25/05/2026
China’s AI export engine and EM divergence 🇨🇳📊
Steven Empedocles, Head: Index Management, notes that while Chinese equities have lagged broader emerging markets, China continues to strengthen its position as a key global AI exporter across the full value chain - from hardware and semiconductors to software and deployment.
Recent advances, including DeepSeek’s V4 Pro, underscore rapid AI progress at significantly lower cost, reinforcing China’s competitive edge. However, questions remain around how quickly it can move into higher-value segments of the technology stack, while EM performance has been led by tech-heavy markets like Taiwan and South Korea.