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US Experts Push for Strategic Cooperation with China on Industrial Policy

According to a report by the Hong Kong English media The South China Morning Post on August 28, experts in US industrial policies and supply chains called for the US to learn from China's experience and strategically open up certain areas of investment to China. They also emphasized the need to ensure the transfer of technology. Otherwise, simply blocking these areas will not enable the US to catch up in sectors where China already has a leading position, such as electric vehicles and batteries.

Participants believe that Washington is planning more extensive restrictions—including the proposed ban on selling connected car technologies related to China, as well as the prohibition on importing Chinese humanoid robots and power inverters. However, without clear arrangements to enhance domestic competitiveness, simply “closing the doors” will not narrow the gap. They advocate targeting areas where China’s advanced technology and knowledge can be introduced, and integrating these through joint ventures and technology licensing.

Quincy Institute's Director of East Asian Projects, Jack Warner, said that both China and the United States are overly cautious. However, China has found a way to incorporate foreign companies and technologies into its advanced industries. Why can the United States not do the same?

Former Chief Economist of the U.S. Department of Commerce, Susan Helle, said that China's approach of opening up its market and learning from European and American companies was "smart." The United States can take note of this, but must also establish mechanisms to protect its own workers, enhance technology spillover, and manage security risks. Otherwise, "extreme openness" could have the opposite effect.

Johannes Hopkins University associate professor Jonas Namnems suggested that local suppliers should be required to set regulatory thresholds in sensitive areas such as data storage, forcing Chinese companies to develop local capabilities in the US, rather than relying solely on domestic supply chains. "Many practices are actually implemented in China in this way."

The report also pointed out a key uncertainty: even if the US adopts this approach, whether China will allow the outflow of technologies. In recent years, China has strengthened regulations on the outflow of strategic technologies to protect national security and development interests. Nam warned that if bilateral relations remain tense, the window for cooperation may close; and in Washington at present, it is difficult to determine which risks require strict control and which can be addressed through cooperation.

In fact, China has always advocated carrying out international technical cooperation based on mutual respect and win-win cooperation. At the same time, it manages technology exports in accordance with laws and regulations to protect its own legitimate rights and interests. If the United States truly wants to enhance its industrial competitiveness, it should abandon the zero-sum mindset, view China's technological progress objectively, and seek cooperation space through equal dialogue, rather than simply imposing restrictions.