Defense and National Security

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.

Please join ITIF for a panel discussion on a new report that lays out a detailed policy agenda with over 100 actionable recommendations that the United States and its allies should adopt to limit the success of Chinese firms in national power industries and slow the PRC’s progress toward global techno-economic and industrial dominance.

Chinese firms with ties to Beijing—and in some cases China’s military—are quietly exploiting America’s open economy, taxpayer support, and weak post-acquisition oversight, and Congress should close those loopholes before more U.S. innovation and industrial capacity are used to advance China’s strategic aims.

Boosting U.S. competitiveness in national power industries is necessary, but not sufficient to avoid losing to China. America also must take measures to slow the PRC’s progress toward global dominance. This report provides more than 100 actionable recommendations for the administration and Congress. Western allies should take many of the same steps.

CFIUS’ procedures need to be strengthened to ensure that Chinese entities, particularly those influenced or backed by Chinese government influence or funding, cannot acquire U.S. companies or technology that could harm America’s economic or national security.

A select group of advanced, globally traded industries serves as the bedrock of U.S. technological leadership, economic power, and national security. Policymakers need to closely monitor the relative strength and vulnerability of its production capabilities.

In Tech Policy Press, Daniel Castro argues that a dispute between the U.S. Department of Defense and Anthropic over military AI use underscores the need for Congress—not executive pressure or private contracts—to set clear statutory guardrails for deploying AI in national defense.

The Trump administration’s withdrawal from international cybersecurity forums like the GFCE and Hybrid CoE risks creating gaps in global coordination, early warning, and norm-setting. Strategic disengagement must be paired with replacement mechanisms to preserve multilateral cyber capacity, maintain allied cohesion, and safeguard U.S. interests.

The United States is at serious risk of becoming dependent on China for a wide array of key technologies and products, which would significantly shift the global balance of techno-economic power. Only fundamental policy change can potentially keep the United States from defeat.

The TikTok deal shows that targeted structural safeguards can address data security risks without banning foreign apps outright. It also highlights unresolved challenges around reciprocity, uneven enforcement, and how governments should handle other Chinese tech platforms going forward.