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Appendix: Key Details of the 35 "Chokepoint" Technologies [a]
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TechnologyArea of ApplicationLeading Providers (Country)PRC Provider / DeveloperExperts QuotedChina's Difficulties [b]China's Catch-up Efforts [b]Citation Information [c]
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(1) Photolithography machinesElectronics: MicrochipsASML (Netherlands), Nikon (Japan), Canon (Japan)Shanghai Micro Electronics Equipment (SMEE; 上海微电子)SMEE General Manager He Rongming (贺荣明)S&T Daily: ASML "monopolizes" top-performing photolithography machines. The "heart" of each machine is a series of lens elements. ASML’s lenses are made by German company ZEISS. It took ZEISS "decades, if not centuries" of manufacturing experience to make lenses of this precision.
He Rongming: an ASML engineer told him "even if we were to give you the blueprints [for ASML's photolithography machines], you wouldn't be able" to replicate them [due to the large amount of tacit knowledge required].		S&T Daily: SMEE’s patent numbers go up every year.
He Rongming: SMEE is also investing in talent. Cultivating the necessary talent requires "a long-term vision stretching over many decades."		本报记者高博 [staff reporter Gao Bo], "这些‘细节'让中国难望顶级光刻机项背" ["These 'Details' Keep Top Photolithography Machines a Distant Prospect for China"], 科技日报 [S&T Daily], April 19, 2018, 1, 3, https://perma.cc/5DGC-8786 and https://perma.cc/BZK5-F8QE.
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(2) MicrochipsElectronics: MicrochipsIntel (U.S.), Arm (UK)CAS Star (中科创星), OEIC (陕西光电子集成电路先导院), Chinese Academy of Sciences (CAS) Institute of Computing Technology (中国科学院计算技术研究所)Mi Lei (米磊), associate researcher at the CAS Xi'an Institute of Optics and Precision Mechanics (中科院西安光学精密机械研究所) and a founding partner of CAS Star; OEIC General Manager Zhang Sishen (张思申); a pseudonymous "former chip industry practitioner"; Li Guojie (李国杰), a member of the Chinese Academy of Engineering (CAE; 中国工程院); Bao Yungang (包云岗), researcher at the CAS Institute of Computing Technology; Hu Weiwu (胡伟武), researcher at the CAS Institute of Computing Technology "with responsibility for Loongson (龙芯) processors"; Cheng Hua (程华), senior engineer at the Jiangnan Institute of Computing Technology (江南计算技术研究所)S&T Daily: the United States hit PRC telecom company ZTE (中兴通讯) with a “heavy fist” in April 2018 when it issued a denial order cutting off the supply of U.S. and UK microchips that ZTE is “completely reliant” on. These are high-speed (>25Gbps) optical chips (lasers, photodetectors) and electronic chips (laser drivers, magnifiers).
Zhang Sishen: China must import 90 percent of the manufacturing equipment for single-crystal wafers: single-crystal silicon growth furnaces, slicers, and chamfering machines.
A "former chip industry practitioner": A Chinese chip startup could invest over a billion dollars and engage in "costly trial and error" and still "come up with nothing" in the end.
Mi Lei: China can’t yet make the smallest [in 2018] 10nm chips. China’s smallest [in 2018] are 28nm, a two-generation gap.
Li Guojie: “you can’t close the gap just by throwing money at it.”
Bao Yungang: current chips began development in developed countries in the 1980s and 1990s and required 10,000 person-years of experience to reach maturity.		Hu Weiwu: if the “embargo” against ZTE had happened five years later in 2023 instead of 2018, the PRC could have coped. China will develop a chip ecosystem competitive with Intel-Microsoft and Arm-Android as early as 2025.
Li Guojie: "launching of government purchases" of domestic chips "was considered" in the past, but China has "wavered" on this point. But "if you don't use [domestic chips]," how can they "be constantly improved?"
Cheng Hua: "if the government can subsidize getting appliances into rural areas, why can't it subsidize computers equipped with domestic chips?" Chinese chips are catching up: by 2014, domestic processors such as Loongson chips were performing as fast or faster than Intel’s dual-core Pentium 4 processors (3.2 GHz clock speed).		本报记者张盖伦、付丽丽 [staff reporters Zhang Gailun and Fu Lili], "中兴的‘芯'病，中国的心病" ["ZTE's Chip Problem Gives China Heart Palpitations"], 科技日报 [S&T Daily], April 20, 2018, 1, 3, https://perma.cc/H8XT-6Z6Q and https://perma.cc/E89F-Y9JT.
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(3) Operating systemsElectronics: Mobile phones, PCsGoogle (U.S.), Apple (U.S.), Microsoft (U.S.)[none mentioned]Shi Lei (石磊), IT commentator and founder of S&T ecosystem media website WPDangS&T Daily: operating systems (OS) are "winner-take-all natural monopolies. With its early-mover advantage, the United States has occupied the high ground."
Shi Lei: Microsoft and Apple OS features and patents were accumulated through "vast amounts of manpower and money" and "trial and error." OSes in "general use," such as Android, "avoid all the pitfalls" of bugs and run using "minimum" electricity and time. In the United States, programming has had a 30-year head start relative to China. Samsung introduced its Tizen OS in 2013 but Samsung phones still use Android today. "The price for Chinese phone makers' free use of Android is that they may 'have their food supply cut off' at any time.'"		[none mentioned]本报记者高博 [staff reporter Gao Bo], "丧失先机，没有自研操作系统的大国之痛" ["Lost Opportunities: The Pains of a Great Power Without a Domestically Developed Operating System"], 科技日报 [S&T Daily], April 23, 2018, 1, https://perma.cc/DL52-V2VL.
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(4) Aircraft engine nacellesAerospace: Commercial jetsGoodrich (U.S.), Nexcelle [GE/Safran] (U.S./France)[none mentioned by name]Wang Guangqiu (王光秋) of Beijing Skyrizon Aviation Industry Investment Co., Ltd. (北京天骄航空产业投资有限公司)S&T Daily: nacelles are engine housings for aircraft. China "still has no specialized institution for independent development of nacelles," and "relevant institutions have not set up any relevant academic programs."
Wang Guangqiu: the new CJ-1000A engine needs a nacelle, and the "best choice for the future may be" to provide it with a domestic nacelle.		S&T Daily: The nacelle for the optional LEAP-1C engine for China's COMAC C919 narrow-body airliner is made by an [unnamed] joint venture company Nexcelle has established in China.本报记者矫阳 [staff reporter Jiao Yang], "居者无其屋，国产航空发动机的短舱之困" ["No Homes of Their Own: The Nacelle Problem of Domestic Aircraft Engines"], 科技日报 [S&T Daily], April 24, 2018, 1, https://perma.cc/3GP8-UMDQ.
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(5) Touch sensors (for industrial robots)Advanced ManufacturingJapan, ATI Industrial Automation (U.S.)Southeast University (东南大学), CAS Institute of Intelligent Machines (CAS IIM; 中科院合肥智能机械研究所)"The head of a certain well-known domestic [PRC] robot manufacturer"; Yang Pengfei (杨鹏飞), associate professor in a bionic machine life science institute of Northwestern Polytechnical University (西北工业大学); Professor Song Aiguo (宋爱国) of Southeast UniversityS&T Daily: a palm-sized, array-type product from Japan that costs $15,000 leads the research and industrial market. A recent S&T Daily survey of PRC consumers of robot touch sensors found that they "consistently" rely on imports. Latecomers must "detour around" (绕过) first-movers' patent protections. China has many sensor manufacturers, but "almost no" touch sensor makers.
"The head of a certain well-known domestic robot manufacturer": domestic touch sensors and reducers are "not very satisfactory" in terms of stability and consistency.
