China ramps up AI talent push as US tech race heats up more

China is intensifying efforts to cultivate AI talent as the US tech sector expands its dominance. This move comes as a response to mounting pressure on fresh graduates to secure employment, highlighting the need to align China's expanding higher education system with evolving economic demands. Education experts warn that China's higher education system will peak in the coming years before experiencing a prolonged decline.

The Ministry of Education recently unveiled plans to increase undergraduate enrollment at top universities by 76,000 places between 2027 and 2030. This expansion aims to bolster research and breakthroughs in key technologies such as AI, integrated circuits, biomedicine, and new energy. Central-budget funding and ultra-long special treasury bonds will support the development of new campuses and enhancements to facilities at elite universities.

Chinese AI models, like DeepSeek and Kimi K3, are narrowing the gap with American counterparts, intensifying the competition and raising concerns in Silicon Valley about the longevity of US leadership in frontier AI. Despite the growing pool of Chinese talent, shortages persist in specialized sectors. Job openings for every applicant in integrated-circuit design, algorithm engineering, and autonomous driving remain elevated.

Universities such as Southeast University and Xidian University have announced plans to expand enrollment in high-demand fields. This expansion aligns with the "double first-class" initiative, a performance-based funding program targeting the transformation of over 100 Chinese universities into global academic powerhouses. The initiative also addresses the expected peak in college-age populations by 2032 while preparing for a potential decline in student numbers.