China's new 'new three' exports power next wave of global trade

China's export portfolio is rapidly evolving, with a new generation of high-tech products emerging as key drivers of foreign trade.

While electric vehicles, lithium batteries and solar cells were once known as China's export "new three," the first half of this year has seen robots, artificial intelligence (AI) and innovative medicines, dubbed the "new 'new three,'" gain momentum as the country's latest export engines.

Analysts say the shift reflects a fundamental transformation in the drivers of China's export competitiveness.

"The previous 'new three' were rooted in manufacturing," Peng Yazhe, a digital economy researcher at the China Galaxy Securities New Development Research Institute, told 21st Century Business Herald. "Whoever could achieve large-scale production and lower costs had the competitive edge."

"The new 'new three' follow a completely different industrial logic," Peng said. "They are knowledge-intensive and technology-intensive industries whose competitive advantage comes from sustained research and development and continuous technological iteration. Value creation has shifted from traditional factor inputs to innovation-driven growth."

AI expands global reach

China's AI industry is extending its influence far beyond software exports.

According to OpenRouter, a global AI model aggregation platform, Chinese large language models processed 36.11 trillion tokens during the third week of July, up more than 30% from the previous week. They have ranked first globally in weekly usage for 12 consecutive weeks.

Industry observers say AI exports now encompass a wide range of digital capabilities, including algorithm development, model deployment and AI agent applications – areas that are often difficult to capture through conventional trade statistics. Chinese AI technologies are now serving users in 141 countries and regions.

Robots move from showcase to workplace

Chinese robots are also gaining a stronger foothold in overseas markets as they transition from demonstration technologies to practical industrial and service applications.

On factory floors, industrial robots can tighten a screw in just five seconds with precision and speed surpassing experienced human workers. In the power sector, robots are repairing transmission lines at high altitudes, reducing the need for dangerous manual operations.

Meanwhile, service robots are becoming increasingly intelligent. At exhibitions, they can understand spoken commands, navigate independently and deliver requested items. In smart pharmacies, robots from different manufacturers can share the same AI platform to sort medicines collaboratively, paving the way for 24-hour unmanned pharmacies.

Trade data reflects the sector's rapid growth. In the first half of 2026, exports of cleaning robots and intelligent bionic robots reached 18.09 billion yuan (about $2.7 billion). Industrial robot exports totaled 6.29 billion yuan, up by 18.6% year on year, reaching 141 countries and regions. Exports of surgical robots surged 3.3 times to 480 million yuan, while their export markets expanded from 23 to 49 countries and regions.

Innovative medicines gain global recognition

China's innovative pharmaceutical industry is also reshaping global competition.

Earlier this year, China became the first country to approve a selective orexin-2 receptor agonist for the treatment of narcolepsy, a rare neurological disorder that causes excessive daytime sleepiness. The drug is currently pending for approval in the United States, Japan and the European Union.

In the first half of the year, China's National Medical Products Administration approved 38 Class 1 innovative drugs. Among them, 11 were globally novel medicines featuring new targets and new mechanisms of action, all independently developed by Chinese pharmaceutical companies. By comparison, the total number of such globally innovative drugs approved in all of 2025 was also 11, with domestic companies accounting for less than half.

International licensing has also accelerated. Overseas licensing deals reached about $110 billion in the first half of the year, equivalent to 80% of the total for all of 2025. The agreements span 10 therapeutic areas, including oncology, metabolism, immunology and neuroscience, with buyers from 20 countries and regions, including the US, the United Kingdom, France and Italy.

China now accounts for around 30% of the world's innovative drugs under development, ranking second globally.

Zhu Keli, founder and dean of the China Institute of New Economy and chief expert on the intelligent economy, said the rapid development of the three sectors has been supported by coordinated national policies.

Zhu noted that China's national "AI Plus" action plan, together with dedicated policies for the robotics industry and the digital transformation of the pharmaceutical sector, has replaced fragmented, industry-specific measures with a more integrated policy framework.

"Overall, these three industries have evolved from exporting products to exporting technology systems, clinical solutions and industrial operating models," Zhu said. "This demonstrates China's growing competitiveness in frontier technologies."

Decades ago, China's exports of clothing, furniture and household appliances showcased the country's manufacturing capabilities. Today, AI, robotics and innovative medicines are demonstrating a new strength – exporting not only products, but also technologies, industrial know-how and solutions that address global challenges and improve people's lives. As the "new 'new three'" gain global traction, they also reflect China's transition from a manufacturing powerhouse to an innovation-driven economy.