China’s digital competitiveness hits all-time high amid trade-splintering worries: survey
News Summary
China has achieved an all-time high in digital competitiveness, ranking 12th among 69 economies globally, up two places from 2024, according to the latest World Digital Competitiveness Ranking published by the Swiss academic institute IMD (International Institute for Management Development). This advancement is primarily driven by China's strong performance in the key pillars of “knowledge” and “technology”. Specifically, China ranked third in “scientific concentration”, leading globally in research and development productivity by publication, AI-related patent output, and the use of robots in education and research. Under the “technology” category, China placed seventh in “capital”, supported by its second-place standing in artificial intelligence private investment. Hong Kong, assessed separately, rose three places to fourth. Despite China's robust performance, IMD cautioned that trade fragmentation is increasingly encroaching on data flows, technical standards, and investment priorities, posing risks to economies’ digital prowess globally.
Background
This report on China's rising digital competitiveness stems from the annual World Digital Competitiveness Ranking by the International Institute for Management Development (IMD), which has been published for nine consecutive years. The ranking assesses economies globally across three main categories: “knowledge”, “technology”, and “future readiness”. Globally, there is an ongoing trend of trade fragmentation exacerbated by geopolitical tensions and protectionist policies, particularly under the incumbent US Trump administration. This backdrop presents continuous challenges to global technological cooperation, data flows, and supply chain stability.
In-Depth AI Insights
What does China's improved digital competitiveness mean for the global tech supply chain? While China has made significant digital competitiveness strides, particularly in AI and robotics, this does not necessarily imply increased integration in the global tech supply chain. Instead, it likely reinforces regionalization. * China's strengths in R&D and patents enable it to further reduce reliance on external technologies, especially in critical sectors. * The US Trump administration's