Yang Pengfei: the bionics institute Yang works at uses imported touch sensors, because the bionic robots work in aerospace and other harsh environments.
Song Aiguo: the "quality and production standards" for domestic materials for sensors "are not stable." Chinese six-axis force sensors are priced at over $4,000 each, but ATI Industrial Automation in the United States sells them for $3,000-$4,000 [in 2018].		Song Aiguo: China's multi-axis force sensors, developed by China's Southeast University and CAS IIM from 1987 as part of the 863 Project, have reached a 1-2 percent error rate, which is "about the same as the world's advanced level," but their dynamic accuracy (5-10 percent dynamic coupling error rate) demands "further development."本报记者张佳星 [staff reporter Zhang Jiaxing], "传感器疏察，被愚钝的机器人‘国产触觉'" ["An Oversight in Sensors, a 'Domestic Touch' for Dumbed-Down Robots"], 科技日报 [S&T Daily], April 25, 2018, 1, 4, https://perma.cc/A3JG-V8F2 and https://perma.cc/6SQ5-25TP.
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(6) Vacuum evaporatorsElectronics: High-end OLED displaysCanon Tokki (Japan)[none mentioned]Luo Haoyuan (罗浩元), a partner at Zhongyue Goldbridge Investment (中粤金桥投资); Ouyang Zhongcan (欧阳钟灿), member of CAS and professor at the CAS Institute of Physics (中科院物理研究所); Richard Zhang (Zhang Guobin; 张国斌), founder of EETrend.com (电子创新网) and semiconductor technology expert; Yuan Tong (袁桐), executive deputy secretary-general of the China Electronic Materials Industry Association (CEMIA; 中国电子材料行业协会)S&T Daily: Canon Tokki is to vacuum evaporators what ASML is to photolithography. It has a "god-like presence" and "holds the industry by the throat." Canon Tokki has 20 years of experience and patents. Canon Tokki only produces a handful to a dozen high-end evaporators annually, so "you may have the money, but they cannot be purchased and that's the end of it." Each vacuum evaporator costs over $100 million. PRC OLED producer BOE Technology (京东方) was only able to get its 6th-generation flexible OLED production line into mass production early because it managed to buy a Canon Tokki vacuum evaporator. Samsung's success in OLED is in large part due to its Canon Tokki machines.
Luo Haoyuan: besides the vacuum evaporator itself, you must also perfect the entire production chain. PRC shortcomings remain in basic research, precision machining, and automated control.		Luo Haoyuan: China's vapor deposition equipment for OLED research "has reached the international level," and China has successfully developed trial versions of OLED "precision manufacturing" production equipment.本报记者刘艳 [staff reporter Liu Yan], "真空蒸镀机匮缺：高端显示屏上的阴影" ["Vacuum Evaporator Shortage: A Shadow over High-End Displays"], 科技日报 [S&T Daily], April 26, 2018, 1, 3, https://perma.cc/4KMP-NE8P and https://perma.cc/ZU9A-9LAC.
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(7) High-end radio frequency (RF) componentsElectronics: Mobile phonesSkyworks (U.S.), Qorvo (U.S.), Broadcom (U.S.), Qualcomm (U.S.)VanchipVanchip engineer Wang Liming (王利明); Richard Zhang (Zhang Guobin; 张国斌), founder of EETrend.com (电子创新网) and semiconductor technology expertS&T Daily: China needs RF chip materials, process, and design experience. Domestic RF chip makers are all looking for foundries, but the "overseas giants" have their own wafer foundries and aren't going to "hand their family secrets over to the foundries of others." The key to RF components is the power amplifier chip, aka RF chip. Skyworks, Qorvo, and Broadcom "monopolize" the high-end RF chip market, which is "essentially without any domestically produced goods." Small PRC mobile phone brands will buy domestic 2G and 3G RF chips, but 4G phones rely on foreign chips. As for another class of RF components, high-end wave filters used in mobile phones—which use the same new material substrates and coatings as advanced military radar—this market "belongs entirely to Qorvo and other foreign RF giants."S&T Daily: "designers who are familiar with the corresponding specialized processes and packaging" are needed to incorporate new materials and components into chip designs.
Richard Zhang: Chinese universities are doing research on semiconductor materials, and they are "doing well," but "mass production of some materials is not there yet."		本报记者高博 [staff reporter Gao Bo], "射频器件：仰给于人的手机尴尬" ["RF Components: For Mobile Phones, an Embarrassing Reliance on Others"], 科技日报 [S&T Daily], May 7, 2018, 1, 4, https://perma.cc/6CJH-HRYM and https://perma.cc/5UQ2-J6CB.
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(8) Primers and reagents used for iCLIP technology (for gene editing)Bio: Biotech, gene editing, pharma, medicineIllumina (U.S.)[none mentioned]"One researcher familiar with the technology"; Professor Yang Maojun (杨茂君) of Tsinghua University's School of Life Sciences (清华大学生命科学院); Mao Guanping (毛冠平) of Crown Bioscience International (中美冠科); Wei Yuquan (魏于全), CAS member and professor at Sichuan University (四川大学)S&T Daily: experimental technology for RNA mapping is open-source, not patented, and can be learned from journals, but still, the technical specifics cannot be replicated, and each type of cell needs a different technical system.
"One researcher familiar with the technology": the antibodies used with iCLIP are specific to a given cell and take 3-6 months to produce. A small tube of them costs hundreds or even thousands of dollars. When the researcher submitted a paper to Nature and Cell, reviewers at both publications asked for iCLIP to be done, and his lab had to buy primers from abroad to comply.
Mao Guanping: China "downplayed" basic research for years, and as a result, foreign kits for life science research "have a better reputation than domestic products."		S&T Daily: years ago, "a certain gene sequencing enterprise in China" [almost certainly BGI (华大基因)] bought gene sequencing instrumentation from Illumina. When Illumina "suddenly" raised the price of matching "reagent kits," the PRC company "suffered a huge impact" and "spent a huge amount of money" to buy another foreign company [probably Complete Genomics (U.S.)] that produced reagents, and eventually succeeded in building a PRC domestic gene sequencer.本报记者张佳星 [staff reporter Zhang Jiaxing], "‘靶点'难寻，国产创新药很迷惘" ["'Targets' Are Elusive, Leaving Domestic Production of Innovative Drugs in a Fog"], 科技日报 [S&T Daily], May 8, 2018, 1, 3, https://perma.cc/6JF4-4VJ5 and https://perma.cc/C9UE-M4TG.
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(9) Heavy-duty gas turbinesInfrastructure: Power grid, large power stations. Also used in ships and trains.GE (U.S.), Mitsubishi (Japan), Siemens (Germany), Ansaldo (Italy)China United Heavy-Duty Gas Turbine Technology Co., Ltd. (中国联合重型燃气轮机技术有限公司)A "technical director" (技术负责人) of the "Heavy-Duty Gas Turbine" National Science and Technology Major Project (国家科技重大专项“重型燃气轮机”); Professor Chunwei Gu (Gu Chunwei; 顾春伟), chief designer of the "Heavy-Duty Gas Turbine" National Science and Technology Major Project; a "manager" at China United Heavy-Duty Gas Turbine Technology Co., Ltd.S&T Daily: China is dependent on imports for heavy-duty gas turbines (50 MW or more). These currently account for only three percent of China's power generation capacity, but play an important role: they start and stop quickly and are low-emission. They are "irreplaceable" for China's "energy security," but they are "controlled by others." GE, Mitsubishi, Siemens, and Ansaldo work with China's three [unnamed] main industry leaders, but all refuse to transfer design technology, refuse to transfer core hot-section component manufacturing technology, and manufacture only non-core components in China. Thus, China relies on foreigners for the core manufacturing technology, O&M, and spare parts. "When it comes to so-called 'chokepoints,' this is as bad as it gets." The complexity of their manufacturing process is such that 3D printing will not help.
