China's Dual Circulation Strategy (DCS) does not necessarily mean the country is lurching to autarky. Instead, China is likely to move towards import substitution wherever possible in the pursuit of economic resilience. Such a move will come at a cost, and its ramifications for the global economy, the domestic private sector, and foreign companies in China could prove very far-reaching.
Countries are increasingly vying for leadership in advanced-technology industries. In this quest, it’s important countries avoid zero-sum, “innovation mercantilist” policies—such as IP theft, forced technology transfer, or excessive industrial subsidization—that confer unfair, non-market-based advantages for domestic competitors. GTIPA reports here examine innovation mercantilism and its global economic effects.