United States v. China Technological Cold War

The U.S.–China technological cold war represents a long-term strategic competition over control of advanced technologies.

About The Technological Cold WAR

Problem/Opportunity

The United States and China are engaged in a technological cold war with global implications that will shape cybersecurity risk for decades. This confrontation is fueling state-sponsored espionage, cyberattacks on critical infrastructure, and supply chain exploitation, while simultaneously driving digital nationalism and increased geopolitical fragmentation. The underlying competition is centered on dominance in manufacturing, advanced technologies, and global trade networks (Goud, 2025). Both nations have increasingly weaponized cyber operations as instruments of national power, resulting in heightened risks to international commerce, diplomatic relations, and the stability of emerging digital norms.


Linedjie Lathrop

Author

Technological Cold war cONTRIBUTORS

Understanding the U.S. v. China Technological Cold War

Supply Chain Attacks
Cyber Espionage & Data Theft
Healthcare Attacks
Influence Operations
Critical Infrastructure Cyber Attacks
Foreign Policy

Technological Cold War History

Making History

United States v. The People’s Republic of China

Historically, the U.S. and China have held opposing visions of trade, industrial development, and technological innovation. As digital systems matured, cyberspace became a proxy battlefield for geopolitical competition, allowing both nations to pursue strategic advantage without engaging in direct military confrontation. These operations—especially China’s sustained cyber espionage campaigns—have targeted U.S. companies, federal agencies, and defense contractors to obtain intellectual property and sensitive data. The early 2000s marked a decisive shift with China’s adoption of military-civil fusion (MCF), which blurs the boundary between commercial technology development and military capability. Through this approach, China has pursued advancements in AI, quantum computing, additive manufacturing, and semiconductor fabrication (Jones, 2024). 

The Chinese government’s long-term investment strategies, including the 2014 National Integrated Circuit Plan (“Big Fund”), committed over $150 billion to domestic semiconductor production. Despite this massive investment, China retains significant dependencies on foreign suppliers for advanced chip designs and fabrication (Jones, 2024). Parallel U.S. efforts historically relied on export controls, sanctions, and foreign investment screening to maintain technological superiority. Institutions like COCOM and CHINCOM shaped early restrictions on technology transfer to China. In the contemporary era, the Export Control Reform Act of 2018 and updated Bureau of Industry and Security (BIS) controls reaffirm this strategy, expanding oversight to dual-use technologies such as AI, advanced materials, and quantum systems (Jones, 2024). These actions institutionalize a modern “China Differential,” emphasizing the preservation of long-term technological advantage.

The U.S. can no longer afford to stay merely ‘a couple of generations ahead’ but must ‘maintain as large of a lead as possible

Jake Sullivan, National Security Adviser- Biden Administration