Beijing eases back on ‘Made in China 2025’ amid trade talks with US

BEIJING: China appears to be easing its high-tech industrial development push, dubbed ‘Made in China 2025’, which has long irked the US, amid talks between the two countries to reduce trade tensions, according to new guidance to local governments.

Beijing has dropped references to ‘ Made in China 2025’, an initiative intended to help China catch up with global rivals in sophisticated technologies and promoted aggressively since 2015.

The strategy is core to China’s aim to transform itself into a global superpower by 2050, and rival US dominance in sectors such as semiconductors, robotics, aerospace, clean- energy cars and artificial intelligence.

But its open efforts to deploy state support and subsidies to close a technology gap has provoked alarm in the West and blowback from the US.

US Commerce Secretary Wilbur Ross said it was clear China has been de- emphasizing the 2025 plan in response to objections from the US and other countries, but that doesn’t mean they’ve dropped it.

He told CNBC television that he expects China to move into more advanced technologies and he has no objections to that.

“We do object to using inappropriate methods, like stealing secrets, like forced technology transfers, that sort of thing,” Ross said of China. “We’re perfectly happy to compete with them toe-to-toe, as long as it’s a level playing field.”

China has repeatedly denied the US al legations that it systematically misappropriated US intellectual property through policies that effectively coerce US firms to transfer technology to Chinese joint venture partners, through outright theft by cyber and other means and state acquisitions of US firms.

In its 2016 guidance to local governments, the State Council, or cabinet, said local governments that promoted the implementation of ‘ Made in China 2025’ while encouraging industrial growth and manufacturing upgrading would be given priority support.

In its latest guidance reported by state media on Wednesday, references to ‘ Made in China 2025’ were omitted.

Local governments that have seen results in their promotion of stable industrial growth and upgrading will be given priority support, the state-backed China Information News said, citing a new document from the State Council. — Reuters

– Reuters photo Women work at the production line manufacturing electronic keyboards at a factory of the Tianjin Yamaha Electronic Musical Instruments Co. in Tianjin, China.

— Reuters photo Words ‘Made in China’ are pictured on a box of products imported from China at a wholesale shop in Paris, France.