China pledged to double down on the production of high-end tech goods to bolster its status as a manufacturing powerhouse, even as Beijing’s ambition raises alarms in foreign capitals.
China unveiled a series of steps to improve its manufacturing prowess in its 15th five-year plan draft released on March 5. To boost the country’s supply chains, China will continue investing in rare earths, rare metals and superhard materials to maintain a competitive edge, the report said.
Critical minerals have become a key point of leverage for China as it flexed its muscles in tariff negotiations with U.S. President Donald Trump. China has dominated the mining of rare earths, the essential raw materials in powerful magnets that are ubiquitous across modern manufacturing.
The country controlled 90% of global market share in 2024, but that is poised to dip to 69% by 2030 as other countries seek to boost their own extraction and mining capabilities, according to Bloomberg Intelligence.
China also seeks to invest more in foundational capabilities, including advanced ceramics, super-precision bearings, domestic software and high-end computer numerical control machine tools used in aerospace and automotive manufacturing.
Beijing is further targeting several emerging technologies, including advanced chips, robotics, batteries and brain-computer interface, according to the draft.
China in 2015 launched a major effort to upgrade its manufacturing capabilities to move away from low-cost goods to higher-end technologies in its “Made in China 2025” plan. That master plan was a source of friction between China and its Western trade partners, who have complained about Chinese overcapacity and massive state subsidies.
The five-year plan draft released on March 5 will be reviewed by the national parliament starting on March 5, and is poised to receive a rubber-stamp approval when the legislature session ends on March 12.