Digital Economy Development Plan: Data as a Factor of Production (2025)
Published: August 20, 2025
Executive Summary
China's State Council released the Digital Economy Development Plan recognizing data as a formal factor of production. The plan opens significant opportunities for foreign companies in data infrastructure, cloud services, AI applications, and digital transformation consulting.
Key Points
Data formally recognized alongside land, labor, capital, and technology as a factor of production
Data trading exchanges in Beijing, Shanghai, and Shenzhen open to qualified foreign participation
Cloud computing and AI infrastructure designated as priority sectors with streamlined foreign investment approval
Digital transformation subsidies available to companies modernizing traditional industries
Cross-border data flow provisions specifically included for digital services trade
Target: Digital economy to represent 50%+ of GDP by 2030, creating massive addressable market