China-US High-Tech Competition, Trade Conflict and Development Rights

The power and interest of industrial manufacturers are determined by their status in the relations of production. At the international level, countries see their economic and political status rise only when they climb the ladder in the international division of labor. As the primary production forces, science and technology are the main drivers behind such change. As new technologies give rise to new industries and restructure the international division of labor, developed countries strive to enhance the protection of their intellectual property rights(IPR) and safeguard their monopoly over core technologies. For developed countries, technological prowess holds the key to their supremacy in the global supply chain and international relations. The 19 th CPC National Congress makes clear the overarching goal in the new era is to rejuvenate the Chinese nation and turn China into a strong modern country. As an important material condition for achieving this goal, China must transition from being medium-and low-end links in the international division of labor to becoming high-end links. In this process, China will encounter backlash from developed countries that lead in the international division of labor. The recent China-US tussle over trade in high-tech goods is a case in point, and should be viewed through the lens of the relations of production and the international division of labor. The insights thus achieved will be of great significance to China’s future development.