The impact of economic sanctions and technology embargoes on China’s national innovation system

This paper examines the multifaceted impacts of economic sanctions and technology embargoes on China’s national innovation system, analyzing the far-reaching consequences of these external pressures on China’s domestically-initiated and -produced S&T innovations as well as its innovation environment. The paper finds that sanctions and embargoes have restricted access to R&D funding, blocked international cooperation, limited breakthroughs in key technologies, and weakened the vitality of the innovation ecosystem. To address these problems, China has adopted a series of policies, including strengthening independent innovation, deepening S&T system reform, expanding international S&T cooperation, improving the S&T financial system, and strengthening S&T talent cultivation. The paper highlights that despite external pressures, China has gradually improved the resilience and competitiveness of its national innovation system through domestic reform and innovation promotion.