Published by ChinaMNC · Tongdaodongzu

China’s State Council Signals Next Steps on AI, Pricing and Teacher Law: What Foreign Founders Should Know

A State Council meeting chaired by Premier Li Qiang on October 16 reviewed the “AI+” initiative and approved draft amendments to the Teacher Law and Pricing Law, plus changes to 14 administrative regulations. Here’s a concise guide for foreign founders on the practical implications.

Overview of the October 16 State Council Meeting

On October 16, Premier Li Qiang chaired a State Council executive meeting in Beijing. The meeting heard a report on progress of the “AI+” initiative, discussed a draft revision of the Teachers Law, discussed a draft amendment to the Pricing Law, and approved a draft decision on amending and repealing certain administrative regulations. For foreign founders building or running a company in China, these agenda items point to evolving policy priorities in technology, pricing rules and the regulatory environment.

AI+ Initiative: From Technology Push to Application Pull

The meeting described artificial intelligence as a key variable shaping future development. It stressed that China’s approach should build on the country’s complete industrial system, rich application scenarios and strong engineering capacity. The emphasis is on using real-world deployment to drive technological innovation and to deepen and expand the “AI+” initiative.

Key Priorities for AI Development

• Strengthen the foundation: intensify technical research and algorithm innovation, promote coordination between computing and electricity, and increase the supply of high-quality data to address weaknesses and build on strengths.
• Focus on enabling applications: prioritize the real economy, improve supply-demand matching, encourage joint research and development, advance pilot testing, and expand scenario cultivation so that AI technologies translate into real productivity.
• Balance development and security: adopt industry-specific, tiered and categorized measures, strengthen risk assessment, and uphold the bottom line of AI safety.

For foreign founders in AI or tech-enabled sectors, these priorities suggest continued policy support for applied AI projects, especially those linked to manufacturing and other real-economy use cases. Companies may find opportunities in joint R&D, pilot programs and scenario-based partnerships. At the same time, compliance with emerging AI safety and risk-assessment requirements will be important.

Draft Revision of the Teachers Law

The meeting discussed and approved in principle a draft revision of the Teachers Law and decided to submit it to the Standing Committee of the National People’s Congress for deliberation. The revision aims to strengthen protections for teachers’ pay and rights, reduce non-teaching burdens, improve social public services for teachers, and safeguard their professional dignity and lawful rights. It also calls for building a high-quality, professional teaching workforce, improving the teacher education system, enhancing teaching capabilities, reinforcing professional ethics, and fostering a society-wide respect for teachers.

While this law primarily affects the education sector, foreign founders operating international schools, training centers or education-technology ventures in China should monitor how the revision may influence teacher qualifications, employment terms and operational standards.

Draft Amendment to the Pricing Law

The meeting also discussed and approved in principle a draft amendment to the Pricing Law, which will be submitted to the Standing Committee of the National People’s Congress. The amendment responds to new circumstances and aims to improve price governance mechanisms, refine government pricing procedures, and clarify standards for identifying unfair pricing practices and related legal liabilities.

Specific measures mentioned include:

• Govern low-price disorderly competition in accordance with laws and regulations.
• Improve supporting rules such as industry cost investigations and prohibitions on low-price dumping.
• Strengthen price enforcement and supervision.
• Continue to regulate pricing competition in the platform economy and guide companies to enhance the value of their products and services.

Foreign founders in e-commerce, retail or platform-based businesses should note the heightened focus on pricing conduct. The amendment may lead to clearer rules against below-cost pricing and unfair competition, and companies should review their pricing strategies to align with the evolving framework.

Amendments and Repeals of Administrative Regulations

The meeting decided to amend certain provisions of 14 administrative regulations, including the Regulations for the Implementation of the Archives Law, and to repeal four administrative regulations, including the Provisions on Limitation of Liability for Maritime Passenger Transport between Ports. These changes are part of the broader effort to streamline and update the regulatory framework.

For foreign founders, keeping abreast of amendments and repeals can help in maintaining compliance, particularly in sectors such as archives management and transportation. Although the specific details of each change were not elaborated in the source, the direction is toward a more up-to-date and coherent set of rules.

Practical Takeaways for Foreign Founders

• AI and tech: Policy support for AI applications in the real economy may create opportunities for collaboration, but be mindful of emerging safety and risk-assessment requirements.
• Education: If you operate in the education sector, watch for the Teachers Law revision’s impact on employment and qualifications.
• Pricing and platforms: The Pricing Law amendment signals tighter scrutiny of low-price competition and platform pricing; review your pricing policies accordingly.
• Regulatory updates: Stay informed about amendments and repeals of administrative regulations that may affect your industry.

Foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for help registering and operating a company in China.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.