Advancements in cutting-edge technologies represented by AI as well as innovative policy measures to make sector a transformative force in nation

China's digital trade is poised for steady growth, fueled by advancements in cutting-edge technologies represented by artificial intelligence and a series of policy measures promoting its reform and innovative development, said officials and experts.

They highlighted that the booming digital trade has become a transformative force reshaping global trade, a strategic choice for countries around the world amid mounting uncertainties and a new engine for China's endeavor to build itself into a stronger trading nation.

The country's emphasis on bolstering the development of digital trade will foster new growth drivers for foreign trade, inject fresh impetus into high-quality economic growth and make contributions to the recovery of the global economy, they added.

Sheng Qiuping, vice-minister of commerce, said amid a new round of technological revolution and industrial transformation, digital trade — which deeply integrates digital technologies with international trade — is demonstrating strong resilience and vitality.

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"The commerce ministry will deepen reform and opening-up, ease market access in sectors such as telecommunications, internet and culture in an orderly manner, and facilitate foreign investment related to digital trade," Sheng said.

He made the remarks at the Fourth Global Digital Trade Expo, which concluded in Hangzhou, Zhejiang province, on Sept 29.

Sheng stressed the need to accelerate the establishment of national digital trade demonstration zones and pilot zones for Silk Road e-commerce cooperation, nurture world-class leading enterprises in digital trade and support them to expand their footprint in international markets, while strengthening bilateral, multilateral and regional cooperation.

China has attached great importance to the development of digital trade, which is regarded as one of the three pillars supporting the development of a strong trading nation, alongside trade in goods and services.

In the domain of digital trade, China should pursue innovative development and take well-ordered steps to expand opening-up, according to the Recommendations of the Central Committee of the Communist Party of China for Formulating the 15th Five-Year Plan for National Economic and Social Development.

China should enhance the functions of trade promotion platforms and support the development of new forms and models of businesses such as cross-border e-commerce, said the recommendations, which were adopted at the fourth plenary session of the 20th CPC Central Committee on Oct 23.

Data from the Ministry of Commerce show that China's imports and exports of digitally delivered services trade rose 6.5 percent year-on-year to 2.9 trillion yuan ($406.6 billion) in 2024. Imports and exports of the country's cross-border e-commerce sector reached 2.71 trillion yuan last year, up 14 percent year-on-year, a record high.

The ministry said China's exports of telecommunications, computer and information services are at the forefront globally, while the growth rate of China's digital services trade far exceeds the global average, making it the fastest-growing economy in digital services trade worldwide.

At present, digital technologies such as artificial intelligence, big data, and blockchain are accelerating in innovation and increasingly integrated into all aspects of economic and social development, said Kong Dejun, director-general of the department of trade in services at the Ministry of Commerce.

"Digital trade is thriving, demonstrating strong development resilience and having a profound impact on patterns, structures, and rules of global trade. It has become the most dynamic component for bolstering global trade growth," Kong said.

He said China possesses abundant data resources, a vast domestic market, and diverse digital application scenarios, all of which provide a solid foundation for the development of digital trade.

Looking ahead, China will vigorously promote the reform, innovation and development of digital trade, advance institutional opening-up and deepen international cooperation in the digital trade domain to build itself a strong trading nation, he added.

"China has played a pivotal role in promoting global digital trade, speeding up the construction of digital infrastructure, and bolstering digital transformation and the development of cross-border e-commerce," said Pan Helin, a member of the Expert Committee for Information and Communication Economy, which is part of the Ministry of Industry and Information Technology.

Pan said it is vital to actively take part in the formulation of multilateral, bilateral and regional rules concerning digital trade and propel the establishment of international cooperation mechanisms in the digital field, which will further strengthen China's voice in the global digital economy governance system.

China has issued a guideline to expand digital trade as it moves to reform and innovatively develop the sector.

The country expects the share of digitally delivered services trade in overall services trade to exceed 45 percent by 2029 and 50 percent by 2035, according to the guideline.

The guideline stated that by 2035, an orderly, secure and efficient digital trade governance system will be established on all fronts, with comprehensive improvements seen in institutional opening-up.

Efforts will be made to ease market access and encourage foreign investment in the digital sector, expand the opening-up of telecommunications, internet and culture-related sectors in an orderly manner, as well as bolster and regulate the cross-border flow of data, it added.

To improve the digital trade governance system, China will actively participate in the formulation of international rules for digital trade, and help create an open, fair, just and nondiscriminatory environment for digital development, said the guideline.

Zhu Keli, founding director of the China Institute of New Economy, said China has become one of the most dynamic economies in digital trade around the world, which has injected new momentum into domestic economic growth and contributed significantly to global trade development.

"The opening-up of digital trade complies with the vigorous development trend of the digital economy worldwide, while the move to ease market access in the digital sector will attract more foreign enterprises to invest in the Chinese market, thus boosting technological innovation and industrial upgrading, and enhancing the competitiveness of China's digital trade on the global stage," Zhu said.

According to a report released by the International Trade Centre and the organizing committee of the Global Digital Trade Expo, the fast expansion of digital trade underscores its increasing importance in the global economy and reflects an ongoing structural shift toward digitalization in international commerce.

The report said the total value of global digital trade rose from $4.59 trillion in 2020 to $7.23 trillion in 2024, with the average annual growth rate reaching 12.1 percent. This growth significantly outpaced that of total global trade, which grew at an average annual rate of 9.7 percent over the same period.

Digitally delivered services, and digitally ordered goods and services have jointly driven growth in digital trade, the report said, adding that the former accounted for the larger share, rising from $3.21 trillion in 2020 to $4.64 trillion in 2024, with an average annual growth rate of 9.6 percent. The European Union, China and the United States ranked as the top three in terms of digitally ordered trade exports.

AI has emerged as a transformative force in digital trade, reshaping infrastructure, services and applications, the report said. Advances in large model architectures, including the DeepSeek open-source ecosystem, have lowered barriers for small and medium-sized enterprises and spurred innovation across healthcare, education, finance and cross-border data markets.

Zhang Zhouping, an independent analyst who has been tracking the cross-border e-commerce sector for more than a decade, said the shift toward digital platforms, e-commerce, AI and data-driven trade opens new frontiers for businesses, particularly small and medium-sized enterprises, which now have the tools to engage with international markets.

AI has given rise to a wide range of emerging service formats and cross-border transaction scenarios, said Zhou Wenyu, an assistant professor of the International Business School at Zhejiang University, adding that cross-border e-commerce has greatly promoted the deep integration and efficient coordination of global industrial and supply chains.

Chinese cross-border online marketplaces are stepping up efforts to develop digital trade and help Chinese manufacturers and brands expand their presence in overseas markets.

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For instance, fast-fashion online retailer Shein has announced plans to extend its outreach to industrial belts in 500 cities in China. It hopes to facilitate the digital upgrade of more industrial chains, thereby helping them achieve on-demand supply in terms of production.

The company is accelerating steps to build a supply chain project in Guangzhou, Guangdong province, covering operations, warehousing, stocking, order-picking, distribution, logistics and delivery.

Hong Yong, an associate research fellow at the Chinese Academy of International Trade and Economic Cooperation, said cross-border e-commerce has become an important driving force for bolstering the steady growth of foreign trade, as well as promoting the transformation and upgrading of the traditional manufacturing sector.

By constantly monitoring market changes and collecting real-time feedback from consumers, these platforms can make accurate predictions, while the flexible supply chain model is conducive to upgrading an entire industrial chain, ranging from design and development to production, warehousing and logistics.

Contact the writers at fanfeifei@chinadaily.com.cn