China Plans 2 Trillion Yuan Investment in Nationwide AI Computing Infrastructure Network

As the United States continues to restrict exports of advanced chips and global AI computing capacity remains in short supply, China is treating data centers and computing hubs as national infrastructure. The Chinese government will coordinate the plan, with state-owned enterprises operating the network and domestic suppliers such as Huawei providing at least 80% of its AI chips and related technology. The initiative is intended to reduce reliance on U.S. companies including NVIDIA and AMD and strengthen the competitiveness of China's domestic AI industry.

As of July 20, 2026, the latest blueprint calls for investment of about 2 trillion yuan over the next five years to build an AI data-center network spanning China and integrate regional computing hubs and resource allocation. Key objectives include ensuring that domestically produced AI chips and technology account for at least 80% of the network, with state-owned enterprises leading construction and operations. Averaged over five years, the investment would amount to about 400 billion yuan annually.