China Expands AI Export Partnerships with ASEAN Nations

China has broadened its artificial intelligence (AI) export cooperation with Southeast Asian economies, announcing a series of new agreements covering data infrastructure, algorithmic research, and cloud platform integration. The move comes as Beijing positions itself as a key technology partner for ASEAN under its Digital Silk Road initiative, aiming to accelerate AI adoption across manufacturing, healthcare, and logistics sectors.

China Deepens AI Collaboration with ASEAN Partners

At the ASEAN-China Digital Cooperation Forum held in Kuala Lumpur this week, Chinese technology firms and government agencies signed 14 memorandums of understanding with partners from Malaysia, Thailand, Vietnam, and Indonesia. These agreements cover AI cloud services, digital training programs, and joint development of industrial automation tools.
According to China’s Ministry of Industry and Information Technology (MIIT), the partnership will focus on building regional AI data centers powered by renewable energy to support large-scale model training and enterprise applications.
Huawei Cloud and Alibaba Cloud announced plans to expand their computing hubs in Malaysia and Thailand, enabling faster deployment of AI tools for smart manufacturing and supply chain analytics. Officials said the initiative will promote “shared innovation” and enhance the digital resilience of ASEAN economies.

Economic and Policy Context

ASEAN has become one of China’s most important trade and technology partners, accounting for more than 15 percent of its total exports in 2025. The growing focus on AI exports aligns with Beijing’s broader strategy to transition from hardware-based trade toward high-value digital services.
Economists from the IMF noted that China’s AI exports reached a record 22 billion dollars this year, driven by surging demand for natural language models, industrial robotics systems, and smart city management platforms.
The collaboration also reflects mutual interest in developing regional data governance standards. ASEAN officials said that new agreements will prioritize cybersecurity, personal data protection, and interoperability between national AI frameworks.
“The partnership demonstrates China’s evolution from a technology importer to a collaborative innovator,” said Zhang Wen, senior analyst at the Center for Digital Policy in Beijing. “It strengthens both regional integration and China’s influence in shaping the global digital economy.”

Private Sector Participation and Market Impact

Chinese and ASEAN enterprises are increasingly linking AI exports with localized industry needs. In Indonesia, Huawei’s new AI development center in Jakarta will support local programmers in building customized logistics algorithms for e-commerce and shipping companies.
Vietnam’s FPT Group and Alibaba Cloud have also launched a shared research initiative focused on cloud-based energy efficiency models for industrial zones. These projects are expected to attract investment and create thousands of skilled jobs across Southeast Asia.
Meanwhile, Chinese AI hardware manufacturers, including Cambricon and Horizon Robotics, are providing processors and edge-computing devices for ASEAN’s smart transportation and manufacturing projects.
Market analysts say these partnerships allow China to diversify its technology exports at a time when U.S. and European markets remain partially restricted due to trade controls on advanced chips and AI software.

Regional Technology Integration

Officials expect the AI cooperation framework to expand further in 2026, with additional projects in cloud governance, cross-border data connectivity, and AI-powered education platforms.
The Chinese Ministry of Commerce said the long-term goal is to establish a “regional AI corridor” linking major Southeast Asian digital hubs through interoperable computing infrastructure supported by RMB-settled payments and blockchain verification.
Analysts predict that by 2027, China could account for more than one-third of ASEAN’s imported AI systems, solidifying its position as the region’s leading innovation partner.
With both sides emphasizing digital inclusivity and regulatory balance, the AI export partnership is likely to become a defining feature of China’s technological diplomacy in Asia’s emerging digital economy.