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[ARTICLE · art-100694] src=koreatimes.co.kr ↗ pub= topic=ai-policy verified=true sentiment=· neutral

China's biggest weakness on AI

China is beginning to slow its artificial intelligence rollout, as evidenced by a late April court ruling that an AI firm could not dismiss an employee solely due to automation, a nationwide suspension of new autonomous-vehicle licenses after a robotaxi failure in Wuhan, and state media criticism of AI-driven layoffs. These actions suggest that despite its authoritarian capacity to override resistance, China is choosing restraint, potentially undermining its structural advantage in the AI race against liberal democracies.

read1 min views9 publishedAug 18, 2026

OXFORD — In late April, a Chinese court ruled that an AI firm could not legally dismiss an employee simply because his role had been automated. Shortly thereafter, Chinese regulators reportedly suspended new autonomous-vehicle licenses nationwide in response to a mass robotaxi failure in Wuhan, a city where cab drivers had long petitioned authorities to slow the technology’s rollout. And all the while, Chinese state media has been criticizing companies for contemplating artificial intelligence (AI)-driven layoffs, arguing that they have a duty to protect their employees. Together, these episodes suggest that China is beginning to pump the brakes on its own AI rollout. But why would a state with such coercive capacity and a strong desire to dominate the technological frontier choose restraint? After all, China seemed to have a structural advantage in the AI race. An authoritarian state can be a deployment machine, overriding worker resistance, suppressing protests, and keeping the gears turning, whereas liberal democracies are deliberation machines that must account for elections,

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