China accounted for 35 percent of global manufacturing as of 2023. The United States and Western allies should launch a global competition to establish competing manufacturing hubs in countries that commit to reforming restrictive regulations, reducing corruption, boosting skill development, and ensuring adequate financial incentives and infrastructure.

We Need an Allied Effort to Establish New Global Manufacturing Hubs to Compete With China

Congress and the administration should establish a National Advanced Industry and Technology Agency to ensure the United States can compete effectively with China.

To Do: Establish a National Advanced Industry and Technology Agency

Congress or the White House should create a national industrial intelligence unit within the National Intelligence Council to better assess competitive challenges to the U.S. economy.

To Do: Create a National Industrial Intelligence Unit

The administration should establish a National Competitiveness Council to formulate and coordinate advanced-industry competitiveness policy across the federal enterprise.

To Do: Establish a National Competitiveness Council

Congress should establish a reshoring incentive fund to provide financial support for firms in critical industries to relocate production now in China to the United States.

To Do: Establish a Reshoring Incentive Fund for Critical Industries

The recent alteration of the global geopolitical environment has brought into stark reality the weaknesses of long-running economic shifts (and proactive actions) that have favoured China—giving it market dominance and trade leverage throughout industries and supply chains. The future is going to be anything but certain, and Australia, the United States and their allies must be prepared. 

How Should Allies Respond to China’s Technology Competition?

How Should Allies Respond to China's Technology Competition?

ITIF hosted a discussion of these issues, including how U.S. businesses are likely to be affected and what the U.S. government should do in response. An expert panel will discuss a recent ITIF report arguing the United States and its allies should focus on rebalancing global supply chains, bolstering competitiveness, adjusting to China’s market size, and solidifying the West’s appeal.

How Can America and the West Successfully Compete With China?

As Rob Atkinson writes for National Interest, the Trump administration should work toward market-based decoupling that effectively loosens China’s grip on global production.

Trading Up: Why America Must Ditch China and Pursue Better Manufacturing Opportunities

Congress should launch a matching-grant program to assist states in developing manufacturing strategies.

To Do: Launch a Joint Manufacturing Hub Competition With US Allies

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We Need an Allied Effort to Establish New Global Manufacturing Hubs to Compete With China

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We Need an Allied Effort to Establish New Global Manufacturing Hubs to Compete With China

To Do: Establish a National Advanced Industry and Technology Agency

To Do: Create a National Industrial Intelligence Unit