European companies and Chinese companies often compete in the same markets. Yet they frequently operate within very different economic architectures. Understanding those differences helps explain why debates about subsidies, trade and industrial policy have become increasingly central to relations between Europe and China.
Why does China invest hundreds of billions in semiconductors, artificial intelligence, batteries and high-speed rail? The answer lies in how Beijing views economic development. Many technologies are not seen as commercial sectors alone, but as strategic infrastructure that underpins future national power.
China is often described as communist, capitalist or something in between. Yet modern China operates through a distinctive hybrid system in which markets drive growth and innovation while the state retains the authority to guide economic development and long-term national priorities.
China’s economic rise is often viewed through the lens of growth, technology and geopolitics. This series explores the institutional architecture behind that rise and examines how state coordination, industrial policy and strategic planning shape economic power in the twenty-first century.
