China Issues 19 Measures for New Productive Forces, Pushes Full AI Adoption

On October 9, 2026, the Central Committee of the Communist Party of China and the State Council issued opinions on developing new productive forces. The document sets out 19 key measures centered on innovation in five areas. Reporting by TMTPost’s official account stressed that vigorously promoting scientific and technological innovation is placed first among the five major tasks. The content affects both policy and industry frontlines. It is also relevant to the procurement and development systems of Japanese companies.

The opinions are structured in the order of “what to do,” “who will take charge,” and “what outcomes to aim for.” At the core is a policy of strengthening original and disruptive scientific and technological innovation. It shows an orientation toward the global frontier and the main battleground of the economy. Major national needs and people’s lives and health are also included. It focuses on strategic, emblematic products with strong pull-through power. It plans to organize major science and technology programs and concentrate investment.

It also clearly states a policy of accelerating breakthroughs in key core technologies. It says it will give full play to the advantages of a new whole-nation system. In key areas, it will organize actions for the high-quality development of key industrial chains in manufacturing. It calls for implementing industrial innovation projects throughout the entire process. It sets tackling bottlenecks across all processes. It will strengthen support across all factors and the building of the entire ecosystem. The structure aims for broad-based improvement, not isolated points.

Putting Sci-Tech Innovation as the Top Task

On the actors side, it calls for the overall building of national strategic scientific and technological strength. National laboratories will take the lead in organizing major programs. They will also play a core function in building major national innovation infrastructure. It plans to advance pilot trials in system and mechanism reforms. The intent is operation not confined to research institutes alone. An open collaboration framework is required.

Strengthening the central role of enterprises is also one pillar. It calls for increasing the supply of inclusive incentive policies. It includes establishing an enterprise R&D reserve system. It encourages enterprises to lead national science and technology tasks. It supports capable private companies in leading breakthroughs in major technologies. This institutionally positions private-sector implementation capacity.

On outcomes, it proposes accelerating the conversion of scientific and technological achievements into real productive forces. It says it will leverage the advantage of the ultra-large-scale market. It will implement large-scale application and demonstration actions for new technologies, new products and new scenarios. It will improve concept verification and pilot-test verification platforms. It will explore building a whole-process evaluation mechanism for science and technology plans. At project approval, R&D and conversion tasks will be set together. At acceptance, application performance will be evaluated. It aims to close the gap between technology development and achievement transfer.

Leverage the advantages of the ultra-large-scale market and implement large-scale application and demonstration actions for new technologies, new products and new scenarios

The above conveys the key point of the opinions’ section on achievement transfer. The idea of using the market as a testing ground is clear. It means running what Japan calls the pre-social-implementation stage at national scale. Developing verification infrastructure is key. Changes to the evaluation system will proceed together. It can be seen as aiming to institutionally bridge the divide between research and commercialization.

Moving to Fully Implement the AI Plus Initiative

The section on deep integration of scientific innovation and industrial innovation is also important. It sets out transforming and upgrading traditional industries. It pairs that with fostering and expanding emerging industries. It also includes early deployment of future industries. It calls for promoting deep integration of the real economy and the digital economy. Among these, full implementation of the “AI Plus” initiative is particularly emphasized. It takes the stance of viewing AI not as an add-on feature but as a means of transformation.

It says it will promote transformation of traditional industries through AI. It plans to accelerate scenario applications of next-generation terminals. Targets include intelligently connected new-energy vehicles. AI-powered mobile phones and PCs were also listed. Humanoid robots are also positioned as next-generation terminals. Expanded use in both manufacturing and daily life is envisioned. Intelligence on the device side becomes the contact point for industrial upgrading.

It also calls for industry-specific measures tailored to local conditions. It says it will establish national-level pilot-testing hubs for AI industry applications. Development of high-value application scenarios will proceed in parallel. It strongly promotes AI application across industries. It emphasizes verifying on-site application, not just model development. Hub development could boost contract development and component demand.

On innovating the development model, it points to actively advancing the energy revolution. It focuses on peaking carbon emissions and neutrality goals. It will develop advanced fission energy in an orderly manner. It will build a power system with a high share of renewable energy. It will put in place policy measures for absorbing and balancing new energy. Ensuring both stable power supply and decarbonization is the premise. This is an issue affecting data hub location and operation.

Tesla Renames Driver Assistance in Europe

Among overseas companies, Tesla’s move drew attention. It is a response aimed at gaining regulatory approval in Europe. It is reported to have begun changing the name of its driver assistance system. Its European official website began using the term Tesla Assisted Driving. Its U.S. site maintains the term Full Self-Driving (Supervised). It is a move to distance itself from the expression “full self-driving.” It responds to criticism that it is misleading.

The name change is not merely a labeling issue. It aims to smooth dialogue with regulators. It can be seen as groundwork for sorting out European type approval and operating conditions. It clarifies that it is an assistance function premised on supervision. It is also expected to curb overconfidence among users. It could spill over into insurance and liability arrangements in accidents. It could also affect labeling and feature rollout in the Japanese market.

At the same time, descriptions of the market environment were also published. Barclays’ view indicated global equities could continue rising through year-end. Conditions cited were stable bond yields and oil prices. Maintaining confidence in investment in AI was also a condition. U.S. stocks are supported by AI-related earnings. It noted vulnerability is increasing due to dependence on a few high-tech companies. Europe is weighed down by financing costs, high oil prices and fiscal difficulties.

UBS’s gold price outlook was also included. In the short term, it indicated a possible rebound after testing support near $4,000 per ounce. It sees dip-buying forming a bottom at the $4,000 mark. It forecasts reaching $4,600 this December and $5,000 in March 2027. Funds are flowing to both technology investment and safe-haven assets. This also relates to decisions on component procurement costs and capital investment.

