China just made its move for global AI governance.
A World Artificial Intelligence Cooperation Organisation (WAICO) was proposed by Xi Jinping at APEC.
The framing was multilateralism, to prevent AI “monopolisation by a few countries.”
But on China’s terms: a parallel governance system designed, hosted and led from Shanghai.
For years Beijing has watched Washington and Brussels build AI governance frameworks through export controls and comprehensive regulation respectively. Now it wants an institutional counterweight - one that extends influence across the Global South and gives its domestic AI industry legitimacy on the world stage.
Huawei provides infrastructure across emerging markets. DeepSeek challenges OpenAI with models optimised for efficiency over compute. China’s AI ecosystem already competes globally. WAICO would formalise that position.
NVIDIA illustrates the broader tension. US export controls restrict high-end chip sales to China. Beijing responds by accelerating domestic alternatives. The result: fragmented supply chains and diverging technological blocs.
Three models for AI’s global future are crystallising. Washington anchors governance in export restrictions and alliances. Brussels embeds it in comprehensive regulation. Beijing advances its own multilateral institutions under Chinese leadership.
The prize isn’t market share. It’s who writes the rules everyone else follows.