Chunwei Gu: production of the main components—the compressor, combustion chamber, and gas turbine—requires "a great deal" of basic research, "long-term experimental verification, and accumulation of experience." Without these, "you won't know where to start even if you have the money."		S&T Daily: China is self-sufficient in light gas turbines (less than 50 MW).本报记者瞿剑 [staff reporter Qu Jian], "‘命门火衰'，重型燃气轮机的叶片之殇" ["'Weakness between the Kidneys'—The Blade Wounds of Heavy-Duty Gas Turbines"], 科技日报 [S&T Daily], May 9, 2018, 1, 4, https://perma.cc/H9SV-LDWU and https://perma.cc/WW9D-RSM8.
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(10) LiDARVehicles: Self-driving carsVelodyne (U.S.); Osram (Germany)SureStar (北科天绘), Ice Drink Technology (饮冰科技; now Richbeam [锐驰智光])Zhang Zhiwu (张智武), general manager of SureStar; Jin Yuanhao (金元浩), CEO of Ice Drink Technology; "domestic [PRC] intelligent vehicle research expert" Huang Wuling (黄武陵)Song Aiguo: China's multi-axis force sensors, developed by China's Southeast University and CAS IIM from 1987 as part of the 863 Project, have reached a 1-2 percent error rate, which is "about the same as the world's advanced level," but their dynamic accuracy (5-10 percent dynamic coupling error rate) demands "further development."Zhang Zhiwu: SureStar's 16-line product sells for $4,500, roughly the same as Velodyne's ($4,000).
Huang Wuling: Chinese manufacturers "need to seize the new direction" of the technology, solid-state LiDAR, which is "based on electronic components," unlike "traditional 360-degree mechanical rotation LiDAR." PRC LiDAR companies "can stand on the same starting line" with foreign companies in this "revolutionary" technology.		实习记者崔爽 [reporter intern Cui Shuang], "激光雷达昏聩，让自动驾驶很纠结" ["LiDAR Dimness Leaves Autonomous Driving in a Tangle"], 科技日报 [S&T Daily], May 10, 2018, 1, 3, https://perma.cc/SCA7-XVBN and and https://perma.cc/KRK3-P5LA.
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(11) Airworthiness standardsAerospace: Commercial aircraft enginesFAA (U.S.), EASA (Europe)Civil Aviation Administration of China (CAAC; 中国民用航空局)Zhang Gong (张弓) of the Structural Strength Office (结构强度室) of the China Civil Aviation Airworthiness Certification Center (中国民航适航审定中心)S&T Daily: the United States and Europe customarily do bilateral accreditation of each other's aircraft engines, but China lacks independently designed engines and lacks practice in airworthiness verification, so it is not possible to achieve mutual recognition with other nations.
Zhang Gong: the United States and European countries have had a large number of aircraft engines in service for decades, and thus their airworthiness standards have been updated and improved the most. Although China's rules are similar to the FAA's, they lack "technical support" because China has so few domestic aircraft engine models, and thus airworthiness certification "has become a barrier that leaves them stuck outside the airspace of other countries."		S&T Daily: China created its own airworthiness standard for engines, CCAR 33, in 2009 with a "safety level that is consistent with" its FAA equivalent, FAR 33. The new domestic engines for China's CJ-1000 (长江1000) series and WZ-16 (涡轴16) aircraft will provide urgently needed technical documents for CCAR 33, and CCAR 33 will thus "inevitably carry increasing weight."本报记者矫阳 [staff reporter Jiao Yang], "适航标准：国产航发又一道难迈的坎儿" ["Airworthiness Standards: Another Difficult Hurdle for Domestic Aircraft Engines"], 科技日报 [S&T Daily], May 11, 2018, 1, 3, https://perma.cc/669C-55H8 and https://perma.cc/FZ7U-AR3W.
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(12) High-end capacitors and resistorsElectronics: Mobile phones, PCs, TVs, home appliances, carsMurata (Japan), TDK (Japan), Kyocera (Japan), TaiwanRDCOO SpaceTech (锐迪航科)Wu Yeqing (武晔卿), electrical engineer and general manager at RDCOO SpaceTech; Zhang Guanghua (张光华), "an electrical engineer who has worked in the industry for many years"S&T Daily: materials are a "shortcoming" for Chinese producers of inductors and resistors, unlike Japanese giants like Murata and Kyocera that started off in materials and later moved into electronics. Mobile phones, computers, and TVs all use multilayer ceramic chip capacitors (MLCC), as do cars, especially electric vehicles, where the durability demands are even greater and Japanese companies have an even bigger advantage.
Wu Yeqing: the "gap" between China and Japan is in mass-produced, consumer-grade capacitors and resistors. China doesn't have Japan's batch consistency. Big PRC mobile phone manufacturers need batch consistency in areas such as charging speed, "so the big mobile phone brands purchase capacitors and resistors from the major manufacturers," rather than from less well-known Chinese suppliers.
Zhang Guanghua: Japan's MLCCs reach 1,000 layers, compared to only 300 for China.		Wu Yeqing: Domestic capacitors and resistors meet PRC military requirements already, and some PRC companies can produce specialized resistors.本报记者高博 [staff reporter Gao Bo], "没有这些诀窍，我们够不着高端电容电阻" ["Without This Know-How, High-End Capacitors and Resistors Will Remain Beyond Our Reach"], 科技日报 [S&T Daily], May 14, 2018, 1, 4, https://perma.cc/57QK-KFUJ and https://perma.cc/FBN7-2ADB.
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(13) Electronic design automation (EDA) softwareElectronics: MicrochipsCadence (U.S.), Synopsys (U.S.), Xilinx (U.S.), Mentor Graphics [now Siemens EDA (Germany)], SAP (Germany)Empyrean (华大九天; 华大EDA), EasyEDAXia Gang (夏刚), researcher and chief engineer for China Information Security Research Institute (中国信息安全研究院); Chen Xiuzhen (陈秀真), associate professor at the School of Cyber Science and Engineering at Shanghai Jiao Tong University (上海交通大学网络空间安全学院); Kong Jinzhu (孔金珠), president of "independent" (自主) operating system developer Tianjin Kylin (天津麒麟)S&T Daily: domestic EDA software is "not up to the task" for large-scale digital circuits that can only be designed with fully automatic synthesis tools and layout and wiring tools.
Xia Gang: domestic EDA software works just as well as U.S. software for analog circuits and custom-designed circuits, although there is a significant difference—a "generation gap"—in software performance. As a result, Cadence, Synopsys, and Mentor account for 70 percent of total global EDA revenue [in 2018]. Chinese EDA providers chase after "always imitated, never surpassed" foreign competitors because, as followers, they have fewer users and thus less user experience and feedback. A short-term foreign ban on EDA sales to China would "very worrying," because domestic users would try to get ahold of pirated versions of foreign software and simply wait for the ban to be lifted, rather than giving up and adopting domestic versions.		Xia Gang: a long-term "embargo" on EDA sales to China, for decades, say, will force China to "stand on its own feet." China should put EDA at the same level as vital aviation, aerospace, military, and shipbuilding technologies in terms of industrial strategy, so that EDA is no longer "controlled by others."本报记者俞慧友 [staff reporter Yu Huiyou], "核心工业软件：智能制造的中国‘无人区'" ["Core Industrial Software: China's 'Uncharted Territory' in Smart Manufacturing"], 科技日报 [S&T Daily], 1–2, May 17, 2018, https://perma.cc/7GW3-J2T5 and https://perma.cc/4U7J-RHV9.
