Published by ChinaMNC · Bianba

Jiangsu's Physical AI Push: What Foreign Founders Need to Know

Jiangsu province is positioning itself as a hub for physical AI and world models, with new initiatives that could benefit foreign founders. Here's a breakdown of the key developments from the 2026 conference.

Jiangsu Hosts 2026 Physical AI and World Models Conference

On October 20, 2026, the Physical AI and World Models Conference opened in Nanjing, Jiangsu Province, under the theme "Modeling the Physical World, Enabling a Better Future." The event highlighted Jiangsu's commitment to advancing artificial intelligence that interacts with the real world. For foreign founders considering setting up operations in China, these developments signal emerging opportunities in a key tech sector.

Government Support and Strategic Vision

Governor Liu Xiaotao attended and delivered remarks, emphasizing that physical AI and world models represent a crucial direction for AI technology—extending into the objective real world, upgrading systematic cognition, and landing in physical scenarios. He outlined Jiangsu's focus areas: expanding application scenarios, attracting innovative talent, strengthening computing infrastructure, optimizing the industrial ecosystem, and fostering a favorable environment. The province aims to provide comprehensive support for academic research, technical breakthroughs, scenario validation, and industry cultivation in this field. Governor Liu expressed a desire to collaborate with top global talent, quality teams, and innovative enterprises to explore new frontiers of AI.

Other officials also spoke. Xia Bing, Deputy Director of the National Data Administration, noted that Jiangsu's rich application scenarios serve as a natural "training ground" for physical AI and world models, and encouraged the province to transform scenario advantages into data advantages, and data advantages into industrial advantages, taking the lead in this domain. Tan Tieniu, Chairman of the World Data Organization, hoped the conference would deepen exchanges and cooperation, integrate data, innovation, industrial, and talent chains, and turn conference outcomes into real productivity. Dai Qionghai, Chairman of the Chinese Association for Artificial Intelligence, said the conference would connect cutting-edge technology with real industrial needs, rooting research in practice and driving industrial upgrading through technological iteration, creating an innovation ecosystem with deep industry-academia-research integration.

Key Initiatives and Signings

The conference witnessed several significant launches and agreements:

Physical AI and World Models Investment Fund: A strategic cooperation agreement was signed, with Zhang Wenbing, Standing Committee Member and Executive Vice Governor, and Li Zhongjun, Mayor of Nanjing, witnessing the event.
National Data Annotation Pilot Su-Wan City Alliance (Yangtze River Delta Data Annotation Joint Innovation Center): Established to advance data annotation capabilities.
Physical AI and World Models Industry Alliance: Formed to bring together industry players.
Jiangsu High-Quality Dataset Action Plan for Physical AI and World Models: Released to support data infrastructure.
Typical Achievements and Scenarios: A selection of typical results and application scenarios in physical AI and world models were published.
Major Project Signings: A batch of major projects were signed.
National Standardization Committee Embodied Intelligence Working Group: Established.
Pre-research Launch of National Standard for "Artificial Intelligence World Models": Initiated.

Additionally, academicians, experts, and young entrepreneur representatives in the AI field gave keynote speeches. Before the conference, guests toured an exhibition.

Attendees included Zhao Jianjun, Secretary-General of the Provincial Government; responsible officials from relevant departments of the Ministry of Industry and Information Technology and the National Data Administration; leaders from provincial departments, units, and various municipal governments; and representatives from enterprises, universities, research institutes, and investment institutions.

Implications for Foreign Founders

For foreign entrepreneurs looking to register or operate a company in China, Jiangsu's focus on physical AI and world models presents several potential advantages:

Access to Talent and Innovation: The province's emphasis on attracting global talent and fostering an innovation ecosystem could make it easier to recruit skilled workers and collaborate with research institutions.
Funding Opportunities: The establishment of a dedicated investment fund and industry alliance may provide financing avenues for startups in this space.
Data and Infrastructure: Initiatives like the high-quality dataset action plan and data annotation alliance could offer valuable resources for AI development.
Regulatory and Standards Support: The launch of national standards pre-research and working groups indicates a move toward clearer frameworks, which can help businesses comply and innovate.
Application Scenarios: Jiangsu's rich industrial base provides diverse real-world testing grounds for physical AI technologies.

Foreign founders should note that while these developments create opportunities, operating in China requires navigating local regulations, forming partnerships, and understanding the business environment. ChinaMNC can assist with company registration, legal compliance, and operational support.

Conclusion

The 2026 Physical AI and World Models Conference underscores Jiangsu's ambition to lead in next-generation AI. Foreign founders in this field may find fertile ground for collaboration and growth. As always, conducting thorough due diligence and seeking local expertise is advised.

Call to Action: Foreign founders interested in registering or operating a company in China can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535 for assistance.

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