China’s ‘New New Three Items’: What Makes Them New?

China’s artificial intelligence, robotics, and innovative drug industries are developing at remarkable speed and are expected to form new pillar industries, according to Yin Hejun, Minister of Science and Technology, speaking at a recent policy briefing series report meeting. The term “new new three items” (新新三样) has emerged as the latest evolution in China’s export identity, following the “old three items” of clothing, furniture, and home appliances, and the “new three items” of electric vehicles, lithium batteries, and photovoltaic products.

The designation reflects a fundamental shift in what China exports to the world. While previous generations of exports were defined by physical goods, the “new new three items” represent something different: the export of systemic capabilities, innovation ecosystems, and digital services. As Xinhua News reported, this marks a transformation in China’s role in global trade.

From Goods to Capabilities

The evolution of China’s export structure tells a story of industrial ascent. The “old three items” - clothing, furniture, and home appliances - relied on labor resources and cost advantages during the early reform and opening-up period, establishing China as the world’s factory. The “new three items” - electric vehicles, lithium batteries, and solar products - represented a leap to high-tech, green manufacturing. In 2025, exports of these products reached nearly 1.3 trillion yuan, a 3.5-fold increase from 2020, according to data cited in the Xinhua report.

The “new new three items” mark yet another step forward. Unlike their predecessors, which had clear goods trade attributes supported by China’s manufacturing strength, these emerging sectors export something more intangible. Chinese innovative drugs have shifted from early product exports to systematic capability output including target discovery, clinical translation, and global registration. Robot exports include not just hardware but closed-loop capabilities spanning data, models, and real-world scenarios. AI’s global expansion involves embedded “invisible digital capabilities” such as algorithm development, model invocation, and agent deployment.

Chen Yutao, Deputy Director of the China Enterprise Confederation Standards Committee, captured this evolution succinctly in a CCTV Focus Report segment: “The transition from ‘old three items’ to ‘new three items’ reflects our shift from production cost advantages to advanced manufacturing capabilities. The transition from ‘new three items’ to ‘new new three items’ is a concentrated manifestation of the shift from advanced manufacturing capabilities to an overall innovation ecosystem capability.”

Strong Growth Across Three Fronts

The momentum behind the “new new three items” is backed by substantial data across all three sectors.

Artificial Intelligence: China’s open-source AI large models have surpassed 10 billion cumulative global downloads. The global adoption of Chinese AI models has been particularly striking. According to data from the OpenRouter platform, Chinese models now hold 63.5% of the global market share, with US companies’ usage of Chinese models growing from 4.5% to 46% in just one year.

Robotics: In the first half of 2026, China’s industrial robot exports reached 6.29 billion yuan, up 18.6% year-on-year, with products sold to 141 countries and regions. Surgical robot exports grew 3.3 times year-on-year. China became a net exporter of industrial robots starting in 2025. All types of robots exported totaled 12.947 million units, worth 24.85 billion yuan, sold to more than 160 countries and regions. As 21st Century Business Herald reported, Guangdong province alone accounts for 23.6% of national industrial robot exports.

Innovative Drugs: In the first half of 2026, China’s innovative drug out-licensing deals totaled approximately $110 billion across 81 deals, reaching 80% of the full-year 2025 total. Chinese pharmaceutical companies occupied 8 of the top 10 global pharma deals. The deals covered 10 therapeutic areas including oncology, metabolism, immunology, and neurology, with licensees from 20 countries and regions. As Jiemian News reported, citing National Medical Products Administration data, China’s drugs in R&D pipeline account for approximately 30% of the global total, ranking second worldwide.

A Structural Shift in Trade

The rise of the “new new three items” is accompanied by broader changes in China’s trade composition. From January to May 2026, China’s total services trade grew 6% year-on-year, while the services trade deficit narrowed by approximately 20%. Knowledge-intensive services exports grew 12.2%, with intellectual property usage fees and personal culture/entertainment services exports growing fastest at 64.9% and 50.1% respectively, according to Workercn.

This shift reflects a deeper transformation in how China engages with global markets. The “new new three items” represent a move from one-way trade to two-way collaboration. Chinese AI companies are opening overseas platforms, innovative drug companies are engaging in cross-border joint R&D, and robotics firms are co-developing solutions with international partners. As CCTV Finance noted, the three key changes are: outputting core technology, upgrading the full supply chain, and shifting to open sharing and ecosystem win-win cooperation.

Global Reactions and Geopolitical Implications

The rapid rise of China’s “new new three items” has not gone unnoticed internationally. On July 28, 2026, the US Federal Communications Commission banned imports of new Chinese humanoid robots and power inverters, citing national security concerns. This followed growing concerns about China’s technological competitiveness. However, the response has been far from uniform. As Guancha reported, 133 US tech companies including Amazon, AMD, Intel, Uber, and SpaceX signed an open letter opposing restrictions on Chinese open-source AI models, highlighting the tension between security concerns and economic interests.

Japanese engineers at Nikkei’s xTECH purchased and disassembled a Unitree G1 robot, concluding that Chinese humanoid robots have completed the transformation from engineering to mass production. The assessment noted that China’s robotics industry has moved beyond the demonstration stage to full-scale manufacturing capability.

The Path Forward

As Global Times highlighted in its coverage of Shenzhen’s emerging industries, China’s technological ecosystem continues to deepen. Shenzhen alone is home to more than 2,600 major AI companies, with humanoid robot production surging 83.1% year-on-year and total robotics industrial output value exceeding 240 billion yuan.

The “new new three items” represent more than just new export categories. They signal a fundamental repositioning of China in the global economy - from a manufacturer of goods to a creator of capabilities. As Minister Yin Hejun stated, these industries “are developing rapidly and are expected to form new pillar industries.”

For global observers, the key question is whether these sectors can sustain their momentum and transition from rapid growth to sustainable pillar industries. The answer will depend on continued policy support, innovation investment, and the ability to navigate an increasingly complex geopolitical landscape. What is clear is that China’s export identity has entered a new chapter - one defined not by what it makes, but by what it can create.