You may soon hear a lot more about Zhejiang, a coastal province in eastern China known for being the home of tech giants like Alibaba and DeepSeek. The local government has just launched an ambitious plan to turn the region into a global leader in artificial intelligence (AI).
The new policy, published on the provincial government’s website and drafted in April, sets high expectations. By 2027, major companies in the AI supply chain – including those working on large language models, cloud computing, and semiconductors – are expected to reach more than 1 trillion yuan (US$138.6 billion) in combined revenue. This figure is almost double the value of China’s entire AI industry last year, which stood at 570 billion yuan.
The goal is clear: make Zhejiang a “global AI innovation development highland.” To achieve this, the government is combining financial support, talent recruitment, and industry development, all in line with Beijing’s wider push for tech self-reliance.
Support for start-ups, research and everyday users
The plan includes a variety of financial incentives. More than 10 billion yuan will be raised through venture capital to support AI development, particularly for early-stage research and long-term projects focused on advanced technologies.
You could qualify for funding if you’re a start-up spending over 3% of your revenue on research and development. Projects working on basic AI models or industry-specific applications may receive up to 30 million yuan in government support.
Consumers are also part of the plan. If you want intelligent devices such as household robots or smart glasses, you’ll be eligible for a 15% discount, capped at 2,000 yuan per order. This step aims to increase the use of innovative technologies in everyday life.
A focus on talent and key cities
To stay ahead in AI, Zhejiang knows it must attract top minds. The plan aims to bring in more than 10 leading AI professionals annually. But what makes someone a “top AI talent”? The province is working on new standards beyond academic degrees and job titles. Instead, they’ll look at income, contributions to open-source software, code citations, and hands-on experience with major AI systems.
Two cities are the programme’s core hubs: Hangzhou and Ningbo. Hangzhou is already home to major firms such as Alibaba and NetEase, and promising start-ups like DeepSeek and robot-maker Unitree. On the other hand, Ningbo is known for its massive port and tech firms like Rong Semiconductor, a growing name in chip manufacturing.
The policy officially takes effect on May 31 and will run until the end of 2027.
A growing national trend
Zhejiang isn’t the only region making moves in AI. Just last month, Guangdong province, home to major players like Tencent and Huawei, launched its own support programme. Like Zhejiang, it hopes to create a “global innovation highland” for AI and robotics.
These efforts show that China is fully committed to boosting its AI sector, especially when tech independence is a top national priority. If you’re in the AI field, or looking to invest, Zhejiang may be the next place to watch.
