RESEARCH REPORT
Growth in a new reality
Accenture China Digital Transformation Index 2025
5-minute read
August 14, 2025
In brief
- 46% Chinese companies are adopting and adapting AI, but only 9% achieved significant value.
- In the face of new dynamics and challenges, Accenture sees three trends.
- To achieve new growth in a new reality, companies need to focus on four imperatives.
Over the past two years, major Chinese enterprises across industries have faced unprecedented growth slowdowns. Profits have been in steady decline due to sluggish demand and intensified competition stemming from structural overcapacity.
Despite the rising uncertainty, Chinese enterprises are becoming more aware and better equipped to respond.
76%
of Chinese companies believe the pace of external change has accelerated significantly (global average of 64%)
25%
of Chinese companies describe their current situation as unprecedented (global average of 22%)
44%
of Chinese companies feel well-prepared to manage these changes, 8-percentage-point increase compared to 2024
Three trends signaling a new phase of reinvention
According to the Accenture China Digital Transformation Index 2025, Chinese companies scored 49 points, marking steady progress over the past three years. A closer look at score changes across the six sub-dimensions reveals three trends.
01
Ambition amid adversity
Chines companies are shifting from cost control to innovation-led growth.
- Chinese enterprises remain steadfast in their committed to innovation. In the 2024, Chinese companies continue to increase investment in innovation, with R&D spend increasing by 9% year-on-year, far higher than the 5% growth in revenue.
- Chinese companies are reinventing themselves from exporters of products to exporters of brands and technologies. Through manufacturing diversification and localization, their overseas business continues to expand and deepen. Survey data shows that 37% of large companies earned over 20% of their revenue from overseas markets in 2024.
These efforts have fueled the ambitions of Chinese companies, with a growing determination to lead their industries.
Looking ahead
- Rising geopolitical tensions and trade barriers are complicating globalization, testing companies’ global strategies and adaptability.
- Sluggish economic growth and weak consumer demand are intensifying competition both domestically and internationally, increasing the importance of differentiation.
- Breakthroughs in advanced AI are reshaping the pace and nature of innovation. Companies must find ways to win in the AI-led innovation race.
02
AI: From tool to strategy
Our analysis shows that advanced AI adoption is expanding beyond easily scalable, generic applications—such as customer service and marketing chatbots—into more complex, industry-specific areas like R&D, manufacturing and supply chain. However, successfully scaling generative AI (gen AI) to deliver tangible business value remains a challenge.
Recognizing digital core as critical to scaling gen AI, Chinese companies have accelerated the development of the key technology capabilities, with particularly notable progress in cloud and security.
33%
of Chinese companies believe “cloud + AI” fuels product and service innovation
58%
of Chinese companies are able to quickly update security strategies and tools
Looking ahead
- The 2025 survey shows that more than half of Chinese companies plan to widely adopt or promote AI agents in the next one to two years.
- These agents will play a central role in future digital architectures, demanding real-time data capture, dynamic execution and full integration with business systems. This shift calls for more flexible IT foundations and mature data strategies.
- At the same time, rising global uncertainties—including evolving regulations on AI ethics, data sovereignty and export controls—are raising compliance costs and increasing the urgency to strengthen resilience in the digital core.
03
Resilience redefined
People resilience: Organizational change needed
Thanks to China’s vibrant AI ecosystem, over 60% of Chinese companies now have embedded AI tools into workflows. However, AI adoption remains largely at the tool-use level, with systemic organizational and process transformations yet to begin.
Looking ahead
- Rising cost pressures and rapid AI advancements are driving companies to enhance organizational and workforce adaptability.
- AI agents are accelerating labor automation and will fundamentally reinvent ways of working, collaboration models and organizational structures.
- Furthermore, this wave of transformation requires engagement at all levels, especially from frontline employees. Limited understanding of AI systems and a lack of a solid foundation of trust may create resistance to change.
Operational resilience: Taking strengths to the next level
In recent years, operational efficiency has been a key focus for Chinese companies and a core source of competitiveness. China has strong operational advantages, driven by smart manufacturing and a robust supply chain ecosystem.
However, external shocks and globalization have exposed limitations. Many Chinese companies remain at the stage of static resilience, relying on traditional AI technologies and fragmented data-driven approaches for operational resilience. This results in limited dynamic adaptability and weak end-to-end responsiveness.
Looking ahead
- As Chinese companies expand globally, they face increasing complexity and must strengthen their resilience to navigate uncertainty—and, more importantly, to leverage it for growth and competitive advantage.
- Advanced AI is opening up new possibilities for operational efficiency and resilience. While China is already strong in smart manufacturing, companies must now chart their own paths to achieve the next level of operational resilience.
- Chinese companies’ global operations—particularly in supply chain, risk management and compliance—remain underdeveloped. Building secure and agile supply chains will be essential for success in international markets.