ITIF President Rob Atkinson testified before the Senate Small Business Committee on the issue of unfair Chinese trade and technology policies and practices and what the federal government should do in response. In his testimony, Rob discussed the importance of a new framework from Senator Rubio for how to think about the economic challenge from China, the nature of the economic challenge posed by “Made in China 2025” (MIC25), and components for more robust trade, innovation and competitiveness strategies, including to help small businesses.
Until recently, the Washington trade and economic policy establishment largely turned a blind eye to the China challenge. However, globalization can be harmful not just to some U.S. workers, but to the U.S. economy overall if it is based on unfair, predatory trade practices. One can and should be for free trade and against foreign protectionism.
Taking firm and strategic action against Chinese predatory, mercantilist practices, while at the same time establishing and implementing a robust national innovation and competitiveness strategy, are critically needed if we are to assure future U.S. advanced industry competitiveness. Whether such actions can be successful is an open question. But one thing is clear: not taking action will make it much easier for the Chinese government to achieve their goal of dominating advanced technology industries.
