China is trying to remodel the foundations of global power

It is doubling down on self-reliance in the face of the US challenge

- KARISHMA VASWANI

China is moving to the next phase of its rivalry with the US and signalling a renewed focus on self-reliance.

Whether in innovation, industry or advanced technology, Chinese President Xi Jinping is betting this approach will ensure Beijing’s resilience amid intensifying competition.

This isn’t just about the economy. It’s also about security. Beijing and Washington agreed in October to a one-year pause in trade hostilities, but instability will define their relationship for years to come.

While this isn’t a new strategy, Xi is doubling down in the face of the trade war and a slowing domestic economy. October’s export figures showed an unexpected slump, highlighting the challenges Beijing faces. The party's Fourth Plenum last month offered some clues about the president’s priorities. Held once every five years, the gathering is made up of the Communist Party's inner circle and together with Xi, they set the course for party affairs and ideology.

In the communiqué, officials elevated science and technology as the pillars of the next five-year plan, to be finalized in March. These aren't empty slogans. Beijing sees American President Donald Trump as an agent of chaos and is preparing for a more turbulent global economy, note Neil Thomas and Lobsang Tsering in a new paper for the Asia Society Policy Institute.