Chinese President Xi Jinping urged the country to accelerate fundamental scientific research so it can become self-reliant in critical technologies, capping a series of government proclamations in past days about the need to counter Washington’s sanctions on everything from semiconductors to software.

The government should provide more policy support for research efforts and strengthen the nation’s “strategic technology power”, Xi said in a Politburo group study, Xinhua News Agency reported on Wednesday. Xi also ordered the increased use of homegrown alternatives to replace foreign technologies, pledging more funding and tax stimulus to key research institutes.

Although mostly repeating existing policies, the remarks showed Xi taking centre stage in countering the Biden administration and injecting renewed urgency into Beijing’s technology ambitions. Eight of the 10 paragraphs in the Xinhua article began with Xi’s name or included it within the first few words, making clear his personal role in the effort.

The US has imposed a series of restrictions on China’s tech industry, including blacklisting companies such as Semiconductor Manufacturing International Corp and Huawei Technologies Co that are perceived as national champions. Washington also implemented severe controls on the export of chips and chipmaking equipment to China, effectively barring the world’s most important contract chipmaker, Taiwan Semiconductor Manufacturing Co, from making cutting-edge silicon for Chinese designers.

The Biden administration even secured an agreement with the Netherlands and Japan to ban their companies from selling advanced chipmaking machinery to China, further limiting Chinese companies’ ability to advance technologically. Beijing has shown increasing concern that Washington could use such choke points to undermine its ambitions to advance technologically.

“Xi Jinping pointed out that the world has entered the era of big science,” Xinhua reported. “It is necessary to fight the tough battle for the localisation of scientific and technological equipment, operating systems, and basic software.”

Gaining more patents in key areas such as next-generation semiconductor materials and equipment could help China counter the US chip curbs, two Chinese scientists close to decision makers wrote last week.

The top leadership of China is increasingly attracted to the development of cutting-edge technologies amid the tech war with the US. In previous Politburo group studies, Xi invited the nation’s top researchers to explain an array of emerging technologies from artificial intelligence to blockchain.

In the latest commentary, Xi also emphasised the necessity of constructing “a national laboratory system with Chinese characteristics” and developing “high-level basic research talents”. He called for broader implementation of an existing programme for seek talents among middle school students.

China is also seeking research partners in Europe despite the Biden administration’s efforts to block its technology path. China’s top diplomat Wang Yi in last week called on France to boost cooperation on tech issues and trade in the face of “adverse currents”.

The European tech giants may resist such cooperation with China, even though such deals could potentially unlock massive demand in the Asian nation. ASML Holding NV, the Dutch company that makes the most advanced chipmaking equipment in the world, revealed this month that an employee in China had stolen company data, the second allegation of espionage it’s made related to the country.

  - Bloomberg