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China's Technological Dominance: Implications for the Global Order

China's Dominance in Critical Technologies: Global Implications"

China's technological advancement is undeniable. The country has made impressive progress in many emerging and critical technology domains thanks to significant investments in research and development. China is emerging as a global leader in a variety of fields, from artificial intelligence to quantum computing. As China gains technological dominance, it threatens to outcompete Western powers and disrupt the current world order.

China's Technological Advancement and its Global Implications

In recent years, China has emerged as a global leader in science and technology. China has gained a significant advantage over Western democracies by establishing a leadership position in high-impact research across a range of critical and emerging technology domains. The country's dominance extends to 37 out of the 44 technologies tracked by ASPI, including defence, space, robotics, energy, biotechnology, artificial intelligence (AI), advanced materials, and key quantum technology areas. Notably, some of the world's top ten research institutions for specific technologies are based in China, and they produce nine times the number of high-impact research papers as the second-ranked country, which is usually the United States.

It's worth noting that China's technological advancement strategy is a deliberate design supported by long-term policy planning. The growth of the country's technology sector is a national priority. In fact, the Chinese Academy of Sciences ranks highly, often first or second, in many of the 44 technologies included in the Critical Technology Tracker.

China's Attraction of Foreign Talent: Implications for Innovation and Security

China's investment in science and technology is not limited to domestic initiatives. To strengthen its research and development capabilities, the country has been actively seeking to attract foreign talent, particularly from the Five-Eyes countries. The Five-Eyes countries are known for their advanced research institutions and universities, which include the United States, Canada, the United Kingdom, Australia, and New Zealand.

China has been offering attractive incentives, such as research grants, funding for scientific projects, and subsidized housing, to attract talented researchers from these countries. Many researchers from these countries have been enticed by the generous funding and the opportunity to work with top Chinese researchers in their field of expertise.

The presence of these foreign researchers in China has contributed significantly to the country's scientific output. One-fifth of high-impact research papers in China are authored by researchers with postgraduate training in a Five-Eyes country. This is a clear indication of China's commitment to building a strong knowledge-based economy by leveraging the expertise of researchers from around the world.

This strategy, however, has not been without controversy. Some Western democracies have expressed concern that these programs will result in the transfer of intellectual property and sensitive information to China. As a result, some countries have begun to limit the flow of talent to China, particularly in sensitive areas such as artificial intelligence and advanced materials. For example, the United States has tightened visa policies for Chinese researchers, particularly those working on sensitive technologies.

Global Competition for Research Talent

Trade war


The trade war between China and the United States reflects Western democracies' concern about China's growing dominance in the technology sector. The Trump administration launched the trade war in 2018 to address the US trade deficit with China and to force China to change some of its economic policies, including intellectual property theft. The underlying reason for the trade war, however, was a fear that China's rapid technological advancements would threaten America's technological superiority and global influence.

The trade war resulted in the United States imposing tariffs on Chinese goods, which had a significant impact on China's economy. China, on the other hand, retaliated by imposing tariffs on American goods, sparking a multi-year trade war. The trade war caused disruptions in global supply chains, increased business costs, and a decrease in international trade.

Despite the negative effects of the trade war, China has continued to invest in its technology sector, expanding its dominance in critical and emerging technology domains. This situation emphasizes the importance of Western democracies developing a long-term strategy to address China's technological advancements rather than resorting to short-term solutions such as trade wars.

China's Technology Advancements: Global Impact in Short and Long Term

China's technological advancements have the potential to shape the world in both the short and long term. In the short term, China's dominance in critical technologies and effective strategies for commercializing research breakthroughs could give it a significant advantage in the global supply of certain technologies. This could have far-reaching consequences for other countries, particularly in industries like defense and technology.

In the long term, China's research leadership positions it to not only excel in current technological development but also in future technologies that have yet to be discovered.



The information contained in Amarii Holdings website and newsletters is obtained from sources believed to be reliable, but its accuracy cannot be guaranteed. This information is not intended to constitute individual investment advice or to be tailored to your personal financial situation. The views and opinions expressed in these publications are those of the publisher and editors and are subject to change without notice. The information may become outdated and there is no obligation to update it. Any use of this information is at your own risk and Amarii Holdings accepts no liability for any loss or damage resulting from your reliance on it. You should consult with your financial advisers before making any investment decisions to determine if a particular investment is suitable for your needs.

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