CNBC's The China Connection newsletter: Coding the future... in Chinese?

A Chinese vocational schoolhouse successful Tianjin is showcasing a imaginativeness for the future: a mill automation exemplary powered by Huawei's Ascend chips and programmed successful Chinese characters.

Forget Python, Java, oregon C — this strategy skips the Latin alphabet altogether. Nor is Nvidia involved.

The China-centric objection was portion of a state-organized circuit astir the Shanghai Cooperation Organization summit, a gathering of countries that are mostly extracurricular the U.S. orbit.

As Chinese President Xi Jinping held tribunal successful Tianjin this play connected the sidelines of the largest-ever SCO summit, readouts of his meetings with much than a twelve visiting leaders underscored not lone economical cooperation, but accrued partnerships astir tech and artificial intelligence.

From electrical vehicles to concern robotics and AI, Chinese companies person closed the gap with — and successful immoderate areas surpassed — Western competitors, fueled by authorities policy, subsidies, and ferocious home rivalry.

"You're seeing 2 twelve planetary leaders descending upon China, successful ample portion because, A, they privation to get immoderate look clip with President Xi and B, due to the fact that determination is simply a immense economical upside to deepening practice with China," Jeremy Chan, elder analyst, China and northeast Asia, Eurasia Group, said Monday connected CNBC's "Squawk Box Asia."

These countries are "not looking for the emergence of a bipolar satellite with Beijing and Washington arsenic the 2 poles," Chan said. "They're looking for, if anything, multipolarity and greater optionality for themselves."

For Azerbaijan, a state by the Caspian Sea with a gross home merchandise barely larger than Myanmar's, it's keen to bash concern with China. In a Chinese readout of a gathering with Xi connected Sunday, Azerbaijani President Ilham Aliyev affirmed enactment for Beijing's stance connected Taiwan, and signed documents for practice connected AI.

Aliyev was past owed to person "intensive meetings with the biggest Chinese companies" successful vigor and communication, Hikmet Hajiyev, adjunct to the Azerbaijan president and caput of the overseas argumentation affairs department, told maine connected the sidelines of the summit.

These concern practice includes "investments and exertion sharing," helium said, without specifying.

"For decades, Beijing has attempted to find ways to link the Chinese Communist Party with the remainder of the world. The Luban [vocational education] programme fits into that context," said Isaac Stone Fish, laminitis and CEO of U.S. consulting steadfast Strategy Risks. "It's a modern mentation of, say, China sending thousands of engineers to Tanzania to assistance physique a railway determination successful the 1970s."

As China exports its exertion and equipment, the state is besides providing grooming worldwide done its "Luban Workshops," including 1 astatine the Tianjin Light Industry Vocational and Technical College.

The Luban Workshops, specified arsenic 1 successful Egypt, got their commencement mostly owed to instrumentality exports, said Li Yunmei, lawman enactment caput and president of the college.

"We are helping the Chinese entrepreneurs successful going abroad," she added successful Mandarin, via an authoritative translation. She told maine that partners see location appliance companies and upwind turbine producers, and that each students indispensable besides instrumentality an introductory AI course.

The Tianjin school's Huawei-based mill automation exemplary whitethorn truthful acold beryllium much symbolic than indicative of what factories usage close now. But it reflects what's connected the program for the Chinese and planetary students.

The school, which is astir a two-hour thrust from Beijing, is acceptable to invited 12 students from Egypt successful the coming weeks, pursuing an earlier cohort from Uganda this year, according to Wang Baolong, manager of the college's mechanical engineering department. He was responding to newsman questions arsenic portion of the state-organized circuit astir the SCO summit.

In 2021, Xi had announced plans for 10 Luban workshops successful SCO countries implicit the adjacent 3 years. Xi connected Monday said that China would found 10 much specified schools implicit the adjacent 5 years, and enactment grooming for 10,000 people.

China has already established Luban workshops, named aft a legendary craftsman, successful much than 20 countries, including Thailand, India and Portugal.

China's ambitions don't halt astatine the vocational level.

Xi connected Monday said that starting adjacent year, China volition summation scholarships for students from SCO countries and motorboat a doctoral grade programme for technological and technological research. That's successful summation to his different announcements for the instauration of 3 China-SCO centers for tech innovation, higher acquisition and vocational training.

"We are acceptable to physique with each sides the AI exertion practice halfway and stock the dividends of advancement successful AI," Xi said successful Mandarin, via an authoritative English translation.

China has besides built an "SCO Development Zone" successful its eastbound Shandong state for launching commercialized and concern improvement with subordinate countries. Local representatives said past week that a "Shandong-Hong Kong" halfway for tech practice had completed 29 projects linking tech, endowment and superior unneurotic for SCO states.

In a "Tianjin Declaration" astatine the adjacent of the SCO Summit, members called for deeper acquisition practice to trim integer divides, and noted the imaginable of platforms specified arsenic an AI innovation halfway successful Kazakhstan.

As China goes cervix and cervix with the U.S. successful the AI race, the vocational grooming workshops could springiness Beijing an borderline successful shaping a tech-driven aboriginal — if they beryllium to beryllium much than showcases.

Alibaba is connected an AI roll. The Chinese tech institution past week reported a surge successful unreality computing revenue. It's besides developing a caller chip designed for artificial quality applications, 2 radical acquainted with the substance told CNBC.

U.S.-China commercialized limbo lingers. While the satellite awaits a Trump-Xi meeting, Chinese Vice Commerce Minister Li Chenggang met with U.S. Treasury, commerce and commercialized officials successful the U.S. from Aug. 27 to 29, according to a Chinese readout.

China's EV deliveries rebound. Startup Nio is connected the up again with  which see its 2 lower-priced sub-brands. But Li Auto is struggling arsenic deliveries slump for a third-straight month.

Chinese markets were successful absorption Wednesday pursuing President Xi Jinping's code astatine a subject parade to commemorate the 80th day of the extremity of World War II. The lawsuit was graced by 26 satellite leaders, including Russian President Vladimir Putin and North Korea's person Kim Jong Un.

Hong Kong's Hang Seng index fell 0.6% to adjacent 25,343.43, portion mainland China's CSI 300 declined by 0.68% to adjacent astatine 4,459.83.

The HSI has climbed 26.34% since the commencement of the year, portion the CSI 300 is up 13.34%.

The show of the Shanghai Composite implicit the past year.

Sept. 8: Trade information for August

Sept. 10: Inflation information for August