Demand for Optical Interconnect Parts and

Substrates Keeps Expanding

In optical interconnects, a response by Tianfu Communication drew attention. It was a response to rumors of policy restrictions around imports and exports. Its main business is R&D, production and sales of passive and active optical components. Published relevant policies do not subject optical components to controls. It explained there is no impact on business. The share of North America-bound sales in operating revenue is low. In 2025, sales to North America accounted for about 1.28%.

Order backlog and customer demand remain robust overall. It will expand production globally in an orderly manner in line with market demand and customer plan progress. It takes a long-term optimistic view of the optical interconnect industry outlook. It particularly expressed expectations for sustained growth opportunities in CPO and NPO directions. FAU and ELS for CPO products have a foundation in performance, yield and supply assurance. Related products have achieved stable mass production and delivery. The content underscores growing demand for high-speed AI connectivity.

In substrates, Guanghe Technology’s earnings outlook was published. Net profit for January-September 2026 is expected at 1.45 billion to 1.5 billion yuan. That would be up 100.33% to 107.23% year on year. The driver is capturing the PCB market for computing equipment. It focused precisely on general-purpose servers and AI servers. Switch products and accelerator cards also contributed. Its overseas plant, Thailand Guanghe, completed certification by major customers. Capacity was gradually released and turned profitable during the reporting period. Its subsidiary Huangshi Guanghe also improved profitability through cost control and product-mix optimization.

In glass fiber, China Jushi’s outlook was shown. Net profit for January-September 2026 is expected at 5.136 billion to 5.393 billion yuan. That would be up 100% to 110% year on year. Sales volume and prices both rose on growing demand in downstream applications. Accelerated product-mix optimization contributed. Stronger technological innovation and market development were also factors. Improved materials markets will spill over into supply of electronic materials and composites. It provides material for reviewing costs and delivery times.

Earnings Disclosures and Capital Moves by

Domestic Listed Companies

In aircraft, an announcement by Bohai Leasing was published. AALL, under subsidiary Avolon, signed a contract with Boeing. It plans to purchase 140 B737 MAX series aircraft. The total calculated at Boeing’s published list prices is up to $26.953 billion. List prices include airframe, optional equipment and engines. The actual purchase price will reflect a discount from list prices. It does not constitute a related-party transaction. Shareholders’ meeting approval is required. Delivery is expected to be completed by end-2036.

In rare earths, a price adjustment by Northern Rare Earth was announced. It will adjust the Q4 2026 rare earth concentrate transaction price to 38,769 yuan per ton excluding tax. This is on a dry basis with 50% rare earth oxide. For each 1% change in oxide content, the ex-tax price changes by 775.38 yuan per ton. The Q3 price was 38,565 yuan per ton. The new price is up 0.53% quarter on quarter. It is an indicator directly linked to magnet material and motor costs. It is watched as a premise for procurement plans.

Domestic individual cases were also reported. Xiangyuan Cultural Tourism and Jiaojian Construction issued announcements at the same time. Their de facto controller, Yu Faxiang, received a case-filing notice. The reason is suspected information disclosure violations by the China Securities Regulatory Commission. He holds no position at the companies. They say production and operations are normal. They explain there is no major impact on daily management. The focus is whether governance disclosures will continue.

On automotive information platforms, rumors surrounding Dongchedi were denied. An image of an internal rectification notice in the name of the human resources department spread. It claimed a filing for investigation over unfair competition and one month for rectification. People related to Dongchedi said all related information is false. They said the possibility of manipulation of public opinion cannot be ruled out. They called for not believing or spreading falsehoods. They said they will verify the source and take legal action. It is a matter concerning the credibility of a platform operator.

In supply chains, a reaction to reports of production cuts for the iPhone 18 Pro series was reported. Rising memory device costs were cited as background. Supply chain sources said there is no substantial change in total orders. Quantity adjustments for individual parts and overall production plans need to be distinguished. Fluctuations for yield handling tend to occur in early mass production. It is a time to judge based on balance between final demand and component inventories. It indirectly affects domestic component makers in Japan.

Editorial Opinion

As a short-term impact over the next three to six months, we see the establishment of pilot-testing hubs for AI applications as noteworthy. Public solicitations for demonstration projects and joint development could increase. We expect orders for optical components and computing substrates to remain firm. This is because verification demand accompanying hub development will lift the supply chain. Progress in approval negotiations for driver assistance in Europe will also be watched. We assess that name clarification will be a precondition for review.

From a long-term perspective of one to three years, we see entrenchment of the R&D reserve system and whole-process evaluation as key. The practice of setting conversion tasks together at project approval could spread. We assess that evaluating application performance at acceptance will change research quality. Alignment of energy policy with computing infrastructure expansion will also be tested. Mass production of humanoid terminals and intelligently connected vehicles could change component composition.

As a question from the editorial team, what should be verified is how to measure demonstration outcomes. If the definition of application performance remains vague, will it end up as mere window-dressing numbers. How intellectual property ownership will be arranged in private-led breakthroughs is also unclear. Whether Europe’s name change leads to substantive safety improvement also needs confirmation. Reporting that tracks alignment between systems and frontlines is needed.

References

• “【钛晨报】中央重磅部署19项举措，新质生产力发展路径明确；证监会发文，权益类基金成立门槛拟降至5000万元；浙商大佬俞发祥遭立案，两家A股公司回应”, by 钛媒体官方账号 — 钛媒体, 2026-10-09T23:20:00.000Z (ARR)
• Source URL: https://www.tmtpost.com/8163364.html