The Institute of International Affairs has released the new Pacific Report No. 25.

In this issue, Professor Young Nam Cho of Seoul National University contributed an article titled <Artificial Intelligence (AI) and Private Enterprises: An Analysis of the 3rd Session of China's 14th National People's Congress>.

Professor Cho explains that the United States' export restrictions on advanced technologies and products—imposed since 2018—have had limited effect or may even have backfired. At the same time, it proved that China's manufacturing sector has evolved from being a mere imitator to becoming an innovator.

Xi emphasized the importance of building a scientific and technological innovation system, as well as the need for innovation-driven education and talent cultivation to support it.

Xi Jinping’s appearance alongside top party and government officials, where they publicly promise to protect the legal rights of private entrepreneurs and promote their development, carries significant weight.

Although China has not yet fully recovered from the aftermath of the pandemic and it is still too early to make definitive conclusions, if it continues to pursue its current policies and direction, it is likely that China will be able to maintain the stable growth it envisions—around 5% annually for the foreseeable future.

Professor Cho comments that we must analyze how China has transformed from a country focused on infrastructure construction into a manufacturing powerhouse in advanced science and technology. This analysis should include the innovative policies China has pursued to support this transformation.