Editing Science and technology in China (section)

== Innovation ==
A 2005 report found serious shortcomings to China's national innovation system. There were problems with services to help turn S&T work into results and the allocation of national funding to support S&T was far from optimal. Sometimes researchers became short-sighted if they get too close to the market. Another serious problem was that companies facing severe competition looked first to purchase foreign technology rather than investing in developing technology and technology development capacity at home in China. Many of the patent applications came from medium-sized enterprises (70%) since small enterprises invest little in research.<ref name="High Technology Development Report 2005">"Issues in Building a National Innovation System" in 2005 High Technology Development Report (Gao Jishu Fazhan Baogao) from the Chinese Academy of Science (Kexue Chubanshe, Beijing 2005).</ref> China's hierarchical, top-down society where authority is greatly respected and feared has been argued to stifle creative debate.<ref name="BBC2011">{{cite news|url=https://www.bbc.co.uk/news/business-10792465|title=BBC News – China's new industrial revolution|last1=Robinson|first1=Michael|date=2010-08-01|access-date=2011-08-14|publisher=BBC}}</ref>

China in a 2006 report outlined policies for improving innovation. They include 20 large megaprojects in areas such as nanotechnology, high-end generic microchips, aircraft, biotechnology, and new drugs. This is combined with a more bottom-up approach on a [[Silicon Valley]] model consisting of small start-ups, [[venture capital]], and cooperation between industry and universities.<ref name=InnovationWall>{{cite magazine|url=http://www.foreignaffairs.com/articles/66753/adam-segal/chinas-innovation-wall|title=China's Innovation Wall|magazine=Foreign Affairs|date=January 16, 2019|last1=Segal|first1=Adam}}</ref>

It has also been argued that China is the world leader in making small, innovative improvements to existing designs. One example is continual improvements to the design of [[power supplies]] making them gradually smaller, less expensive, and more energy efficient. This may not create completely new products or create headlines but may be more important for creating employment.<ref>{{cite web|url=http://www.smartplanet.com/blog/global-observer/chinese-innovation-world-beating-but-boring/3958|title=Chinese innovation: world beating, but boring|author=Tom Hancock|work=ZDNet}}</ref><ref>{{cite web|url=http://yalepress.yale.edu/yupbooks/book.asp?isbn=9780300152715|title=Welcome - Yale University Press|website=yalepress.yale.edu}}</ref>

A 2016 [[National Bureau of Economic Research|NBER]] paper found that the Chinese economy is becoming increasingly innovative.<ref name=":0">{{Cite journal|last1=Wei|first1=Shang-Jin|last2=Xie|first2=Zhuan|last3=Zhang|first3=Xiaobo|date=November 2016 |title=From "Made in China" to "Innovated in China": Necessity, Prospect, and Challenges|journal=NBER Working Paper No. 22854|doi=10.3386/w22854|doi-access=free}}</ref> The study found that rising labor costs in China and "expanded market opportunities in the world economy" were the main drivers behind innovations.<ref name=":0" /> The study also found that state-owned firms innovated less than private firms, even though state-owned firms received far greater subsidies.<ref name=":0" />

In 2020, China's spending on research and development climbed 10.3% to a record 2.44 trillion Chinese yuan ($378 billion) according to the nation's National Bureau of Statistics.<ref>{{Cite web|last=Shead|first=Sam|date=March 1, 2021|title=China's spending on research and development hits a record $378 billion|website=[[CNBC]] |url=https://www.cnbc.com/2021/03/01/chinas-spending-on-rd-hits-a-record-378-billion.html}}</ref>

A 2023 [[Australian Strategic Policy Institute]] study of what it deemed as 44 critical technologies concluded that China leads the world in 37 of them, including 5G internet, electric batteries, and hypersonic missiles.<ref>{{Cite book |last=Garlick |first=Jeremy |title=Advantage China: Agent of Change in an Era of Global Disruption |date=2024 |publisher=[[Bloomsbury Academic]] |isbn=978-1-350-25231-8}}</ref>{{Rp|page=155}}

Per the [[Global Innovation Index]] in 2023, China was one of the most competitive in the world, ranking 12th in the world, 3rd in the Asia & Oceania region and 2nd for countries with a population of over 100 million.<ref>{{Cite book |title=Global Innovation Index 2023, 15th Edition |url=https://www.wipo.int/global_innovation_index/en/2023/index.html |access-date=2023-10-17 |publisher=WIPO |doi=10.34667/tind.46596 |last1=Dutta |first1=Soumitra |last2=Lanvin |first2=Bruno |last3=Wunsch-Vincent |first3=Sacha |last4=León |first4=Lorena Rivera |last5=World Intellectual Property Organization |date=May 16, 2024 |isbn=978-92-805-3432-0 }}</ref><ref name=":6">{{Cite book |url=https://tind.wipo.int/record/45356 |title=World Intellectual Property Report 2022: The Direction of Innovation |series=World Intellectual Property Report (WIPR) |date=2022 |publisher=World Intellectual Property Organization |isbn=978-92-805-3383-5 |location=Geneva, Switzerland}}</ref> China is the only middle-income economy and the only [[newly industrialized economy]] in the top 30. It has increased its ranking considerably since 2013, where it was ranked 35th globally.<ref>{{Cite book|title=Global Innovation Index 2021, 14th Edition|url=https://www.wipo.int/publications/en/details.jsp?id=4560|access-date=2021-09-20|website=www.wipo.int|year=2021|publisher=World Intellectual Property Organization |doi=10.34667/tind.44315|isbn=978-92-805-3249-4 |language=en | last1=Dutta | first1=Soumitra | last2=Lanvin | first2=Bruno | last3=Wunsch-Vincent | first3=Sacha | last4=León | first4=Lorena Rivera | last5=World Intellectual Property Organization }}</ref><ref>{{Cite web|title=Global Innovation Index 2019|url=https://www.wipo.int/global_innovation_index/en/2019/index.html|access-date=2021-09-02|website=www.wipo.int|language=en}}</ref> China ranks No. 1 globally in patents, utility models, trademarks, industrial designs, and creative goods exports. It also has two ([[Guangdong-Hong Kong-Macau Greater Bay Area|Shenzhen-Hong Kong-Guangzhou]] and [[Beijing]] in the 2nd and 3rd spots respectively) of the global top{{spaces}}5 science and technology clusters, which is more than any other country.<ref>{{Cite book |title=Global Innovation Index 2022: Switzerland, the U.S., and Sweden lead the Global Innovation Ranking; China Approaches Top 10 |url=https://www.wipo.int/pressroom/en/articles/2022/article_0011.html |access-date=2022-09-29 |website=www.wipo.int |doi=10.34667/tind.46596 |language=en |last1=Dutta |first1=Soumitra |last2=Lanvin |first2=Bruno |last3=Wunsch-Vincent |first3=Sacha |last4=León |first4=Lorena Rivera |last5=World Intellectual Property Organization |date=May 16, 2024 |publisher=World Intellectual Property Organization |isbn=978-92-805-3432-0 }}</ref>

As of 2024, the [[Nature Index]] ranks seven Chinese universities or institutions in the global top ten for volume of research output.<ref name=":02">{{Cite news |title=China has become a scientific superpower |url=https://www.economist.com/science-and-technology/2024/06/12/china-has-become-a-scientific-superpower |access-date=2024-09-26 |newspaper=The Economist |issn=0013-0613}}</ref> The [[CWTS Leiden Ranking|Leiden Ranking]] rates six in the global top ten.<ref name=":02" />