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China Claims Leadership in Global AI Model Usage

People’s Daily republished an article citing data from OpenRouter, a global AI model API aggregation platform, claiming that China has become the world’s largest market for AI model usage. According to the report, AI models processed 46.7 trillion tokens globally during the week of June 15–21, marking the ninth consecutive week of growth. China accounted for 18.81 trillion tokens—more than any other country—for the eighth straight week, while the United States ranked second with 5.76 trillion tokens.

The analysis also highlights intensifying competition among China’s leading AI models. DeepSeek V4-Flash reportedly remained the country’s most-used model for the fifth consecutive week, processing 4.94 trillion tokens during the reporting period. Xiaomi’s MiMo-V2.5 rose to second place, followed by MiniMax M3, while Tencent’s Hunyuan 3 Preview slipped to fourth amid increasingly fierce competition among leading providers.

The article attributes China’s sustained growth to two key advantages. First, it argues that China’s vast digital ecosystem—including WeChat, short-video platforms, smart government services, industrial applications, and smart home devices—provides abundant real-world deployment scenarios and continuous streams of user interaction data for AI models. Second, it credits China’s open-source ecosystem and low-cost API pricing with lowering adoption barriers for businesses and developers, helping transform AI into widely accessible digital infrastructure across a broad range of industries.

Source: People’s Daily, June 24, 2026
http://finance.people.com.cn/n1/2026/0624/c1004-40746405.html

Briefings | | |   Information/Technology

Taiwan and Ukraine Deepen Drone Cooperation to Build “Non-Red” Supply Chain

Driven by the ongoing Russia–Ukraine war and growing concerns over China’s military expansion, Taiwan and Ukraine are deepening cooperation on drone technology and supply chains. By combining Taiwan’s strengths in semiconductors and microelectronics with Ukraine’s battlefield experience, the two sides aim to establish a “non-red” supply chain that reduces reliance on Chinese-made components.

During a June 19 visit to Ukraine, Taiwan External Trade Development Council (TAITRA) Chairman James Huang met with the Lviv IT Cluster, Ukraine’s largest technology association representing more than 300 IT companies. The visit focused on drone manufacturing and defense technology cooperation. Huang said that while Ukraine’s drone industry initially relied heavily on Chinese components, manufacturers have increasingly shifted to Taiwanese suppliers for advanced flight-control electronics because of their performance, reliability, and security.

China’s tightening export controls on drone-related technologies, combined with allegations that Chinese firms have supplied military-related goods to Russia, have accelerated efforts by Ukraine and its Western partners to diversify supply chains. Taiwan has sought to position itself as a trusted alternative supplier. According to Taiwanese officials, drone exports to Europe increased more than fortyfold in 2025. During the first four months of 2026, exports reached approximately 180,000 units—nearly twenty times the level recorded during the same period a year earlier—with many shipments reportedly destined for Ukraine via third countries.

Taiwan is also expanding its domestic drone capabilities. In 2025, the National Chung-Shan Institute of Science and Technology signed an agreement with U.S. defense technology company Auterion to integrate combat-tested drone software developed for Ukraine. Taiwan has also announced plans to procure at least 47,000 drones over the next three years and expand annual production capacity to 180,000 units by 2028, underscoring the growing role of unmanned systems in its defense strategy.

Source: Epoch Times, June 22, 2026
https://www.epochtimes.com/gb/26/6/21/n14793754.htm

Briefings | | |   Defense/Military Geo-Strategic Trend

China’s Top Court Warns of Surge in New Drug Abuse Among Youth, Etomidate Overtakes Heroin

China’s Supreme People’s Court warned on Friday June 25 that the country’s drug abuse landscape has undergone a significant structural shift in recent years, with etomidate now surpassing heroin in prevalence, and young people increasingly becoming the primary group abusing new types of drugs, according to China’s state media.

The disclosure was made at a press conference themed “Punishing New Drug Crimes According to Law and Preventing Drug Abuse Among Minors,” where Liu Weibo, head of the court’s Fifth Criminal Division, stated that while China’s overall drug situation has continued to improve, it remains complex and volatile. A clear trend has emerged: offenders are getting younger, and minors are now the main demographic abusing new psychoactive substances and unscheduled addictive compounds.

Liu noted that the number of minors involved in drug-related cases dropped 32 percent year-on-year in 2025, with the decline continuing through May 2026, reflecting some progress in curbing youth drug abuse. However, compared to 2023, the number of cases and individuals involved rose approximately 1.8 times in 2025, and the substitution abuse of unscheduled addictive substances has become increasingly prominent during the same period.