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(14) High-end indium tin oxide (ITO) sputtering targetsElectronics: Flat panel displays, touchscreensMitsui (Japan), Tosoh (Japan), Hitachi (Japan), Sumitomo Chemical (Japan), VMC (Japan), Samsung (South Korea), Corning (U.S.)Henan Province Industrial Technology Research Institute of Resources and Materials (河南省资源与材料工业技术研究院)Sun Benshuang (孙本双), professor at Zhengzhou University (郑州大学) and former chief engineer at Henan Province Industrial Technology Research Institute of Resources and Materials; Professor Yang Bin (杨斌), vice president of Kunming University of Science and Technology (昆明理工大学)S&T Daily: domestic ITO targets have "inconsistent batch quality," stemming from "inadequate" materials and furnaces that are "barely satisfactory." PRC display makers believe buying imported targets and materials "saves trouble." This has led China's dependence on imported ITO targets to become an "addiction." This is despite the fact that the highest-quality indium and tin is mined in China (and exported to Japan). "About half" of the 1,000 tons of ITO targets China consumes each year is imported and used for high-end products, at a cost of $900-$1,200 per kilo. "Foreign monopolies" in recent years "pulled the rug out from under" (釜底抽薪) small Chinese producers by "suppressing prices." Prices of ITO targets fell 90 percent from their peak, and "more than 20" domestic producers "suffered huge losses." Some companies "are no more."
Sun Benshuang: Chinese companies are unable to work with targets over 32 inches. Imported Japanese sintering furnaces for production cost $1.5 million each, an "astronomical sum" for small companies.
Yang Bin: "China spends more for semiconductor product imports than for oil."		Sun Benshuang: China needs a "major project" to create better furnaces for ITO sputtering target production. The recent drop in prices resulted in low costs, which have the positive side effect that it is cheaper to start up new companies now. These startups need state support, enough to keep five to six key companies alive. China should accelerate research and help convert breakthroughs in the lab into mass production.本报记者赵汉斌 [staff reporter Zhao Hanbin], "烧不出大号靶材，平板显示制造仰人鼻息" ["Unable to Sinter Large-Size Targets, Panel Display Manufacturing Depends on Others for Survival"], 科技日报 [S&T Daily], May 18, 2018, 1, 4, https://perma.cc/DXH8-XXGN and https://perma.cc/J9LC-RTL4.
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(15) Core algorithms (for robotics)Advanced ManufacturingFANUC (Japan), Yaskawa (Japan), ABB (Switzerland / Sweden), KUKA (Germany; but owned by PRC company Midea [美的])Shenyang Pili Technology Co., Ltd. (沈阳霹雳技术有限公司)Zhou Chao (周超), technology partner and senior robotics software engineer at Shenyang Pili Technology Company; "Veteran robotics practitioner" Ma Long (马龙); a pseudonymous "technical director" of a [PRC] domestic robotics companyS&T Daily: China is the world's biggest robotics application market, but domestic core algorithms for robotics are "far inferior to" the "big four" of FANUC, ABB, Yaskawa, and KUKA. The big four sell components, but keep their algorithms secret. Foreign manufacturers try to suppress component prices after a tech breakthrough in China is made, reducing return on investment for Chinese firms, who are thus "unwilling to invest in the underlying R&D." For fields where precision is key—aerospace, military industry, etc.—"we must rely on imported industrial robots." Foreign servo systems are ten times as expensive as domestic ones, due to better algorithms and software.
Zhou Chao: the failure rate of domestic robots is "several times higher" than that of foreign ones. Some PRC robotics companies "prefer to buy secondhand imported robots and pay a substantial 'restart fee' rather than use domestically produced robots."
Ma Long: most domestic servo systems use pre-installed libraries, whereas foreign companies offer proprietary advanced functions for an additional charge.		S&T Daily: the industrial robot market now is like the smartphone market a few years ago: Chinese firms can "cobble together" a robot, but mastering the core technology is not easy.
Zhou Chao: Chinese robotics companies need more experience, time, and "polishing" to develop industrial robots with "completely independent (自主) intellectual property" (IP). Favorable industrial policies for Chinese producers are needed: give companies market space to polish their products in practice, and encourage them to allocate more talent and funding to research.		本报记者杨仑 [staff reporter Yang Lun], "算法不精，国产工业机器人有点‘笨'" ["With Inept Algorithms, Domestically Produced Robots Are a Bit 'Slow'"], 科技日报 [S&T Daily], May 22, 2018, 1, 3, https://perma.cc/QP2T-RBCN and https://perma.cc/EY6D-UWJP.
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(16) Aviation-grade steel (for landing gear)Aerospace: Large aircraftU.S., Japan, EuropeCommercial Aircraft Corporation of China (COMAC; 中国商飞); Baosteel Special Steel Co., Ltd. (宝钢特钢有限公司)Liang Jiajie (梁嘉杰), professor and doctoral adviser at the Nankai University School of Materials Science and Engineering (南开大学材料学院); an [unnamed] scholar at Civil Aviation University of China (中国民航大学); "one expert"; an [unnamed] professor at Tiangong University (天津工业大学) "who studies metals"; Zhao Zhenye (赵振业), CAE member and researcher at the Aero Engine Corporation of China (AECC) Beijing Institute of Aeronautical Materials (中国航发北京航空材料研究院); Du Wansheng (杜挽生), vice president of Central Iron & Steel Research Institute (钢铁研究总院)S&T Daily: large aircraft include military and civilian transport aircraft with a total takeoff weight of over 100 tons and passenger airliners with 150+ seats. About 15 tons of special high-strength steel is used in the landing gear of each of these large aircraft. The first COMAC C919 narrow-body airliner test prototype used landing gear made with imported materials. Defects in Chinese ultra-strong landing gear steel are caused by insufficient purity in smelting. China's continuing annual market shortfall in high-temperature alloys is nearly 10,000 tons. China has "considerable gaps" with the United States and Japan in manufacturing processes for ultra-strong aviation steel, especially various advanced rolling, cooling, and heat treatment technologies.
Liang Jiajie: U.S. 300M steel was first developed by International Nickel Company in 1952. Ninety percent of military and civilian aircraft landing gear in the United States use 300M.		S&T Daily: Chinese ultra-high-strength steel is "basically the same or slightly better" than Europe's or Russia's, but lags behind the United States, particularly in materials innovation and high-purity smelting technology. Baosteel Special Steel debuted its own 300M steel in 2018, and "substitution of domestically produced versions for imports (国产化替代) can be expected" in the landing gear of upcoming C919 models. "Some technologies are still stalled at the laboratory level," so scientific research needs to be improved.
Du Wansheng: Chinese steel is up to snuff for key structural components of large aircraft used in the military industry, equipment manufacturing, and the overall national economy, but "there is still a large gap compared with advanced levels internationally." However, the gap in aviation (aerospace) high-temperature alloys is narrowing.		本报记者孙玉松 [staff reporter Sun Yusong], "航空钢材不过硬，国产大飞机起落失据" ["Weak in Aviation-Grade Steel, Large Domestic Aircraft Lack Support for Takeoff and Landing"], 科技日报 [S&T Daily], May 23, 2018, 1–2, https://perma.cc/PT8S-6AKK and https://perma.cc/73ST-RYWR.
