05 Sep 2024
Critical technology tracker: two decades of data show rewards of long-term research investment
By
Jennifer Wong Leung,
Stephan Robin and
Danielle Cave
China and the United States have effectively switched places as the overwhelming leader in research in just two decades, ASPI’s latest
Critical Technology Tracker results reveal.
The latest tracker findings, which can be found
in a new report and
on the website, show the stunning shift in research leadership over the past 21 years towards large economies in the Indo-Pacific, led by China’s exceptional gains.
China led in just three of 64 technologies in the years from 2003 to 2007, but is the leading country in 57 of 64 technologies over the past five years from 2019 to 2023. This is an increase from last year’s
Tech Tracker results, in which it was leading in 52 technologies.
The US led in 60 of 64 technologies in the five years from 2003 to 2007, but in the most recent five year period, it was leading in just seven.
Critical technologies have been on the agenda for US National Security Adviser Jake Sullivan’s visit to
Beijing this week—the first visit by a US NSA since 2016. Meanwhile, dozens of countries are coming together in Australia for the third
Sydney Dialogue on Monday to discuss issues around technology, security, cyber and global strategic competition.
Our results show India is also emerging as a key centre of global research innovation and excellence, establishing its position as a science and technology power. India now ranks in the top five countries for 45 of 64 technologies (an increase from 37 last year) and has displaced the US as the second-ranked country in two new technologies (
biological manufacturing and
distributed ledgers) to rank second in seven of 64 technologies.
The latest
Tech Tracker has updated results for 64 critical technologies from crucial fields spanning artificial intelligence, defence, space, energy, the environment, biotechnology, robotics, cyber, computing, advanced materials and quantum technology areas. The dataset has been expanded from five years of data (previously, 2018 to 2022) to 21 years of data (from 2003 to 2023).
The
Tech Tracker is a data-driven website that reveals the countries and institutions—universities, national labs, companies and government agencies—leading scientific and research innovation in critical technologies. It does that by focusing on high-impact research—the top 10 percent of most highly cited papers. We focus on the top 10 percent because those publications have a higher impact on the full technology life cycle and are more likely to lead to patents, drive future research innovation and underpin technological breakthroughs.
Looking at the average share of annual global research across the 64 technologies (see Figure 1 below), shows us the astonishing inversion between the US and China in high impact research.
Figure 1: Average annual research share across the 64 technologies between 2003 and 2023.
China has made its new gains in quantum sensors, high-performance computing, gravitational sensors, space launch and advanced integrated circuit design and fabrication (semiconductor chip making). The US leads in quantum computing, vaccines and medical countermeasures, nuclear medicine and radiotherapy, small satellites, atomic clocks, genetic engineering and natural language processing.
Another notable change involves the United Kingdom, which has dropped out of the top five country rankings in eight technologies, declining from 44 last year to 36 now. The technologies in which the UK has fallen out of the top five rankings are spread across a range of areas, but are mostly technologies related to advanced materials, sensing and space.
The European Union, as a whole, is a competitive technological player that can challenge the China-US duopoly. Like the US and China, the EU, when aggregating its member countries over the past five years, is in the top FIVE countries in all 64 technologies. With members of the EU aggregated over the past five years, we found that the EU leads in two technologies (gravitational force sensors and small satellites) and is ranked second in 30 technologies.
Besides India and the UK, the performance of second-tier science and technology research powers (those countries ranked behind China and the US) in the top five rankings is largely unchanged: Germany is in the top five in 27 technologies, South Korea in 24, Italy in 15, Iran in 8, Japan also in 8 and Australia in 7.
In terms of institutions, US technology companies have leading or strong positions in AI, quantum and computing technologies. IBM now ranks first in quantum computing, Google ranks first in natural language processing and fourth in quantum computing, and Meta and Microsoft also place seventh and eighth in natural language processing respectively. The only non-US based companies that rank in the top 20 institutions for any technology are the UK division of Toshiba, which places 13th in quantum communications, and Taiwan Semiconductor Manufacturing Company, which places 20th in advanced integrated circuit design and fabrication.
Key government agencies and national labs also perform well, including the US National Aeronautics and Space Administration (NASA), which excels in space and satellite technologies. The results also show that the Chinese Academy of Sciences (CAS)—thought to be the world’s largest science and technology institution—is by far the world’s highest performing institution in the
Tech Tracker, with a global lead in 31 of 64 technologies—an increase from 29 last year. CAS is a ministerial-level institution that sits directly under the State Council, and has spearheaded the development of China’s indigenous science, technological and innovation capabilities, including in computing technologies, nuclear weapons and intercontinental ballistic missiles. CAS also specialises in commercialising its findings and creating new companies. According to CAS, by 2022, more than 2,000 companies had been founded from the commercialisation of its scientific research.
Our
report also looks at the combined US-UK-Australia performance in AUKUS pillar two-relevant technologies. It finds that combining AUKUS efforts with those of closer partners Japan and South Korea helps to close the gap in research performance for some technologies. But for others such as autonomous underwater vehicles and hypersonic detecting and tracking, China’s high impact research lead is so pronounced that no combination of other countries can currently match it.
The graph below shows the share of research across a range of AUKUS pillar two-relevant technologies. (Please click on the image to see it full screen.)
We have continued to measure
the risk that any country will hold a monopoly in a technology capability in the future, based on the share of high impact research output and the number of leading institutions in the dominant country—noting that for all 64 technologies, only China or the US currently has the lead. The number of technologies classified as ‘high risk’ has jumped from 14 technologies last year to 24 now. China is the lead country in every one of the technologies newly classified as high risk—putting a total of 24 of 64 technologies at high risk of a Chinese monopoly.
Worryingly, the technologies newly classified as high risk include many with defence applications, such as radar, advanced aircraft engines, drones, swarming and collaborative robots and satellite positioning and navigation. See the below table for a small selection of critical technologies currently classified as ‘high risk’.