Technology at the Heart of US–China Trade Dispute

China is willing to concede some territory on trade in order to advance its technological ambitions

Huawei smartphones on display in a shop in Shanghai on May 3, 2018. Chinese mobile manufacturers Huawei and ZTE have come under U.S. scrutiny for security reasons as the trade battle between China focuses on technological issues. Johannes Eisele/AFP

This year’s U.S.–China trade skirmishes could well be the start of a much more profound schism in the world economy.

Beijing has no intention of abandoning its “Made in China 2025” plan—the real target of President Donald Trump’s threats and actions. The comprehensive upgrade of China’s industry and focus on developing advanced technology is the cornerstone of regime leader Xi Jinping’s economic vision.