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(17) Milling cuttersInfrastructure: High-speed railBoehlerit (Austria), GermanyBeijing Tobor Rail Maintenance Technology Co. (北京拓博尔轨道维护技术有限公司; aka Beijing Tobor Robotics Technology Co., Ltd. [北京拓博尔机器人科技有限公司])Liu Bo (刘博), chief scientist at Beijing Tobor Rail Maintenance Technology Co., Ltd.; Zhang Yong (张勇), senior damage detection technician for the Liaocheng Public Works Section of Jinan Railway Bureau (济南铁路局聊城工务段); Wang Zhenyu (王振宇), vice president of Qinhuangdao Qi'er CNC Machine Tool Research Institute (秦皇岛齐二数控机床研究院)S&T Daily: Germany and Austria alone have advanced form milling cutter head and blade technology. In 2011, China spent an "exorbitant amount" importing rail milling and grinding cars from Austria; these machines had milling cutters manufactured jointly in Germany and Austria. "Industry insiders" say Boehlerit has been around nearly a century and has accumulated vast experience, whereas China is still at the "apprenticeship" stage.
Liu Bo: China knows what metallic ingredients milling cutters are made from, but not the proportions or how they're synthesized.
Wang Zhenyu: for urban rail transit in China, there are two main rail maintenance approaches: belt sanding, or imported milling and grinding technology. The former is highly inefficient, and the latter is efficient but expensive.		Liu Bo: Beijing Tobor began stepping up research on milling cutters in 2016, working with domestic research institutions, "to ward off possible embargoes or unilateral price increases." Beijing Tobor has developed "the world's first dual electric drive milling and grinding maintenance robots," but their core milling cutter components are imported. Beijing Tobor is going to do non-stop trial and error to lay out a "milling technology path unique to China" by the end of 2018, one with "independent" (自主) IP, so that this technology is no longer "controlled by others."本报记者华凌 [staff reporter Hua Ling], "为高铁钢轨'整容'，国产铣刀难堪重任" ["For High-Speed Railway Track 'Facelifts,' Domestic Milling Cutters Are Not Up to the Task"], 科技日报 [S&T Daily], May 24, 2018, 1, https://perma.cc/W4VP-4YAR.
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(18) High-end bearing steelAdvanced Manufacturing: Aircraft, cars, high-speed rail, high-precision machine tools, etc.TimkenSteel (U.S.), SKF (Sweden)[none mentioned by name]Wang Dongsheng (王东升), executive deputy director of the CAS Shandong Technology Transfer Center (中科院山东综合技术转化中心); an [unnamed] expert at the CAS Institute of Metal Research (中科院金属研究所)S&T Daily: engine bearings must withstand stress compression, friction, and ultra-high temperatures. While China's axle-making technology is near the world cutting edge, it "depends on imports for almost all" of its high-end bearing steel. One [unnamed] major state-owned steel manufacturer in eastern China "not long ago" spent close to $15 million on imported bearing steel for its "base for making high-quality steel." Strong steel includes rare earths, but which ones to add, how much to add, and just how to add them are the "core secret of the world's bearing giants." In the 1980s, China launched a surge in R&D and application of rare-earth steel, but after adding rare earths, the steel's performance "sometimes became good, sometimes bad."
An [unnamed] expert at the CAS Institute of Metal Research: TimkenSteel and SKF "basically monopolize" high-end bearing steel manufacturing. Both established bases in China to procure low-end materials, and, using their core technology, sell high-end bearings in China at "ten times the price" they paid for materials.		S&T Daily: recently, the Materials Processing Simulation Research Team (材料加工模拟研究团队) at the CAS Institute of Metal Research discovered a new defect formation mechanism in steel, which caused "a big reaction in the industry" and "quickly found applications." Since then, they have developed purification preparation technology for commercial rare earth alloys and a "special technology for adding rare earths to steel," and have achieved "smooth processes and stable performance." The PRC government is currently "brewing a batch of relevant policies" to promote domestic production of high-end bearing steel.本报记者王延斌 [staff reporter Wang Yanbin], "高端轴承钢，难以补齐的中国制造业短板" ["High-End Bearing Steel, a Difficult Shortcoming for Chinese Manufacturing to Overcome"], 科技日报 [S&T Daily], May 25, 2018, 1, https://perma.cc/26AR-FFKY.
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(19) High-pressure piston pumps (for hydraulic machinery)Advanced Manufacturing: Agriculture and forestry machinery, chemical engineering, textiles, energy, metallurgy, construction, machine tools, military, aerospace, shipbuilding, etc.U.S., Germany, JapanTaiyuan Heavy Machinery Group Yuci Hydraulic Industry Co., Ltd. (太重集团榆次液压工业有限公司), AVIC Liyuan Hydraulic (中航力原), Beijing Huade Hydraulic (北京华德)Chen Qunli (陈群立), vice president and senior engineer at Taiyuan Heavy Machinery Group Yuci Hydraulic Industry Co., Ltd.; Professor Quan Long (权龙), dean of the College of Mechanical Engineering at Taiyuan University of Technology (太原理工大学机械工程学院)S&T Daily: China National Erzhong Group (中国第二重型机械集团) built an 80,000-ton hydraulic forging press, "the world's largest," to help manufacture the C919, but it imported its high-pressure piston pumps from the United States. The "vast majority" of Chinese tanks, armored vehicles, and other military machinery use imported high-pressure piston pumps. Each one costs at least $30,000, and replacements and repairs "are subject to the delivery lead times and service provision constraints of foreign companies." China's domestic pumps are now at the level that overseas pumps were in the early 1990s. Chinese piston pumps have a high failure rate: one to two months before failing, versus one to two years for foreign ones. Their average failure-free operating time is under 2,000 hours, versus over 8,000 hours for overseas models. Foreign countries have had a 100-year head start on research, relative to China. China's basic theoretical research in this area is still "weak," as are its designs, materials, and processes, and "substantial progress has not been made."
Chen Qunli: over 90 percent of high-pressure piston pumps with rated pressure over 35 MPa in the Chinese market are imported, even though China's hydraulic industry became number-two in the world in 2017. Four [unnamed] "leading foreign companies" in the United States, Germany, and Japan have 70 percent of the market for high-performance piston pumps in China and "tightly lock China out" of the technology.		S&T Daily: in recent years, Taiyuan Yuci brought in internationally leading processing technology, top world hydraulic casting experts, quality control experts, software, and equipment, and is attempting technology "introduction, absorption, and re-innovation" (引进吸收再创新). They have made "breakthroughs" in "key technologies" such as materials research, piston pumps, high-pressure valves, and multitandem valves.
Chen Qunli: Taiyuan Yuci's products need mass market testing. They need government "policy support" to "substitute for imports" in the market.
Quan Long: There are still "certain gaps" between domestic and foreign pumps in terms of performance, service life, and reliability, but "we've been narrowing the gaps" in recent years, and "with prioritization by industry and enterprises, these gaps will grow smaller and smaller."		本报记者王海滨、通讯员王玉芳 [staff reporter Wang Haibin and correspondent Wang Yufang], "高压柱塞泵，鲠在中国装备制造业咽喉的一根刺" ["High-Pressure Piston Pumps: A Thorn in the Side of China's Equipment Manufacturing Industry"], 科技日报 [S&T Daily], May 28, 2018, 1, 3, https://perma.cc/XA2S-QBGQ and https://perma.cc/WV9R-NN3Q.
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(20) Aviation design softwareAerospace: AircraftDassault (France), Ansys (U.S.), DAR (U.S.), MSC Software (U.S.), NEi Software (U.S.), Siemens Digital Industries Software (U.S.), GE (U.S.), MathWorks (U.S.)Nanjing University of Aeronautics and Astronautics (南京航空航天大学), Chongqing General Aviation Group (重庆通航集团)Yao Weixing (姚卫星), professor at Nanjing University of Aeronautics and Astronautics (南京航空航天大学) and chief designer of the NH40 (or CG231) aircraftS&T Daily: the dozens of different types of aviation design software are "all products from countries in Europe and North America." Designing aircraft, both civilian and military, is impossible without this software. If the foreign suppliers ever invoke their "skull-squeezing curse" on China—by denying access to their software—China's aviation industry will be "paralyzed." The design process for China's Flying Leopard (飞豹) aircraft [a PLA fighter-bomber also known as the Xi'an JH-7 (歼轰-7)] would have taken five times as long without the use of this software. A single, 5mm design flaw in the landing gear delayed the maiden flight of the J-10 (歼-10) [a PLA multi-role fighter aircraft also known as the Vigorous Dragon (猛龙)] by eight or nine months. Chinese and foreign aviation design software both started out in the 1980s—AVIC 623 Institute (中航集团623所) was a notable Chinese pioneer—but foreign firms focused on step-by-step upgrades and ease of use. In China, only the unit that developed the software could understand it, and no one bothered to improve the interface or add features.
