China AI Gains Traction Across Asia As US Pushes Exports Program

Carton of brown eggs on a kitchen counter (Photo by Microsoft Copilot on Unsplash )

Carton of brown eggs on a kitchen counter (Photo by Microsoft Copilot on Unsplash)

Summary
  • US pushed AI exports while showing limited presence at Chengdu event
  • Chinese firms promoted cheaper open models and regional cloud projects
  • Commerce materials highlight flexible exports program and mixed application reports
  • Local startups use open models and Nvidia chips for regional language systems

The US is trying to persuade Asian buyers to adopt its artificial intelligence technology while Chinese alternatives gain ground across the region.

That split was visible at APEC Digital Weeks in Chengdu where American companies made a muted public showing and Chinese vendors highlighted lower‑cost, open‑weight models.

Gary Dvorchak of The Blueshirt Group said the American strategy is to stop China from becoming the leading AI supplier for the rest of Asia and the world.

US firms at the event were limited, with Google and Meta among the few noted exhibitors and Google making only passing public references to its Gemini model.

Tencent emphasized its Hunyuan large language model and related cloud projects, underscoring Beijing’s push to promote broadly available, open models.

Regional Responses And Broader Implications

The US has promoted an American AI Exports Program as a flexible way for partners to buy full stacks or portions of US technology, according to materials reviewed by CNBC.

Bill Guidera of the US Department of Commerce described the program as a brilliant design that shows the strength, security and capability of US AI.

Press reports cited three former officials saying the Commerce Department had received a modest number of applications, while an International Trade Administration spokesperson said the volume exceeded expectations.

Meanwhile, some US companies have delayed or altered model releases after abrupt policy shifts, and Chinese models have launched comparable capabilities at lower cost, according to reporting.

Beijing has amplified outreach, offering thousands of AI training opportunities and proposing cooperation centers for regional application development, while a senior Chinese official advocated new technical standards at the ministerial level.

Industry players and analysts say cost and technological sovereignty drive many Asian adopters toward open‑weight models, but a mix of US and Chinese tech is likely, according to Counterpoint Research and the Economist Intelligence Unit.

Startups such as Votee AI report working with multiple governments on local language systems, generating significant revenue and using a combination of Nvidia chips for training and other chips for deployment.

Experts note language diversity and localized needs mean neither US nor Chinese suppliers will dominate unchallenged, and buyers will balance capability, cost and security in procurement decisions.