United States will outcompete China on high technology

Significance The United States has long maintained a position as the world’s technological superpower, safeguarding its economic edge over China. However, Beijing’s growing ambition to lead in high-tech industries is unsettling Washington. Impacts Increased investment in high technology may elevate the Chinese government’s debt-to-GDP ratio. Growing FDI inflows in manufacturing industries will help the US economy expand steadily. Tax cuts for corporations during Donald Trump’s second term will leave the US private sector with more financial resources for R&D.