Authorities view AI as a tool to assist human creators and will back high-quality dramas, but require rigorous labeling and proper permissions for AI-generated likenesses and voices.

Regulators will support AI-generated dramas through innovation while enforcing strict labels, portrait and voice authorization, and full-content vetting to meet core safety and rights rules.

A tightened regulatory framework mandates dedicated content labels, proper authorization for likeness and voice rights, and comprehensive production oversight for AI-driven dramas.

China’s traditional film market is shrinking in early 2026, with box office down and theater admissions falling, as audiences shift toward micro-dramas and streaming content.

NRTA aims to push international expansion of Chinese micro-dramas with measures to aid overseas distribution and ongoing legislative work on a radio and television law during the 2026–2030 plan.

The micro-drama market surpassed 100 billion yuan in 2025 with hundreds of millions of users, and 2026's eight months saw a surge in releases—AI-generated titles dominate the output.

In the first eight months of 2026, publicly filed TV and online dramas rose by about a third, signaling growth in longer-form content alongside a booming micro-drama segment.

From January to August 2026, roughly 430,000 short-form dramas were released, about 13 times more than all of last year.

Industry trend points to valuing content IP and cultural resonance over sheer scale, with examples of international traction for titles and integration of traditional cultural elements.

Industry leaders say Chinese video-generation models give cost advantages and faster production, with some considering AI-driven shifts irreversible for the film and TV ecosystem.

Public reaction is mixed: supporters see AI as enabling efficiency while critics worry about copyright infringement, quality, and the policy’s effectiveness.

NRTA stresses balancing growth with content safety, data security, and copyright protection as AI accelerates production for sustainable, higher-quality development.