In Hangzhou, China hosted the vast Global Digital Trade Expo, an event designed to showcase its technological power. This massive exhibition was more than just a display of new gadgets; it was a statement of national ambition. China aimed to demonstrate its leading role in the digital world, especially as the United States tries to limit its technological growth.
The expo was a clear signal to the U.S. and other Western nations. While the U.S. government has been creating rules to slow down China's tech industry, the expo showed that China is moving forward with confidence. Companies presented advanced robotics, AI-powered healthcare, and new forms of digital entertainment to thousands of international visitors.
However, the impressive displays at the expo hide a more complex reality. The biggest challenge for many Chinese tech companies is not from other countries, but from each other. The internal market in China is incredibly crowded, leading to fierce competition among local firms.
This intense rivalry makes it extremely difficult for companies to be profitable. Many businesses are forced to lower their prices to compete, which eats into their earnings. So, while the expo projects an image of strength and success, the reality for many companies is a constant struggle to find and maintain profits in a saturated market.