Xi calls for more military innovation as China’s defense budget increases | Bloomberg News

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Xi calls for more military innovation as China’s defense budget increases | Bloomberg News
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Chinese leader Xi Jinping called on the military to make breakthroughs in securing technological advantages amid “international competition,” underscoring Beijing’s efforts to counter US efforts to cut it off from key advanced semiconductors. Know more:

Chinese leader Xi Jinping called on the military to make breakthroughs in securing technological advantages amid “international competition,” underscoring Beijing’s efforts to counter US efforts to cut it off from key advanced semiconductors.

Xi, who leads the world’s largest military in terms of active personnel, has used the annual legislative gathering in Beijing to overhaul the bureaucracy, and boost economic resilience in the face of US pressure. The Finance Ministry announced plans Sunday for 7.2 percent increase in defense spending this year—the fastest pace since 2019—as part of Xi’s push to build a “world-class force” by 2027.

In his remarks, Xi called for the military to enhance “integrated national strategies and strategic capabilities,” a reference to China’s “civil-military fusion” program to direct industrial innovation toward war-fighting ability. The effort has fueled scrutiny in Washington and underpinned calls for sanctions against Chinese companies.

In January, Dutch and Japanese officials agreed to join the US campaign. The three countries are the world’s top sources of machinery and have the expertise needed to make the world’s most advanced semiconductors. On Wednesday, Dutch Foreign Trade Minister Liesje Schreinemacher sent a letter to lawmakers saying the nation that is home to ASML Holding NV was preparing restrictions on certain chipmaking machines.

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