U.S. taps Mark Savaya as Special Envoy to Iraq
On October 19, 2025, President Donald Trump announced the appointment of Mark Savaya, a Michigan-based entrepreneur, as the U.S. Special Envoy to Iraq...
Beijing, Feb 17 (Reuters) — Chinese President Xi Jinping met with some of the country’s most prominent technology leaders on Monday, urging them to embrace innovation and reaffirming Beijing’s support for private enterprise.
The rare gathering, held at the Great Hall of the People, comes as China faces mounting economic pressures and intensifying competition with the United States in the tech sector.
Xi’s message marked a significant shift from Beijing’s regulatory crackdown on tech firms over the past four years. Analysts see the move as an acknowledgment that China needs its private sector to compete globally, particularly in artificial intelligence (AI) and semiconductor development, areas where U.S. restrictions have sought to curb Beijing’s progress.
A call for confidence in China’s model
Xi’s remarks, summarized by state media, emphasized that China’s private sector has “broad prospects and great promise” to drive technological and economic progress. "It is the right time for the majority of private businesses and entrepreneurs to show their talent," he said.
The meeting included high-profile figures such as Alibaba founder Jack Ma, Huawei’s Ren Zhengfei, and BYD’s Wang Chuanfu, reflecting a strategic alignment between China’s leadership and its most influential business figures. Ma’s presence was particularly notable, as he had largely retreated from public life following Beijing’s crackdown on Alibaba and the suspension of Ant Group’s IPO in 2020.
U.S.- China tech rivalry and economic pressures
China’s outreach to business leaders comes amid growing challenges. The country is grappling with weak domestic consumption, a real estate debt crisis, and U.S. trade restrictions on advanced semiconductor technology. Washington’s latest tariffs and export bans have made it harder for China to acquire cutting-edge chips, prompting Beijing to accelerate self-sufficiency efforts.
Christopher Beddor, deputy China research director at Gavekal Dragonomics, noted that Xi’s meeting signaled a recalibration of policy. “It’s a tacit acknowledgment that the Chinese government needs private-sector firms for its tech rivalry with the United States,” he said.
China’s private sector accounts for more than 60% of GDP, over 50% of tax revenues, and around 70% of technological innovation, according to government data.
DeepSeek and china’s ‘Sputnik Moment’ in AI
Among the attendees was Liang Wenfeng, founder of DeepSeek, a Chinese AI startup that has been described as a potential disruptor in the global AI landscape. DeepSeek’s lower-cost AI model has drawn comparisons to a "Sputnik moment" for China, as it signals the country’s push to close the gap with U.S. firms like OpenAI and Nvidia.
The AI breakthrough has fueled optimism in China’s tech industry. The Hang Seng technology index (.HSTECH) reached a three-year high during morning trade on Monday before closing slightly lower.
Who was in and who was out?
The attendance list provided insight into Beijing’s evolving relationship with the private sector. Executives from Tencent, Meituan, CATL, and Will Semiconductor were present. However, notable absences included top executives from Baidu and ByteDance, raising speculation about their standing with the government. Baidu’s shares fell over 8% on the Hang Seng index following the event.
‘Injecting Confidence’ in the private sector
Monday’s meeting was reminiscent of Xi’s 2018 gathering with business leaders during the U.S.-China trade war, when he promised tax cuts and greater financial access to private firms. Analysts see this latest meeting as a bid to reassure China’s entrepreneurs that their role remains central to the nation’s economic strategy.
“The purpose is to tell them, ‘We want to support you. We need you to boost innovation and consumption,’” said Xiaoyan Zhang, a finance professor at Tsinghua University.
With the U.S. tightening restrictions on China’s tech sector, Beijing appears to be doubling down on its domestic champions. The coming months will reveal whether this renewed engagement translates into concrete policy changes that ease regulatory pressures and foster greater private-sector growth.
At least 69 people have died and almost 150 injured following a powerful 6.9-magnitude earthquake off the coast of Cebu City in the central Visayas region of the Philippines, officials said, making it one of the country’s deadliest disasters this year.
A tsunami threat was issued in Chile after a magnitude 7.8 earthquake struck the Drake Passage on Friday. The epicenter was located 135 miles south of Puerto Williams on the north coast of Navarino Island.
The war in Ukraine has reached a strategic impasse, and it seems that the conflict will not be solved by military means. This creates a path toward one of two alternatives: either a “frozen” phase that can last indefinitely or a quest for a durable political regulation.
A shooting in Nice, southeastern France, left two people dead and five injured on Friday, authorities said.
Snapchat will start charging users who store more than 5GB of photos and videos in its Memories feature, prompting backlash from long-time users.
New Zealand's annual inflation accelerated in the third quarter, reaching 3.0%, which aligns with analysts' expectations and is at the upper end of the central bank's target range, according to official data released on Monday.
On Sunday, the Netherlands' Economy Minister, Vincent Karremans, stated that he expects to meet with a Chinese government official in the coming days to discuss how to resolve the standoff over Nexperia NV, a computer chip maker whose issues are threatening global automotive supply chains.
In the first nine months of this year, 10.2 billion cubic metres of gas were produced from the Azeri-Chirag-Gunashli (ACG) block in the Azerbaijani sector of the Caspian Sea, according to operational data released by the Ministry of Energy.
Apple’s latest smartphone, the iPhone Air, sold out within minutes of its launch in China on Friday, highlighting the brand’s enduring appeal among Chinese consumers despite growing competition from local Android makers.
Wall Street closed lower on Thursday as renewed concerns about regional banks and intensifying U.S.-China trade tensions weighed on investor sentiment, pulling major indexes off recent record highs.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment