Published by ChinaMNC · Lintan

China's New Tech-Commerce Policy: What Foreign Founders Need to Know

China has released its first policy document focused on 'tech-driven commerce.' Here's what the 18 measures cover and how they could affect foreign founders operating in China's consumer market.

China's First 'Tech-Driven Commerce' Policy: Key Takeaways for Foreign Founders

On October 19, 2026, China's State Council Information Office held a press conference to introduce the Opinions on Accelerating the Advancement of Tech-Driven Commerce (《关于加快推进科技兴商的意见》), a new policy document issued by the Ministry of Commerce (MOFCOM) together with other government departments. The briefing featured Assistant Minister of Commerce Yuan Xiaoming, along with officials from the Ministry of Industry and Information Technology (MIIT), MOFCOM's Department of Market System Development, and the Ministry of Culture and Tourism.

For foreign founders building consumer-facing businesses in China, this policy signals where the government sees technology reshaping retail, services, and logistics—and where support measures may emerge. Below is a summary of the key points from the briefing, focused on practical implications.

What Is the Policy?

According to the briefing, the Opinions is the first comprehensive, systemic document with "tech-driven commerce" as its central theme. It treats technological innovation as a driving force across the entire commerce chain—from production and supply to distribution and consumption. The policy sets out 18 specific measures, organized around four main areas:

• Technology empowering higher-quality goods consumption: Better matching supply with demand through flexible manufacturing, personalized customization, and similar approaches.
• Technology expanding services consumption: Improving basic services such as housekeeping and catering, while expanding upgraded services in culture, tourism, and sports.
• Technology smoothing commerce and distribution: Accelerating digital and intelligent supply chain initiatives, upgrading wholesale and retail, and building a quality-focused e-commerce ecosystem.
• Technology shaping future commercial scenarios: Developing intelligent, green, and integrated commercial scenarios.

The policy also outlines six areas for improving the development environment: standards, infrastructure, safety regulation, R&D and commercialization, talent training, and fiscal and financial support.

Why It Matters for Foreign Founders

Commerce is the link between production and consumption, and the government views it as key to building a strong domestic market. The briefing noted that new technologies—artificial intelligence, big data, embodied intelligence, and digital twins—are changing how commerce is organized and how consumers experience products and services. For foreign founders, this means the regulatory and support environment may increasingly favor businesses that can demonstrate technology integration in their operations.

During the press conference, officials highlighted three characteristics of the policy: "new," "comprehensive," and "practical."

• New: The policy responds to changing consumer preferences. According to MOFCOM's commerce big data, sales of smart glasses on key platforms increased 1.1 times year-on-year in the first nine months of 2026. The policy aims to both activate current consumption and cultivate new business formats.
• Comprehensive: It covers the entire commerce chain—from product R&D and manufacturing to wholesale, logistics, e-commerce, and consumption scenarios. It also addresses both traditional sectors (retail, catering, housekeeping) and new formats (commercial agents, green circular consumption).
• Practical: Measures are tied to specific application scenarios. For example, to improve supply-demand matching, the policy promotes flexible manufacturing and on-demand production, and aims to cultivate a batch of influential customized brands. For services, it encourages digital transformation of household, medical, elderly care, and childcare services, and expands smart education, smart tourism, and smart sports.

AI and Manufacturing: What's Happening

MIIT's Director of Science and Technology Wei Wei provided an update on the "AI + Manufacturing" initiative, launched in July 2025 by MIIT and seven other departments including MOFCOM. Key points from the briefing:

• China's core AI industry scale exceeded RMB 1.2 trillion in 2025 (based on estimates).
• The initiative has identified over 1,000 high-value application scenarios across 20 industries, published 285 typical application cases, and organized supply-demand matchmaking for more than 5,000 companies.
• AI technology adoption among large industrial enterprises reached over 30%.
• More than 100 products have met "assistant-level" capability requirements under the national standard system for AI terminal intelligence grading, covering smartphones, computers, TVs, and glasses. In the first half of 2026, shipments of various intelligent terminals exceeded 100 million units.
• As of end-June 2026, there were more than 6,600 AI enterprises in China.
• A RMB 60 billion national AI industry investment fund has been established.

Next steps include continuing to support AI technology breakthroughs, accelerating the adoption of AI computers and phones (including through trade-in programs), and improving connections between production and sales so that more "smart products" reach the market.

Services Consumption and Technology

The briefing also touched on using technology to upgrade service consumption. While details were still being discussed at the time of the press conference, the policy's direction includes digital transformation of basic services such as housekeeping, medical care, elderly care, and childcare, as well as expanding smart education, smart tourism, and smart sports. Foreign founders in these sectors may find opportunities as the policy is implemented.

What Foreign Founders Should Watch

As the policy moves from announcement to implementation, MOFCOM and other departments will be responsible for follow-through, including summarizing typical experiences and ensuring measures take effect. For foreign founders, the practical implications include:

• Technology integration may become a differentiator: Businesses that can show how they use AI, big data, or other technologies to improve supply-demand matching, service quality, or logistics efficiency may align better with the policy direction.
• Standards and infrastructure are being developed: The policy calls for improving standards, infrastructure, and safety regulation—areas where foreign companies may need to stay informed to ensure compliance.
• Supportive measures may emerge: The policy mentions fiscal and financial support, talent training, and R&D commercialization. Foreign founders should monitor local implementation for specific incentives.
• E-commerce quality focus: The policy includes a quality e-commerce cultivation action and enhanced online verification for key product platforms. Foreign brands selling online should ensure product compliance and quality.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.

Need help navigating China's business environment? Foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for assistance with registering and operating a company in China.