Authorities identified dozens of substances currently being abused in China. Among those with no medical use, so-called “zombie vape” cartridges have emerged as the leading vehicle for minor drug abuse, with etomidate as the primary additive. Among medically licensed narcotics and psychotropics, dextromethorphan is the most common. Nitrous oxide dominates among unscheduled addictive substances.

Officials also highlighted that drugs are being disguised in everyday products such as milk tea, chocolate, and e-cigarettes, or marketed with claims of weight loss, stimulation, or sexual enhancement — with some even implicitly promoted for use as date rape drugs.

Source: Central News Agency (Taiwan), June 25, 2026
https://www.cna.com.tw/news/acn/202606250337.aspx

Briefings | | |   Economy/Resources

Insider Claims Chinese Leadership Is Increasingly Concerned About Foreign Investment Outflows

An individual identified as being close to China’s Ministry of Commerce told The Epoch Times that foreign capital continues to leave China, while a significant portion of newly reported foreign investment consists of Chinese companies registering entities overseas and then reinvesting in China as “foreign” capital.

The source claimed that foreign capital outflows over the past several months were approximately 30 percent higher than during the same period last year—the sharpest increase in five years. According to the source, China’s top leadership has become increasingly concerned and has tasked Vice Premier He Lifeng with leading efforts to stabilize foreign investment, with particular emphasis on retaining German investment while avoiding trade frictions with Europe and the United States. Officials are also reportedly seeking to reassure U.S. and South Korean investors.

A policy package overseen by He reportedly identifies cross-border mergers and acquisitions, cross-border data transfers, and the reinvestment of corporate profits as priority areas for reform. The package reflects Beijing’s recognition that these issues remain among the principal concerns of foreign companies operating in China.

Source: Epoch Times, June 24, 2026
https://www.epochtimes.com/gb/26/6/23/n14794650.htm

Briefings | | |   Economy/Resources

Chinese Analysis Questions Feasibility of U.S. Navy’s Fleet Expansion Plan

People’s Daily republished a PLA Daily analysis examining the U.S. Navy’s newly released shipbuilding plan, which envisions a future fleet of 450 manned and unmanned vessels designed to support a more distributed and resilient maritime force. The article argues that the plan faces significant challenges due to the decline of the U.S. shipbuilding industry, delays in new vessel construction, and the accelerated retirement of aging ships.

According to the analysis, U.S. shipyards continue to struggle with schedule delays, cost overruns, workforce shortages, supply chain disruptions, and aging industrial infrastructure. It cites the Congressional Budget Office’s assessment that U.S. naval shipbuilding is at its lowest level in nearly 25 years. For example, the USS “Doris Miller,” the next Ford-class aircraft carrier under construction, may not enter service until 2034.

The analysis further argues that the retirement of older vessels is outpacing the delivery of new ones. The U.S. Navy has expanded its FY2026 decommissioning plan to include 14 ships, including nuclear-powered submarines, cruisers, littoral combat ships, amphibious vessels, and support ships. To offset declining fleet numbers, several aging platforms—including the USS “Nimitz,” which entered service in 1975—have had their service lives extended beyond their originally planned retirement dates.

The article concludes that the U.S. Navy’s fleet expansion challenges stem from structural weaknesses, including insufficient industrial capacity, outdated procurement practices, and deficiencies in program planning and risk management. It argues that these factors could significantly undermine the implementation of the Navy’s shipbuilding strategy and broader modernization objectives.

Source: People’s Daily, June 17, 2026
http://military.people.com.cn/n1/2026/0617/c1011-40742073.html

Briefings | | |   Defense/Military

Australian Think Tank Report Highlights CCP’s Global Network of Over 200 “Peaceful Reunification” Organizations

A new report by the Australian Strategic Policy Institute (ASPI) says organizations affiliated with the Chinese Communist Party’s (CCP) United Front system have established a global network of more than 200 chapters and related groups across over 90 countries and territories. Operating under the banner of the China Council for the Promotion of Peaceful National Reunification (CCPPNR), these organizations present themselves as independent local community associations while advancing political narratives and influence activities aligned with Beijing’s interests.

In a June 17 analysis, ASPI researcher Geoff Wade argues that the Beijing-based CCPPNR serves as the network’s central coordinating body. According to the report, once the organization issues a political statement or adopts a policy position, affiliated “peaceful reunification” groups around the world amplify the message, forming a coordinated global propaganda network. As an example, the report notes that 58 overseas organizations endorsed a Beijing statement criticizing Taiwan President Lai Ching-te in April.

