‘China shock 3.0’ to be driven by AI, biotech and robot exports, economist says

Beijing is developing its own competitive AI hardware and software and plans to export them once domestic demand is met, expert claims

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Han Liin Washington, DC

Published: 6:00am, 15 Oct 2026Updated: 6:02am, 15 Oct 2026

The world is on the cusp of a “China shock 3.0” driven by exports of artificial intelligence (AI), biotechnology and robots, which could hit harder than the current wave, a leading economist on China has said.

“We are already at the starting point of the China shock 3.0,” Alicia Garcia-Herrero, a senior fellow at Brussels-based think tank Bruegel and chief economist for Asia-Pacific at investment bank Natixis, told the South China Morning Post from Taipei after a virtual panel hosted by the Washington-based Peterson Institute for International Economics (PIIE) on Wednesday.

The third wave would centre on artificial intelligence, covering both hardware and software, along with biotechnology and robotics, she said.