This month's featured article
U.S.-China High Tech Friction and Japan’s Response: Implications from comparison of innovation processes in Japan, the United States, and China
MOTOHASHI KazuyukiFaculty Fellow, RIETI
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To read the full text:
https://www.rieti.go.jp/en/special/policy-update/121.html
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Competition for technological supremacy reminiscent of the U.S.-Soviet conflict during the Cold War era is being fought between the United States and China in the cutting-edge technology fields of the 21st century. While the United States is strengthening export restrictions against Chinese companies and is calling for stronger cooperation from allied countries, China is developing domestic technologies at a rapid pace. The China bashing by the United States evokes the memories of the Japan bashing in the 1980s, which came against the backdrop of accusations of Japan getting “a free ride on American technology” and the perception of Japan as being “different.” However, the U.S.-China friction is distinctive in that it has extended to cutting-edge science and technology fields, as shown by the lists of critical technologies (e.g., AI/machine learning, and quantum computing) that are subject to the export restrictions adopted by the two countries. One underlying factor is that advanced sciences may be converted to military applications and are therefore relevant to national security. More fundamentally, there is an ongoing “co-evolution” of science and innovation, which refers to the ever-decreasing distance between basic science achievements, which have long been considered a non-competitive field, and innovation for their commercialization and monetization. As a result, in addition to the intervention in free trade seen in the U.S.-Japan friction of the 1980s, the U.S.-China friction is also affecting basic research activities at universities and other public institutions.
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