Yao Weixing: types of aviation design software include aerodynamics software, structural design software, system design software, and assembly software. PRC state research organizations are bad at "follow-up development of software," while private firms lack "professional aviation talent."		S&T Daily: the PRC government has organized research organizations to focus on developing aviation design software, but so far, "no domestically produced software can be seen in circulation and use in the market." China needs cooperation between state research institutes and private software companies in this field.
Yao Weixing: the structural fatigue analysis software he developed is "recognized in the industry as a 'secret to success,'" and foreign companies have tried to recruit him as a consultant to learn his "secret." The state "should issue more policies to encourage the development and use of domestic software." University evaluation mechanisms should change so researchers can receive good annual evaluations even if it takes them several years to complete the software development process.		本报记者张晔 [staff reporter Zhang Ye], "航空软件困窘，国产飞机设计戴上‘紧箍咒'" ["Aviation Software Plight Has Domestic Aircraft Design under a 'Skull-Squeezing Curse'"], 科技日报 [S&T Daily], May 30, 2018, 1, 3, https://perma.cc/RU6C-MTQS and https://perma.cc/U9HU-YC5V.
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(21) High-end photoresists (for photolithography)Electronics: Semiconductors, flat panel displaysTOK (Japan), JSR (Japan), Sumitomo Chemical (Japan), Shin-Etsu Chemical (Japan)Jiangsu Brivan Electronics Technology Co., Ltd. (江苏博砚电子科技有限公司), Jiangsu HanTop Photo-Materials Co., Ltd. (江苏汉拓光学材料有限公司)Zhang Yuxuan (章宇轩) of the Technology Department of Jiangsu Brivan Electronics; Li Zhongqiang (李中强), head of sales for Jiangsu Brivan Electronics; Zong Jian (宗健), chairman of Jiangsu Brivan Electronics; Nie Jun (聂俊), dean of the Faculty of Science at Beijing University of Chemical Technology (北京化工大学理学院); Sun Yousong (孙友松), deputy general manager of Jiangsu HanTop Photo-MaterialsS&T Daily: China lacks foreign companies' photoresist formulas and production process technology. The photoresists "internationally competitive" Chinese display maker BOE (京东方) uses for high-end panels are "still provided by foreign enterprises."
Sun Yousong: China "got off to a late start" in photoresist R&D. The PRC "depends on imports" for "cutting-edge materials and equipment."
Zong Jian: The "biggest problem" is that the raw materials for photoresists—such as color pastes, for which China "remains dependent on Japan"—are "lacking domestically."		S&T Daily: "industry insiders" say the government should step in with industrial policies to improve the entire production chain. The state should identify the key electronic chemicals that China lacks. It should gather "some of the stronger enterprises and experts" into an "industrial alliance." The state should establish a "production and application demonstration platform." [Unnamed] "experts" say that the government should encourage domestic makers of ordinary panels to start using domestic photoresists "as quickly as possible."本报记者过国忠 [staff reporter Guo Guozhong], "中国半导体产业因光刻胶失色" ["China's Semiconductor Industry Losing Its Luster Due to Photoresists"], 科技日报 [S&T Daily], May 31, 2018, 1, 3, https://perma.cc/MYL5-PYGZ and https://perma.cc/KD25-QMZW.
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(22) High-pressure common rail direct fuel injection systems (for low-emission diesel engines)Vehicles: Trucks, construction vehicles, agricultural machineryBosch (Germany), Continental (Germany), Delphi Technologies (now owned by BorgWarner [U.S.]), DENSO (Japan)Wuxi Fuel Injection Equipment Research Institute (无锡油泵油嘴研究所), ChengDu WIT (成都威特), XF Technology (辽阳新风), Longkou Longbeng (龙口龙泵), CNHTC Chongqing Fuel Injection (重庆重油), Nanyue Fuel Injection Systems (南岳电控), Weichai (潍柴), Yuchai (玉柴), Xichai (锡柴)Meng Xiaocong (蒙小聪), vice president of Yuchai Engineering Research Institute (玉柴工程研究院); Mo Zonghua (莫宗华), chief fuel system design technology engineer at Yuchai Engineering Research InstituteS&T Daily: in 2014, China began implementing its National Stage IV Vehicle Pollutant Emission Standards. Automotive diesel engines have "basically all" adopted high-pressure common rail direct fuel injection systems as a result.
Meng Xiaocong: foreign companies with "almost monopolistic advantages" have the "lion's share" of the PRC market for electronically controlled diesel high-pressure common rail direct fuel injection systems. The failure rate of Chinese systems is still too high, their performance, functionality, quality, and consistency lag behind foreign versions, and "their cost advantage is unclear as well." The "vast majority of key technical points have already been patented" by foreign manufacturers, and "it is difficult for us to get around (绕开) that." Foreign companies have much more experience and have "basically all veteran workers" on their production lines. Foreign companies also invest more time and effort in R&D, while PRC companies "don't put in even a tenth of that."
Mo Zonghua: Domestic makers of non-road diesel engines have to spend millions of dollars to import foreign systems.		S&T Daily: PRC domestic producers are already catching up: Chengdu WIT, XF Technology, Longkou Longbeng, CHNTC, and Nanyue have all achieved mass production of high-pressure common rail direct fuel injection systems. Big state-owned diesel conglomerates Weichai, Yuchai, and Xichai all have, since 2015, "begun trying to use domestically produced common rail direct fuel injection systems."
Mo Zonghua: PRC diesel engine manufacturers have begun buying domestic common rail systems as a "supplement or backup." There will be a "big improvement in the competitiveness" of domestic systems in the future. Nanyue is now [as of December 2016] leading a project for an industrialization alliance for key general purpose technologies for common rail.		本报记者江东洲、刘昊 [staff reporters Jiang Dongzhou and Liu Hao], "高压共轨不中用，国产柴油机很受伤" ["When High-Pressure Common Rail Is No Good, Domestic Diesel Engine Production Suffers"], 科技日报 [S&T Daily], June 4, 2018, 1, 4, https://perma.cc/T7JN-4GU7 and https://perma.cc/R83U-KFA4.
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(23) Transmission electron microscopes (TEM)Bio: Biotech, pharma, medicineJEOL (Japan), Hitachi (Japan), FEI Company (now owned by Thermo Fisher Scientific [U.S.])[none mentioned]Zhang Sensen (张森森), doctoral candidate in the School of Life Sciences at Tsinghua University (清华大学生命科学院); Chen Baoqing (陈宝庆) "who provides technical support for" Thermo Fisher Scientific; Professor Wan Keshu (万克树) of the School of Materials Science and Engineering at Southeast University (东南大学材料科学与工程学院)S&T Daily: in the 1960s and 1970s, China was at the forefront of TEM research, and China even issued a postage stamp in 1979 for a domestic TEM, but this progress eventually ceased.
