China's Ambitious Push in Science and Technology for next five-year plan

China aims to lead global science and technology by 2035, focusing on breakthroughs in semiconductors and AI. National R&D investment surged by 48% since 2020, with notable progress in space exploration and 5G. However, challenges like U.S. export restrictions drive efforts for self-reliance. Innovations in FDSOI chips, quantum computing, and AI integration are key priorities. China’s strategy emphasizes independent development, disruptive technologies, and fostering AI-driven competitiveness to secure its global standing.

China has set its sights on becoming a global leader in science and technology by 2035, with the next five years marked as a pivotal period for achieving significant breakthroughs. This initiative comes amidst fierce international competition in critical areas like semiconductors and artificial intelligence (AI), as the nation strives to solidify its position on the world stage.

At a State Council briefing on September 18, the Minister of Science and Technology, Yin Hejun, shared updates on China's progress during the 14th five-year plan period (2021–2025). According to Yin, the country has seen a 48% surge in national research and development (R&D) investment since 2020, while maintaining its status as the world leader in the number of researchers. Notably, China has climbed to 10th place in the Global Innovation Index and continues to lead in the volume of high-impact journal publications and patent applications, a streak that has lasted five consecutive years.

While China has made strides in areas like space exploration, 5G technology, and renewable energy, the semiconductor and AI industries remain critical battlegrounds. This urgency is amplified by U.S.-led export restrictions that limit China's access to advanced chip-manufacturing technologies.

Overcoming Challenges in the Semiconductor Sector

China’s semiconductor industry faces two major challenges: technological blockades and supply chain decoupling. These constraints have pushed the nation to move beyond a strategy of merely catching up to one that pioneers new technological paths. Professor Ye Tianchun, an expert in integrated circuits at the Chinese Academy of Sciences, emphasizes the need for independent R&D in advanced process nodes, innovative technical approaches, and a collaborative ecosystem to counter external restrictions.

Currently, China has achieved self-sufficiency in mature semiconductor technologies, particularly those using 28-nanometer processes and above. However, the high-end semiconductor market remains dominated by companies from the U.S., Europe, and Japan. To compete effectively, China must achieve breakthroughs in advanced manufacturing tools, such as lithography machines.

As the semiconductor industry reaches the physical limits of transistor sizes, researchers are exploring emerging technologies like quantum computing and photonic chips for the next wave of innovation. Domestically, Fully Depleted Silicon-on-Insulator (FDSOI) technology offers China a promising alternative to mainstream FinFET designs. FDSOI is not only cost-effective and energy-efficient but also less reliant on advanced lithography tools, potentially giving China an edge in the high-end chip market.

However, Ye also highlights inefficiencies within China's semiconductor industry. Excessive competition between domestic companies, often driven by policy incentives, has led to redundant efforts in localized production. This horizontal expansion, while addressing short-term needs, has diverted resources from innovative breakthroughs. To address this, Ye advocates for a development model that builds indigenous capabilities from the ground up, independent of foreign technological roadmaps.

Forward-Looking Investments in Disruptive Technologies

Professor Li Xianjun of the Beijing Academy of Social Sciences underscores the importance of forward-looking investments in emerging technologies. He notes that China must overcome bottlenecks in areas like EUV (extreme ultraviolet) lithography while exploring novel techniques such as chiplet packaging and nanoimprint lithography. These innovations could help China achieve advanced chip performance using mature nodes, reducing reliance on foreign supply chains.

The rise of AI is also accelerating demand for specialized AI chips. Beyond driving explosive demand, AI is transforming chip design and manufacturing processes through automation, advanced materials screening, and enhanced equipment efficiency.

AI as a Catalyst for National Competitiveness

China’s 15th five-year plan period (2026–2030) is expected to focus heavily on AI development and integration. According to Chen Xiaohong, an academician from the Chinese Academy of Engineering, AI offers a strategic opportunity to boost national competitiveness and economic growth. She outlines a three-pronged approach for AI development:

1. Breakthroughs in Foundational Technologies: This includes advancements in algorithms, development frameworks, and high-end chips.

   
   

2. Brain-Inspired Computing and Explainable AI: Efforts will focus on reducing energy consumption in large-scale AI models, improving the transparency of AI decision-making, and enhancing cross-modal technologies for multi-sensory understanding.

   
   

3. Integration of Data, Algorithms, and Computing Networks: Building robust data markets, open-source ecosystems, and national computing infrastructure will be key priorities.

   
   

Chen also highlights application-driven innovation in fields like humanoid robots, smart manufacturing, intelligent vehicles, and low-altitude transport systems. These efforts align with broader goals to establish China as a leader in future industries such as brain-computer interfaces, the metaverse, and quantum information.

As the global landscape evolves, China’s focus on innovation and self-reliance is becoming more pronounced. By fostering breakthroughs in semiconductors, AI, and other strategic technologies, the nation aims to “build its own house with its own blueprints.” This approach not only addresses current challenges but also positions China as a pioneer in disruptive technologies, setting the stage for its emergence as a global leader in science and technology by 2035.