China’s Focus on Future Industries: A Strategic Drive Towards Technological Leadership
July 14, 2025—Riyadh
China has long been intensifying its efforts to achieve technological supremacy, with an emphasis on cultivating “future industries” amid escalating competition with the United States. This strategic focus is central to China’s ambition for a new growth model prioritizing innovation and industrial upgrades.
Defining Future Industries
The term “future industries” was first introduced by Chinese President Xi Jinping in 2020. It encompasses sectors where core technologies are still in their nascent stages but possess vast potential for transformative impact. According to a report from the South China Morning Post (SCMP), which was reviewed by Al Arabiya Business, China aims to be a front-runner in these cutting-edge fields.
Key Priorities Highlighted in China’s 14th Five-Year Plan (2021-2025) include:
- Brain-inspired artificial intelligence
- Quantum information technology
- Genetic engineering
- Next-generation networks
- Deep sea and aerospace exploration
- Hydrogen energy production and storage
- Humanoid robotics
These sectors are not merely technological aspirations but critical components of China’s comprehensive economic overhaul designed to foster innovation and reduce reliance on Western technologies.
Strategic Advances and Regional Innovation Hubs
In 2024, China’s Ministry of Industry and Information Technology (MIIT) delineated precise areas of concentration such as large next-generation aircraft, AI data centers, and humanoid robots.
Hangzhou, dubbed the “Chinese Silicon Valley,” has emerged as a thriving ecosystem for startups attracting global attention. Prominent companies based there include:
- DeepSea (artificial intelligence)
- Game Science (game development, known for “Black Myth: Wukong”)
- Unitree and Deep Robotics (robotics)
- BrainCo (neural interface technology inspired by Neuralink)
- Manycore (spatial intelligence)
Morgan Stanley reports that China currently accounts for about 56% of publicly listed humanoid robotics companies globally and 45% of robotic systems integrators, underscoring its dominant position in this sector.
Progress in Biotechnology
China has also made notable strides in biotechnology, particularly in CAR-T cell therapy treatments for cancer. By March 2025, Chinese regulators had approved five CAR-T therapies, ranking the country second worldwide after the US.
WuXi AppTec stands out as a leading player in this arena. The company has drawn scrutiny from a US congressional panel that compared it to “Huawei” in the tech sphere, cautioning against potential Chinese dominance over critical global supply chains in biotechnology.
Robust State Support
Extensive government backing underpins these advancements through:
- Substantial financial investments
- Talent development initiatives
- Facilitating technology companies’ access to stock exchanges
- Innovative financing methods, including innovation bonds and blockchain-based funding
To spur innovation, MIIT introduced a model to publicly identify major technological challenges and prioritize funding and support for the best solutions. With a severe shortage of qualified specialists, some firms have offered salaries up to four times the national average to attract top engineers and experts.
Global Implications
China’s commitment to future industries is reshaping the global technological and economic landscape. Success in areas such as AI, quantum computing, and biotechnology would shift global power balances, positioning China as an indispensable source of innovation.
This prospect raises concerns among Western capitals that fear losing their traditional technological edge.
In sum, Beijing’s drive to lead the industries of tomorrow represents more than national ambition; it signals a redefinition of global innovation ecosystems with broad geopolitical and economic consequences.
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