Chen Baoqing: "There is not a single enterprise in China that produces TEMs." "Exasperated" PRC researchers trying to start a domestic TEM company "once came to ask [Chen] why FEI Company did not have relevant patents," because they wanted to take the "shortcut" of using manufacturer's patents "for reference," but "many of the production processes are at the secret recipe level, and they're simply not let out." Currently [in 2018] there are only three TEM producers in the world: JEOL, Hitachi, and FEI.
Wan Keshu: "Electron guns that use filaments are not used domestically," "we rely on imports for all of them," and each costs over $10,000.
Zhang Sensen: In PRC cryo-electron microscopy (cryo-EM) labs, "everything from consumables to accessories must be imported": laboratory hoods, small gold sheets, external braces, etc. There are no "knockoff" (山寨版) versions of TEM parts; all must be original.		[none mentioned]本报记者张佳星 [staff reporter Zhang Jiaxing], "我们的蛋白质3D高清照片仰赖舶来的透射式电镜" ["High-Definition 3D Photographs of Our Proteins are Dependent on Foreign Transmission Electron Microscopes"], 科技日报 [S&T Daily], June 6, 2018, 1, 4, https://perma.cc/HX2Z-BF6V and https://perma.cc/6YPW-346K.
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(24) Main bearings for tunnel boring machines (TBM)InfrastructureThyssenKrupp Rothe Erde (Germany), IMO (Germany), FAG (owned by Schaeffler Technologies [Germany]), SKF (Sweden)China Railway Construction Heavy Industry Corporation (中国铁建重工集团), Luoyang Bearing Research Institute Co., Ltd. (洛阳轴承研究所有限公司)Mei Yongbing (梅勇兵) of the Central Research Institute (中央研究总院) of China Railway Construction Heavy Industry Corporation; Li Yunfeng (李云峰) of Luoyang Bearing Research Institute; Wang Jinghua (王景华), chairman of Luoyang Bearing Research InstituteS&T Daily: each TBM costs millions of dollars, up to $30–45 million. The main bearing is the costliest component, making up five percent of the total cost. Just four companies in the world make main bearings. ThyssenKrupp Rothe Erde has the majority of global market share for full-face TBMs; their bearings "are of the highest technological level."
Mei Yongbing: if the main bearing fails, it is "extremely difficult or even unfeasible" to repair on-site, so TBM manufacturers "would rather pay the high prices" and use "name-brand main bearings from abroad with high reliability." China's annual output of TBMs is 450 units, and China spends nearly $150 million each year importing main bearings.
Wang Jinghua: Chinese TBM manufacturing is only a bit over ten-plus years old, and data are "very scarce," so China relies on estimated loads in design calculations, meaning bearings often are not tested for actual working conditions. Foreign companies match the bearing and host structure, but PRC firms manufacture them independently.		Mei Yongbing: Chinese TBMs are "close to the world's most advanced level," but "they all depend on imports for the critical main bearings."
Wang Jinghua: Luoyang Bearing Research Institute is "stepping up the pace" of R&D. It does both basic and applied research. It has "mastered" the core technology of bearings with a diameter of three meters—Rothe Erde has already "broken through the 7m-diameter level"—which appear to be have the same service life as foreign ones, and is "striving to assemble complete machines for testing in 2018."		本报记者矫阳 [staff reporter Jiao Yang], "自家的掘进机却不得不用别人的主轴承" ["Chinese-Made Tunnel Boring Machines Have to Use Main Bearings from Others"], 科技日报 [S&T Daily], June 7, 2018, 1, 3, https://perma.cc/SD3Z-E622 and https://perma.cc/QJA5-WMUM.
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(25) MicrospheresElectronics: LCD panels, microchips, pharmaSekisui (Japan)Suzhou NanoMicro Technology Co., Ltd. (苏州纳微科技公司)Jiang Biwang (江必旺), chairman of Suzhou NanoMicroS&T Daily: for the field of microelectronics alone, China imports billions of dollars' worth of microspheres annually. Aside from LCD screens, microspheres are also used as pins in chip manufacturing, since chips are now too small to solder. China also spends billions every year importing Japanese conductive adhesive films made from microspheres. Sekisui Chemical "monopolizes" production of conductive gold microspheres.
Jiang Biwang: "only one or two companies in the world" produce the spacer microspheres and conductive gold microspheres necessary for LCD panel manufacturing. Only Japanese companies can sieve tiny microspheres to uniform sizes. Suzhou NanoMicro has made progress in microsphere manufacturing, but domestic raw materials for microspheres have "high levels of impurities," and NanoMicro "ended up having to use foreign raw materials." PRC reaction kettles also produced microspheres with excessive iron content, while foreign reaction kettle output "met standards" for iron impurities.		Jiang Biwang: Jiang developed a "seeding" rather than "sieving" method for growing uniform-size microspheres, "breaking the Japanese technological monopoly." Likewise, Suzhou NanoMicro can now mass-produce pharmaceutical-use microspheres, whereas "in the past, only a handful of European and North American companies could produce them."本报记者高博 [staff reporter Gao Bo], "微球：民族工业不能承受之轻" ["Microspheres: The Unbearable Lightness of National Industry"], 科技日报 [S&T Daily], June 12, 2018, 1, 3, https://perma.cc/TF8V-L8ZX and https://perma.cc/P27W-8LSP.
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(26) Underwater connectorsUnderwater: Underwater observationTeledyne ODI (U.S.), GermanyJiangsu ZTT Co., Ltd. (江苏中天科技股份有限公司)Yang Huayong (杨华勇) of ZTT; Luo Xuye (罗续业), researcher at the National Ocean Technology Research Center (国家海洋技术中心)S&T Daily: "a few years ago," a domestic wet-mate connector prototype was damaged during trials and it was never mass-produced.
Yang Huayong: there are "currently no usable" Chinese-made wet-mate connectors. A pair of them sells for $30,000-$120,000. A PRC oil company told Yang "in no uncertain terms" that Chinese companies "wouldn't dare to use" and "would not use" domestic connectors, because if a connector fails, an oil company suffers "huge economic losses." If foreign countries issue a connector-related "embargo" against China, the construction and operation of the PRC seafloor observation network—a "matter of national security"—will "be brought to a halt."
Luo Xuye: Teledyne ODI makes "almost all" wet-mate connectors currently in use in the construction of seafloor observation networks, while German connector manufacturers "have a larger share" in offshore oil and gas extraction.		S&T Daily: in March 2017, China's largest national scientific seafloor observation network was approved for establishment and was projected to take five years to create. Wet-mate connectors were listed under underwater networking projects in the 12th Five-Year Plan [2011-2015] under the 863 Program, signifying that PRC research on them "is officially underway." The "latest news" is that the PRC government has "recently" organized experts for trial runs of underwater wet-mating technology.
Yang Huayong: China has "basically mastered" dry-mate connectors. The PRC must "rely on market- and industrialization-based means" to develop wet-mate technology.		本报记者陈瑜 [staff reporter Chen Yu], "水下连接缺国产利器，海底观测网傍人篱壁" ["With No Domestic Producers of Underwater Connectors, Seafloor Observation Network Depends on Others"], 科技日报 [S&T Daily], June 13, 2018, 1, 4, https://perma.cc/K8ZS-6JWZ and https://perma.cc/G93B-6SH6.
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(27) Key materials for fuel cellsVehicles: New energy vehiclesToyota (Japan)Shenzhen SouthernTech Fuel Cell Corp. (深圳市南科燃料电池有限公司)Professor Wang Haijiang (王海江) of the Department of Mechanical and Energy Engineering at Southern University of Science and Technology (南方科技大学机械与能源工程系); Shao Zhigang (邵志刚), director of the Fuel Cell Research Department of the CAS Dalian Institute of Chemical Physics (中科院大连化物所燃料电池研究部); Wang Cheng (王诚), director of the hydrogen fuel cell laboratory at Tsinghua University (清华大学)S&T Daily: a "somewhat embarrassing reality" is that foreign fuel cell vehicles are in mass production, but China's are still in technical verification.
