Offshoring the production of semiconductor manufacturing equipment would remove an important source of leverage over China and make the United States more dependent on other countries for some of the most important inputs to semiconductor manufacturing. This brief explores the factors driving U.S. SME firms to offshore production and what can be done to slow or reverse offshoring.

This brief illuminates the scale of Chinese government funding for higher education, science, and technology by exploring budget and expense reports for key government organizations and 34 of China’s most elite “Double First Class” universities. Chinese political leaders view elite universities as key components of the country’s military modernization, economic growth, and soft power; a situation that presents security risks for international partners.