[Voiceover] In China's auto sector, AI is accelerating both the vehicle manufacturing process, as well as the race to develop driverless cars. According to the China Association of Automobile Manufacturers, more than 11 million smart connected vehicles were sold in the first half of the year, 17 percent more than last year, representing more than 75 percent of the country's total auto sales. This AI technology company in east China's Suzhou City says they've increased the number of vehicle models equipped with their smart driving assistance system from one in 2022, to 26, last year. AI has also been rapidly transforming the industry's manufacturing arm. At Changan Auto's smart factory in southwest China's Chongqing, AI now handles 100 percent of key production processes including detecting defects in sheet metal and welds. The facility operates with over 800 intelligent devices, 200 automated workstations and 1,400 robots. Experts say the industry is embracing artificial intelligence across the board. [Soundbite] Zhang Yongwei, secretary general, China EV100 think tank: "The automotive industry is actively embracing AI transformation, leveraging AI to optimize manufacturing processes. Many automakers are now committed to fundamentally reinventing themselves as AI-native enterprises, rebuilding their operations from the ground up with AI at the core." [Voiceover] The CADA, China Automobile Dealers Association, says market penetration of smart cars in China has climbed steadily from 15 percent in 2020 to 57.3 percent in 2024. [Restrictions: No access Chinese mainland]