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FOREIGN TECHNOLOGY TRANSFER THROUGH COMMERCE1

Karen M. Sutter

The government of the People’s Republic of China (PRC) has a long-standing and well-developed set of policies and approaches to leverage trade and investment ties, in order to obtain foreign technology and capabilities that it identifies as critical to filling gaps and realizing national development goals. As China’s market has developed, the government has recalibrated its trade, investment, and technology policies to target advanced and specialized foreign technology, significantly raising the costs and risks for foreign firms.

Since joining the World Trade Organization in 2001, the PRC government has distorted the normal use of antidumping, antitrust, standards, and procurement ...

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