Chinese iFlyTek Expands into Europe Amid U.S.-China Trade Tensions
Chinese artificial intelligence leader iFlyTek plans to expand its operations in Europe in a move aimed at mitigating the negative effects of escalating trade tensions between the United States and China, according to the company’s Vice President, Vincent Zan. This statement was made during Zan’s participation in the Mobile World Congress in Barcelona this week.
Impact of the Trade War on iFlyTek
Zan pointed out that the trade war between the United States and China has had an impact on the company, noting that North America remains a major market for iFlyTek outside of China. He added that the company is working to diversify its supply chain to minimize the impact of tariffs on its global operations.
Escalation of the U.S.-China Trade War
This announcement comes at a time when U.S.-China trade relations are seeing significant escalation. Recently, U.S. President Donald Trump announced a 20% tariff on various categories of Chinese electronics not previously covered by sanctions, including smartphones, laptops, gaming devices, smartwatches, speakers, and Bluetooth devices. His predecessor, Joe Biden, also imposed additional tariffs on Chinese semiconductors last year.
Company’s European Expansion
Despite the restrictions imposed by the U.S., iFlyTek is striving to increase its presence in European markets. The company currently has offices in France and Hungary and plans to open a new office in Paris later this year or next. Zan also revealed plans to expand the company’s operations into Spain and Italy next year, without providing further details.
During its participation in Barcelona, the company officially launched a new tablet capable of converting conversations into written text, reflecting its growing interest in the European market.
Challenges and Chinese Alternatives in AI Industry
Regarding the challenges posed by U.S. sanctions, the U.S. blacklisted iFlyTek in 2019, preventing the company from purchasing critical components like AI chips from U.S. companies such as Nvidia. However, the company has adapted to these restrictions by relying on chips from Huawei and integrating technologies from the emerging company DeepSeek.
Zan explained that these challenges have been overcome thanks to the entry of several Chinese companies into the AI chip manufacturing market, providing the company with local alternatives.
iFlyTek’s European Future
Despite the increasing U.S. sanctions, iFlyTek is steadily advancing toward a breakthrough in European markets, positioning itself in direct competition with the trade restrictions imposed by the U.S. Indicators suggest the company is focused on enhancing its presence in the global AI market, particularly in the rapidly growing European AI sector.
Sources:
- Statements from Vincent Zan, Vice President of iFlyTek.
- Reports from the Mobile World Congress in Barcelona.
- Data from LSEG on the market value of iFlyTek.
- News sources specializing in artificial intelligence technology and U.S.-China trade relations.