Tuesday, February 11, 2025

Analysis: China’s Dominance in Technology and Its Impact on Global Standards

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The United States faces escalating challenges from China’s strategic dominance, particularly in raw materials and artificial intelligence, which threaten the US-led semiconductor and technology ecosystem. China’s control over over 70% of the global supply of rare earth elements, crucial for advanced manufacturing and military technology, allows it to exert significant leverage over industries in the US and other advanced economies. In response, the US is implementing measures to contain China’s technological progress, including curbing exports of semiconductors and collaborating with allies to limit the flow of Chinese products and services. This aggressive stance has already led to the exit of smaller Chinese firms from the tech industry. The ongoing struggle highlights the intertwined nature of global competition and the critical importance of securing supply chains in the face of China’s ascendancy.

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