving military infrastructure, and stockpiling ammunition. Notably, Japan recently deployed F-35B stealth fighter jets capable of carrier operations for the first time since World War II, and is converting destroyers into aircraft carriers. Japanese officials have also expressed consideration of adding nuclear-powered submarines to their fleet.

Chinese experts view these developments as a direct indicator of Japan's strategic shift toward greater military assertiveness, with potential negative implications for regional peace and stability. The PLA Daily warned that Japan's military activities could lead to catastrophic consequences if it intervenes militarily in the Taiwan Strait. Chinese authorities see Japan's expansion as a violation of its pacifist constitution and a confrontation with historical lessons from World War II.

In response, China has emphasized continuous military deterrence, conducting patrols and exercises around Taiwan and deploying advanced equipment to counter external interference. Chinese Defense Ministry spokesperson Jiang Bin condemned Takaichi’s remarks as serious violations of the one-China principle and international norms, viewing them as interference in China's internal affairs. The spokesperson warned Japan against military involvement in Taiwan, citing heavy consequences if it repeats historical aggressions.

End of era ordering cheap stuff online from China as Thailand imposes a 10% duty on low cost imports

Thai Examiner | English | News | Nov. 18, 2025 | Supply Chain Issues

Thailand will impose a 10% duty on low-value imports under ฿1,500 starting January 1, 2026, ending the previous exemption for small parcels. This move aims to combat a surge in cheap Chinese imports that have pressured local manufacturers and retailers, aligning Thailand with similar policies enacted by the United States and the European Union. The Finance Minister, Ekniti Nithanprapas, stated that the new duty will support Thai small- and medium-sized enterprises (SMEs) by curbing low-cost foreign goods that have undermined domestic production and market share.

The removal of the de minimis exemption will require that all imports, regardless of value, face duty assessment, increasing logistics complexity and processing times for cross-border e-commerce shipments. Logistics providers and carriers will need to implement new workflows and IT system upgrades to manage duty collection and customs clearance, while sellers must adjust pricing and shipping strategies. Some sellers may consolidate shipments to mitigate the new costs, and online platforms are expected to reconsider fulfillment models, potentially boosting local warehousing.

Local businesses, which have reported factory closures linked to cheap imports primarily from China, welcome the policy as it aims to equalize competition. However, detailed customs guidelines on valuation, classification, and documentation have yet to be issued, causing uncertainty among importers, carriers, and customs brokers preparing for compliance. The combined effects of the 2025 VAT and the upcoming 2026 duty overhaul signal a structural shift in Thailand’s e-commerce and import regime, likely raising prices on low-cost imports while supporting domestic manufacturing resilience in a globally tightening trade environment.

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