Files / United States

Current State of U.S. Technology: Ensuring Global Leadership

Assess the landscape of U.S. technology enterprises, public and private sector investments, and the research and development ecosystem, with a focus on U.S.-China competition, key technologies, and research security strategies.

Detail

Published

23/12/2025

Key Chapter Title List

  1. U.S. Research and Innovation Landscape
  2. U.S. R&D Expenditure Situation
  3. Global R&D Expenditure and U.S. Competitiveness
  4. Federally Funded Research and Development Centers (FFRDCs)
  5. University R&D Investment
  6. Public-Private Partnerships
  7. U.S. STEM Workforce
  8. National Science and Technology Strategy and Quadrennial Review
  9. Challenges Facing U.S. Innovation
  10. Key Technologies (Artificial Intelligence, Quantum Information Science, etc.)
  11. Research Security
  12. Legislative and Administrative Actions

Document Introduction

On February 5, 2025, the U.S. House Committee on Science, Space, and Technology held a hearing. The core topic was assessing the current state of U.S. science and technology enterprises and their critical role in the global innovation race. This hearing aimed to examine U.S. public and private sector R&D investments to explore the core objectives and strategic pathways for maintaining U.S. technological leadership in the future, addressing long-term needs in economic competitiveness and national security.

The report first outlines the historical evolution of the U.S. science and technology ecosystem: Since the 18th century, the U.S. has long led global technological innovation through a decentralized system where the federal government supports basic research, and universities and the private sector fund applied research. This has driven economic growth and ensured national strategic advantage. Data shows that in 2022, total U.S. R&D expenditure reached $885.6 billion, accounting for over one-third of the global total. Within this, basic research comprised 15%, applied research 18%, and experimental development 67%. The federal government remains the primary funder of basic research (40% share), while the private sector dominates overall R&D investment (78% share in 2022).

In the dimension of global competition, the report focuses on analyzing the core differences in U.S.-China technology competition: Through national strategies like "Made in China 2025," China directs 83% of its R&D expenditure towards experimental development and holds global leading positions in 37 out of 44 key technologies. In contrast, the U.S. emphasizes basic research (15% share) and maintains a unique innovation ecosystem composed of government, universities, and enterprises. Although the U.S. remains the world's largest R&D investor, its global R&D share has declined from 69% in 1960 to 31% in 2020. During the same period, China's share rose from 4.9% to 24.8%. The scale of STEM talent cultivation in China also far exceeds that of the U.S. (in 2020, China awarded 2 million STEM bachelor's degrees, compared to 900,000 in the U.S.).

The report details the core components of the U.S. science and technology ecosystem, including the large-scale, long-term R&D support provided by Federally Funded Research and Development Centers (FFRDCs), the over 11,000 startups and $1.3 trillion economic contribution generated by universities through the Bayh-Dole Act, and the current state and optimization directions for public-private partnerships. Simultaneously, addressing challenges such as STEM workforce shortages and research security vulnerabilities, the report outlines key legislation like the CHIPS and Science Act and the National Artificial Intelligence Initiative Act, as well as policy measures such as prohibiting federal employees from participating in foreign talent programs and strengthening R&D funding disclosure requirements.

Finally, the report focuses on the development trends and policy layouts in four key technology areas: artificial intelligence, quantum information science, advanced manufacturing, and biotechnology. It emphasizes that the U.S. needs to balance basic research and technology commercialization while maintaining research openness. This should be achieved by improving the national science and technology strategy, strengthening R&D security, and optimizing talent attraction mechanisms to address the strategic challenges posed by China and consolidate global technological leadership.