Commission Warns of Growing Chinese Tech Dominance
Earlier this week, the U.S.–China Economic and Security Review Commission released their Annual Report to Congress. The report highlights how the United States and China are in strategic competition to dominate the global technological landscape and how American companies are helping China progress in key emerging technologies.
Technological dominance is a priority for the Chinese government. One of the Commission’s key findings is that “The CCP is prioritizing research in key emerging technology areas such as AI, quantum technology, biotechnology, and batteries with the goal of becoming a world leader in science and technology,” and that President Xi is betting that such dominance will achieve China’s goal of becoming a superpower in the 21st century.
Technological leadership is key to global leadership. The commission found that “[China’s] rapid technological progress threatens U.S. economic and military leadership and may erode deterrence and stability in the Pacific, as well as tip the global balance of power.”
American leadership is under threat. The Commission finds that the United States can claim leadership in artificial intelligence, for now, but China is making rapid progress. The Commission also finds that China is an “early leader” in quantum computing and is significantly ahead in advanced battery technology. TIP Policy Director Geoff Cain recently wrote an op-ed in The Hill on how Apple handed over key battery technology to Chinese electric vehicle champion BYD.
American companies should play no role in China’s advancement with emerging technologies. The report unfortunately highlights some examples of how China has been able to advance in key emerging technologies thanks to cooperation with American firms:
- “Currently, both Microsoft and Amazon AWS operate cloud services in China, with Microsoft offering services under a wholly owned subsidiary of local company 21Vianet and AWS China partnering with local companies Sinnet and NWCD to offer data center services.”
- “An Amazon executive for Greater China reportedly stated in June 2024 that AWS “is committed to long-term investments in China, and will focus on offering generative artificial intelligence technology and helping Chinese enterprises in their digital transformation.”
- “Early gains in China’s AI models have been built on the foundations of U.S. technology”
- “A survey from Biotechnology Innovation Organization, a trade association, found that of 124 U.S. biotech companies that responded, 79 percent had at least one contract or product agreement with firms based in China or owned by China for services such as gene sequencing, data management, and conducting clinical trials”
These are just a handful of examples where American corporate cooperation with China has supported their objective for technological superiority. TIP recently covered how Apple engaged in a billion dollar research endeavor with Chinese automaker BYD, advanced their battery technology. The Commission describes BYD as now being “a major player in the global EV market, dominating domestic and foreign firms in China’s EV market while surpassing Tesla in global sales of battery EVs in the last quarter of 2023.”
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Tech Integrity Project is dedicated to ending this collusion. Tech Integrity Project works to protect the national security and economic competitiveness of the United States by preventing Big Tech companies from aiding America’s adversaries. The organization works to educate policymakers and the public about the problematic business activities of U.S. tech companies in China and other adversarial nations, including capital investment, overseas research, transfer of trade secrets, and selling access to sensitive technologies.








