US-China tech war: Lawmakers told US research funding falling behind China
- The Senate Commerce committee chair warns that federal investment in R&D is at its lowest in decades
- The Endless Frontier Act was first proposed last year to advance US technology efforts
US investment in research and development has reached its lowest level in decades while soaring in the rest of the world, the head of a US Senate committee warned at a hearing on proposed subsidies to the tech industry to help the United States better compete with China.
Senate Commerce committee chair Maria Cantwell told the committee on Wednesday the proposed “Endless Frontier Act” had been the stimulus for a big debate about America’s competitiveness.
Federal investment in research and development is at its lowest in 45 years when measured against GDP, Cantwell said.
“This comes as international competition is increasing, and other nations are ready to challenge our position on the world’s innovation stage.”
The ranking member of the committee, Republican Senator Roger Wicker, said it appeared the intent of the legislation was to help America compete with China, but that the United States would not beat China by copying its “top-down programme” of research and investment and government subsidies.
“Strategic investments in technologies and supply chains are important, but we will not win by simply throwing money at the problem,” Wicker said. “We could actually end up doing harm if recipients of funding through this concept lack the capacity and capability to conduct R&D activities that are actually useful.”