A Federal Reserve research note released on August 5, 2025 evaluates China’s innovative capacity, noting a rapid rise in research and development spending and patent output amid ongoing productivity challenges. China’s R&D spending as a share of GDP has grown and narrowed the gap with the United States, though basic‑research spending remains lower. Patent grants per million people now exceed U.S. figures, but international‑patent families (IP5) per capita are still below those of the United States and South Korea. Academic papers from China now outpace U.S. output, yet the share of highly‑cited papers is lower. In artificial‑intelligence patents, China’s raw counts are five times U.S. levels, while the U.S. leads in biotechnology. USPTO data show Chinese patents are increasingly present in highly‑cited groups, indicating improving quality. The note concludes that China has built significant innovative capacity, but policy distortions may threaten sustained growth.
null
https://www.federalreserve.gov/econres/notes/feds-notes/an-assessment-of-chinas-innovative-capacity-20250805.html
Made by AI. If you spot anything of concern write us at contact@cybach.com. We’ll promptly correct irregularities.