Chinese tech firms race to sell AI software and chips abroad amid fierce home rivalry

Driven by a global boom in AI spending and cutthroat competition at home, Chinese technology companies are rapidly expanding overseas. Their strategy now goes beyond selling physical hardware. They are increasingly offering cloud-based software and foundation models, which are large AI systems trained on vast amounts of data. Customs data from the first half of 2026 shows a sharp rise in physical tech exports. Integrated-circuit exports nearly doubled in value to US$177.3 billion. That is a 96 per cent jump compared to the same period last year. The push reflects a broader trend. Chinese firms are turning a domestic price war into a global opportunity. They are using their advanced AI capabilities to win customers abroad.