UPDATE — NOVEMBER 2025: Since representatives of the National People’s Congress (NPC) first proposed drafting a comprehensive Artificial Intelligence Law, China has instead moved to integrate AI regulation into its broader cybersecurity framework. On October 24, 2025, the NPC Standing Committee approved major amendments to the Cybersecurity Law, which will take effect January 1, 2026, introducing explicit AI governance provisions for the first time.
These amendments mark a strategic shift from pursuing a standalone AI law toward embedding AI oversight within existing national security and digital governance structures. The revised law expands China’s regulatory reach across five fronts: AI innovation support, ethical and risk oversight, content control, data governance, and enforcement mechanisms.
Key provisions include state-backed funding and incentives for foundational AI research, algorithmic innovation, and infrastructure development; new risk classification and monitoring systems for AI models; and strengthened ethical requirements governing data usage and human–AI interaction. The amendments also formalize content labeling rules for AI-generated media, impose penalties for deceptive or manipulative AI practices such as deepfakes, and reinforce prohibitions on social scoring systems.
By folding AI-specific obligations into the Cybersecurity Law, Beijing has effectively created a unified governance framework that balances national security, technological advancement, and ethical control. Analysts say this approach gives China faster legislative agility than drafting an entirely new law while still advancing its ambition to become a global AI leader under the banner of “Chinese-style modernization.” In practice, the January 2026 amendments will serve as China’s first de facto AI regulatory regime, linking innovation incentives with strict compliance, transparency, and moral accountability mandates.
ORIGINAL NEWS STORY:
China’s National People’s Congress Proposes Comprehensive AI Law to Support National Development
Representatives of the National People’s Congress (NPC) have formally proposed the creation of a comprehensive and systematic artificial intelligence (AI) law, aimed at supporting China’s ambitions to become a global AI powerhouse and advance Chinese-style modernization.
In a press release, the NPC emphasized the need for a unified legal framework to address the rapid expansion of AI technologies and their growing impact on China’s economy, society, and governance. The proposed legislation is listed as a preliminary review project in the NPC Standing Committee’s 2025 legislative work plan, signaling early-stage legislative momentum.
According to the proposal, the law would focus on five key areas. First, it would promote AI innovation and industrial development by increasing fiscal support for research and application, implementing favorable financial policies, supporting talent training and recruitment, and establishing clear development plans for the industry.
Second, the law would create a dynamic system for classifying and regulating AI risks. It proposes four categories—prohibited AI practices, high-risk systems, systems with transparency risks, and low-risk systems—each governed by appropriate regulatory measures.
Third, the proposal calls for a framework to assess the social and ethical impact of AI. It would require formal evaluations, the establishment of ethical standards, and clear definitions of acceptable technology use and moral boundaries.
Fourth, the law would address international dynamics by encouraging strategic planning around global competition and proposing concrete steps to expand international cooperation and exchanges.
Finally, the proposed legislation would clarify legal responsibilities, including the definition of illegal AI-related acts, liability frameworks, compensation mechanisms, and oversight structures.
Lawmakers argue that this legislation is necessary to fill existing gaps and ensure the healthy, secure, and ethical development of AI technologies across China.
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