The report adds that these locally branded statements are frequently republished by overseas Chinese-language media outlets with close ties to the CCP’s United Front system, significantly expanding their international reach.

The United Front has long been a core component of the CCP’s political strategy but has expanded significantly under Xi Jinping. Both Xi Jinping and his father, Xi Zhongxun, previously worked in the CCP’s United Front system. A 2020 ASPI report also noted that the United Front Work Department doubled its internal bureaus from six to twelve in 2015 and accelerated its overseas activities as Beijing increasingly employed “sharp power” to expand its political influence abroad.

Source: NTDTV, June 19, 2026
https://www.ntdtv.com/b5/2026/06/18/a104107234.html

Briefings | | |   Government/Politics

U.S. Pressure Stalls China Mobile’s Chile–Asia Submarine Cable Project

China Mobile’s proposal to build the first submarine fiber-optic cable directly linking South America and Asia has reportedly stalled following U.S. intervention, highlighting the intensifying geopolitical competition over global digital infrastructure. The proposed 20,000-kilometer cable would connect Chile with China, reducing South America’s dependence on U.S.-controlled communications networks at a time when artificial intelligence is driving rapid growth in global data traffic.

According to reports, Chile’s Ministry of Telecommunications initially approved the project in January 2026. Shortly afterward, ministry officials were summoned to the U.S. Embassy in Santiago, and the approval was withdrawn two days later, officially citing “technical errors.” In February, then-Transportation and Telecommunications Minister Juan Carlos Muñoz and two other Chilean officials reportedly had their U.S. diplomatic visas revoked after evaluating China Mobile’s proposal. The U.S. State Department reportedly argued that their actions could jeopardize critical telecommunications infrastructure and regional security.

Former Chilean President Gabriel Boric later said he ordered the project withdrawn after the United States threatened long-term consequences, adding that any decision on the cable should be subject to public debate. Following the inauguration of President José Antonio Kast in March, the U.S. ambassador to Chile declared the China Mobile project effectively “over.”

The case illustrates the growing U.S.-China rivalry over global telecommunications infrastructure. While U.S. technology companies dominate submarine cable networks linking South America to the rest of the world, Chinese firms—including China Telecom, Huawei, ZTE, and Alibaba Cloud—have steadily expanded their presence across Latin America through investments in 5G networks, data centers, cloud services, and other digital infrastructure.

Source: Epoch Times, June 19, 2026
https://www.epochtimes.com/gb/26/6/18/n14791883.htm

Briefings | | |   Geo-Strategic Trend Information/Technology

China’s PLA Holds 10-Week Anti-Corruption Training Camp for Senior Officers

China’s People’s Liberation Army Daily reported that the first PLA-wide senior officer training program, lasting 10 weeks, was held at the National Defense University in Beijing from April 8 to June 16. Chinese Communist Party General Secretary Xi Jinping attended the opening ceremony in his capacity as Chairman of the Central Military Commission and delivered a speech, according to the state military newspaper’s front-page account.

At the opening, Xi declared that any thoughts or actions motivated by self-interest or corruption are fundamentally incompatible with the nature and purpose of the CCP, which he described as a Marxist political party representing the broadest interests of the people and claiming to hold no special interests of its own. He also stressed that the military must have no room for those who are disloyal to the Party or for corrupt elements, and that senior officers must take the lead in resisting corrupt practices.

The training program adopted a blended learning model combining expert instruction, group study sessions, and individual self-study, with more than 40 theoretical lectures and over 10 focused readings of key texts. Participants also watched cautionary educational films on corruption, studied CCP disciplinary regulations, and reviewed Central Military Commission guidelines on strengthening oversight and management of senior military officers.

During the first week, trainees participated in an activity titled “Revisiting the Beginning of Soldierhood and Reflecting on the Responsibilities of Commanders,” which included re-taking the Party oath, re-singing the “Three Main Rules of Discipline and Eight Points for Attention,” and drilling basic military formations during morning exercises.

The report noted that participants unanimously affirmed the need to uphold the “CMC Chairman Responsibility System,” and that the Central Military Commission attached great importance to the training program. The article was published ahead of the PLA’s centenary in 2027, framing the initiative within Xi’s broader anti-corruption campaign in the military, which has targeted figures up to the level of vice chairman of the CMC and defense minister since he took power in November 2012.

Source: Central News Agency (Taiwan), June 24, 2026
https://www.cna.com.tw/news/acn/202606240105.aspx

Briefings | | |   Defense/Military