China Focuses on Building Its Own Core Tech as U.S. Curbs Supply
China said it needs to build its own core technology because it can’t rely on buying it from elsewhere, as the Communist Party laid out plans for greater economic self-sufficiency.
Outlining details of its new five-year economic plan, senior party officials said Friday the nation would accelerate development of the kind of technology needed to spur the next stage of economic development. Key to that are bold measures to cut reliance on foreign know-how, although that doesn’t mean China will cut itself off from the world.
“To achieve technological advancement, China increasingly needs the world, and the world increasingly needs China,” Wang Zhigang, science and technology minister, told a briefing in Beijing. The nation planned to “improve our ability to make innovations independently and do our own things well because we cannot ask for or buy the core technologies from elsewhere,” Wang said.
At the same time, “we hope to learn from advanced international experience, and will share more Chinese technological outcomes with the world,” he said.
China Pledges Quality Growth, Tech Powerhouse in 5-Year Plan
Beijing’s drive for tech self-sufficiency is gaining urgency as the U.S. seeks to contain the rise of its geopolitical rival. The U.S. has pressured allies to shun equipment from Huawei Technologies Co., barred dozens of China’s largest tech companies from buying American parts, and even slapped bans on ByteDance Ltd.’s TikTok and Tencent Holdings Ltd.’s WeChat
Officials talked down prospects of an economicdecoupling between the world’s two largest economies and said China’s door would remain open for foreign competition.
Here’s What Economists Are Saying About China’s New 5-Year Plan
The Communist Party’s Central Committee released initial details of the five-year plan Thursday, stressing the need for sustainable growth and also pledging to develop a robust domestic market. Officials didn’t specify the pace of growth they would seek over the period, but said the National Development and Reform Commission would work on guidelines to be submitted to country’s parliament in March.
“Based on the general direction and strategy determined in the proposal, we will put forward corresponding numeric targets and specific indicators after careful estimate and calculation, so as to promote the reasonable economic growth and the steady improvement of its quality,” Ning Jizhe, vice chairman of NDRC, said at the briefing Friday.
Wang, the technology minister, said it was a strategic choice to elevate the role of innovation and make technological self-reliance a strategic pillar of national development in the plan. “There are three priorities of paramount importance. They are: reform, opening up and innovation,” Han Wenxiu, a Central Committee official, told reporters.
— With assistance by Enda Curran, Lucille Liu, Lin Zhu, Miao Han, John Liu, and Jing Li
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