Part 6/12:
The Push for Innovation and "New Productive Forces"
In the Two Sessions held in early 2024, Chinese policymakers reiterated their focus on "new productive forces"—a term that signifies a strategic focus on innovation-driven growth. This encompasses sectors like AI, quantum computing, biotech, and green tech.
China is channeling increased government funding into R&D—raising its tech budget by 10%—and advancing efforts to develop core technologies such as domestically produced semiconductors. The landmark success of Huawei's domestically made 7nm chips exemplifies this drive; it challenges previous assumptions about China's hardware capabilities.