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China is pitching its AI models to Europe, but is it enough to avoid 2-horse race with US?

As the United States and China consolidate their dominance in artificial intelligence, attention is turning to whether Europe can carve out a distinct third pole…

By Samantha Johnson / August 11, 2026

As the United States and China consolidate their dominance in artificial intelligence, attention is turning to whether Europe can carve out a distinct third pole – a “G3” – or remain in Washington’s technological orbit.

The race is rapidly evolving into a contest over international order. In June, Washington signed up 10 more partners for its Pax Silica framework – designed to secure supply chains for key advanced technologies such as microchips and AI – bringing the total to 24.
Weeks later, 29 countries signed an agreement in Shanghai to establish the rival World AI Cooperation Organisation, a Chinese-led initiative pitched especially at the Global South.

According to the 2026 Global AI Innovation Index, produced by China’s Institute of Scientific and Technical Information and Peking University, the US and China remain far ahead of other countries.

The index, which used a range of criteria to assess 46 countries’ AI innovation and development, put the US well ahead with 78.44 points, with China closing the gap on 60.49. The third-placed country, Britain, was over 20 points behind on 39.99 with Germany and France in sixth and seventh place.

Stanford’s 2026 AI Index Report also put the US ahead, producing 59 notable AI models last year, compared with China’s 35 and two from Europe.

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