In April, the US announced a 7-year ban on ZTE. This China’s leading communication player was found to have violated a ban on shipping US technology to Iran. The sanctions will bar ZTE from purchasing essential US components. 

President Xi, summarizing lessons learned from the ZTE case, stressed the concept of “core technology” (in Chinese), referring to fundamental research and high-tech innovations that play a vital role in keeping China strong and independent.

“The US ban on ZTE is a wake-up call for China. China should be more focused on developing core technology, otherwise, we would further lose our voice [in technology],” said Ruan Zongze, vice-director of the China Institute of International Studies. He went on to say: “We have the talent and have resources to do it.”

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Runhua Zhao

Runhua Zhao is a technology reporter based in Beijing. Connect with her via email: runhuazhao@technode.com