Understanding China’s Xinchuang Initiative

Key Takeaways

• China is expected to accelerate its “xinchuang” initiative, a technological indigenization campaign, in 2025.
• Xinchuang and its associated policies, such as standards development and government procurement, have made it more difficult for American firms to compete in China.
• China will likely persist in its plans, despite the cost, as a means of counteracting US export controls and sanctions.