National Competitiveness

Please join ITIF for an important policy conference on what U.S. policymakers must do to prevent America from suffering a catastrophic defeat in its techno-economic-trade war with China. At stake are vital production capabilities in the advanced, traded-sector industries that provide the foundation for economic strength and national security in the 21st century.

Join us at the GTIPA (Global Trade & Innovation Policy Alliance) Summit 2026.

Join ITIF for an expert panel discussion on the growing challenge of retaining scientific talent in the United States. Panelists will examine whether recent departures signal the beginning of a broader trend, what factors are driving scientists to leave, and which policies can help the United States retain top researchers and bolster innovation and economic competitiveness.

The era of free trade globalization is over. To replace it, the United States should lead a new class of binding deals with allies, with a dual objective of strengthening allied national economic power industries and weakening China’s.

The utopian vision of globally integrated, democratic, free-market economies working together in harmony has not materialized. Meanwhile, the belief that China could not innovate—and that America would continue to lead in advanced technologies—also has proven to be false. These new realities require bold reforms in the U.S. research system.

Watch now for a discussion with industry experts and congressional staff on how to revitalize U.S. motor vehicle competitiveness, respond to the rise of China’s auto industry, and ensure America remains a leader in the technologies, supply chains, and production systems that will define the future of mobility.

Both small and large firms are essential to America’s innovation system because they specialize in different forms of innovation. Congress should double the regular R&D tax credit to 40 percent and reduce the red tape associated with claiming it.

Manufacturing labor productivity growth is a key driver of the United States’ long-term economic performance and global competitiveness, but it has slowed sharply since 2005. Congress should provide a 25 percent tax credit to firms adopting productivity-enhancing technologies to help reverse this slowdown.

German exports to China as a share of GDP have declined by more than 40 percent since 2021, while the German labor force has seen a decline of more than 400,000 jobs linked to exports to China.

China has utilized numerous illegitimate tools in pursuit of global leadership in biopharmaceutical manufacturing, including IP theft, forced labor, and stealing genetic information. This must be met with a swift and forceful response from U.S. policymakers.