Annual U.S.-China Economic and Security Review Commission highlights tech competition, unregulated goods, Taiwan

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Chair Robin Cleveland (left) and Vice Chair Reva Price (right) of the USCC | uscc.gov

Annual U.S.-China Economic and Security Review Commission highlights tech competition, unregulated goods, Taiwan

The U.S.-China Economic and Security Review Commission (USCC) has released its annual report, focusing on emerging technologies, unregulated consumer goods, Taiwan and Hong Kong, and economic strategies to balance the U.S.-China relationship. The report was shared on November 19.

According to the USCC, there are concerns about the safety and regulation of Chinese goods due to the complexity of global supply chains that can obscure product origins. The United States faces challenges in enforcing import regulations and ensuring consumer safety for products sourced from China. The report highlights the fierce competition between the U.S. and China in emerging technologies such as artificial intelligence (AI), quantum information sciences (QIS), biotechnology, and advanced battery technology. China aims to lead in these areas to support national rejuvenation and counter perceived technological containment efforts by the U.S. and its allies.

U.S. Department of Homeland Security Secretary Alejandro Mayorkas said that the department faces challenges in enforcing the Uyghur Forced Labor Prevention Act (UFLPA), which aims to prevent goods produced with forced labor from entering the U.S., according to Federal Newswire. He noted that due to a "de minimis" loophole, imports valued at less than $800 do not face the same scrutiny as more expensive shipments.

The USCC's report also addresses China's foreign policy objectives, which aim to mitigate risks while expanding global influence. It seeks to reshape the international order and counter what it views as U.S. hegemony. Concerns were raised about China's evolving counter-intervention capabilities, particularly regarding potential conflict in the Indo-Pacific region. These capabilities present challenges for regional security by deterring U.S. and allied military actions.

Furthermore, according to USCC findings, China continues exerting pressure on Taiwan through military, diplomatic, and economic tactics aimed at undermining its ruling party. The Chinese Communist Party (CCP) is engaged in efforts to tighten control over Hong Kong following the implementation of Article 23 Ordinance, raising concerns about freedoms' erosion and impacting Hong Kong's status as an international business hub.

The USCC recommended a comprehensive assessment of People's Liberation Army (PLA) C4ISR (Command, Control, Communications, Computers Intelligence Surveillance Reconnaissance) and electronic warfare capabilities to inform U.S. countermeasures.

The USCC was established in 2000 to assess national security implications of trade and economic ties between the United States and China.