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"Consumers have become more conservative spenders," said Xu Ruyi, head of research for Mintel China, which tracks spending across the country's 15 major consumer markets and releases the report annually.

"China will take all sorts of necessary legal and administrative measures toward entities put on the list," the column said. "Foreign enterprises must obey laws and regulations if they want to grab development opportunities in the Chinese market."

"China will not stop its effort to pursue higher-quality opening-up. China will not stop its effort to pursue an open world economy," Xi said at the China International Import Expo last month, the world's first national-level expo devoted to imports.

"Chinese users didn't follow the typical pattern of going from PC to laptop to mobile but jumped straight to smartphones instead," said Christian Henschel, co-founder and CEO of Adjust, a mobile measurement and fraud prevention company.

"China's strengths are mainly shown in AI applications and it is still weak on the front of core technologies of AI, such as hardware and algorithm development," the report noted. "China's AI development lacks top-tier talent and has a significant gap with developed countries, especially the US, in this regard."