Wang Haijiang: China has "almost no component manufacturers, no producers of automotive voltaic piles, and only a very small number of fuel cell vehicles in commercial operation."
Shao Zhigang: Toyota achieved commercialization of fuel cell vehicles at the end of 2014, but in China, "everything is still in its infancy." Fuel cell R&D in China has been done mainly by universities and research institutes. PRC companies have "adopted a wait-and-see attitude, participated less, and joined late."
Wang Cheng: China has "long relied" on foreign countries for key fuel cell materials and if China is ever "cut off" from this supply, the PRC fuel cell industry "will have no material foundation support."		Wang Haijiang: SouthernTech is trying to achieve domestic production of key materials for voltaic piles. Wang Haijiang's team has set up an [unnamed] company to "achieve domestic production" of three key materials: the gas diffusion layer (GDL), proton exchange membrane (PEM), and catalyst.
Wang Cheng: A "gradually increasing" number of companies in China are working on voltaic piles and their production chains. More investment is needed in fuel cell core materials. China must improve production chains and supplementary chains, to include domestic components, hydrogen infrastructure, and standards and specifications.		本报记者张盖伦 [staff reporter Zhang Gailun], "少了三种关键材料，燃料电池商业化难成文章" ["Without Three Key Materials, Fuel Cell Commercialization Will Be Hard to Achieve"], 科技日报 [S&T Daily], June 14, 2018, 1, 3, https://perma.cc/EQ5E-GYGV and https://perma.cc/6NAR-HB27.
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(28) High-end welding power sources (for underwater welding robots)Underwater: Offshore oil rigs, nuclear power plants, island construction, dams, shipping, militaryEuropeSouth China University of Technology (华南理工大学)Professor Wang Zhenmin (王振民) of the School of Mechanical and Automotive Engineering at South China University of Technology (华南理工大学机械与汽车工程学院); Shi Yonghua (石永华), professor of mechanical and automotive engineering at South China University of TechnologyS&T Daily: China currently uses or adapts land-based normal-pressure arc welding power sources for use underwater. China does "very little research" on high-performance underwater welding. Only "one or two" foreign companies have "fully mastered" remotely operated vehicle (ROV) welding technology.
Wang Zhenmin: high-end welding power sources are "still basically monopolized by foreign countries." Analog controls are "dominant" in China, while fully digital control technology for welding power sources is "relatively mature" overseas. The cost of having foreign experts do repairs on purchased connectors is $1 million or more. China has an "extreme lack" and a "grossly inadequate pool" of welding talent, as the welding programs of many colleges have been eliminated. R&D is a problem as well, as the "vast majority" of welding manufacturers have "almost no R&D capabilities."
Shi Yonghua: China lacks experience. Northern European companies started marine mineral extraction "very early" over a century ago and have built up welding technology. They can weld in water over 1 km deep, but China cannot.		S&T Daily: South China University of Technology was the first in China to develop modern inverter welding power source technology. Their inverter frequencies can reach 200kHz, a "significant breakthrough" compared with 20kHz industrial welding power sources overseas.
Wang Zhenmin: industrialization of inverter welding technology in China "still has a long way to go." China should improve its market-oriented technology innovation system combining government, industry, academia, research institutions, and users.		本报记者叶青、龙跃梅 [staff reporters Ye Qing and Long Yuemei], "国产焊接电源‘哑火'，机器人水下作业有心无力" ["Domestic Production of Welding Power Sources 'Misfires,' Frustrating Underwater Robot Operations"], 科技日报 [S&T Daily], June 20, 2018, 1, 4, https://perma.cc/UZG7-NBU7 and https://perma.cc/47XR-D898.
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(29) Lithium battery separatorsVehicles: New energy vehicles3M (U.S.), Argonne National Laboratory (U.S.), Asahi Kasei (Japan), Tonen (owned by Toray Industries [Japan]), Showa Denko (Japan)Tianjin Lishen Battery (天津力神电池); Tianjin B&M Science and Technology Co., Ltd. (天津巴莫股份有限公司)Zhou Zhen (周震), director of the Institute of New Energy Materials Chemistry at Nankai University (南开大学新能源材料化学研究所); "a director" (负责人) at Tianjin Lishen Battery; "an engineer" at Tianjin Lishen Battery; "an industry insider"; Wu Mengtao (吴孟涛), a general manager at Tianjin B&M Science and Technology Co.S&T Daily: China has a "heavy reliance on imports" of high-end separators, and lacks core patents for separators and other key materials. Asahi Kasei and Tonen dominate high-end lithium battery separator materials, and Japanese firms such as Showa Denko "monopolize" aluminum-plastic films for such batteries, with 90 percent Chinese market share.
Zhou Zhen: China lags in basic materials research on lithium batteries, and remains "dependent on imports" for "high-end battery separator materials in particular." China's "advantage" is in low-end lithium battery products, but for "some high-end products," there are "large gaps" in core materials and manufacturing processes related to battery safety, compared to Japan and South Korea. The United States "has relatively strong" lithium battery R&D, design, innovation, and core materials R&D. Separators account for 10 percent of the total cost of a battery. Domestic coating machines "also need to catch up."
"A director" at Tianjin Lishen Battery: the "legions" of PRC lithium battery makers lack "core patents and materials technology" relative to the "international giants."
"An engineer" at Tianjin Lishen Battery: the gap between Japanese and "substandard" Chinese high-end separators "is obvious."		S&T Daily: in 2017, China surpassed Japan and became the number-one electric vehicle battery producer. By 2020, China's share of the global market "will reach more than 70 percent." "Many people interviewed" say China's production chain and scale of industry is "large enough, but it is still far from strong." Of the four core battery materials, China has achieved domestic production of three: anode materials, cathode materials, and electrolytes. "Only the separators continue to be a shortcoming." [Unnamed] interviewees say China "has advanced into the world's first ranks" in the dry process for separator manufacturing. In the wet process, domestic firms have "mastered" the process, but "still find it difficult to match the foreign giants" and "depend mainly on imports" for core production equipment.
Zhou Zhen: domestic firms need "remedial classes" in materials, equipment, and process control.		本报记者孙玉松 [staff reporter Sun Yusong], "一层隔膜两重天：国产锂电池尚需拨云见日" ["One Layer of Separators, Two Very Different Environments: Domestic Lithium Battery Production Still Waiting for the Clouds to Part"], 科技日报 [S&T Daily], June 21, 2018, 1, 3, https://perma.cc/DN9Q-C6T6 and https://perma.cc/42QZ-EYNV.
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(30) Components for medical imaging equipmentBio: MedicinePhilips (Netherlands), Siemens (Germany), GE (U.S.)Neusoft Medical Systems (东软医疗)An [unnamed] medical imaging equipment researcher; Wang Kun (王坤), deputy researcher at the CAS Institute of Automation (CASIA; 中科院自动化研究所) and the CAS Key Laboratory of Molecular Imaging (中科院分子影像重点实验室)S&T Daily: the top [foreign] imaging equipment manufaturers are "deeply secretive" about the materials used in detectors, but "relevant information shows that the preferred solution" for detectors for computerized tomography (CT) scanners is a scintillation detector. "Relatively few" researchers are working on scintillation crystals in China.
"A medical imaging researcher": the most expensive part of a high-end CT machine is the detector unit, and a "top-of-the-line" CT detector costs millions of dollars.
Wang Kun: the "specific processes" for manufacturing detectors for CT and other scanners are "trade secrets." The United States has a 20-year head start over China in patents for traditional medical imaging such as CT and magnetic resonance imaging (MRI). "All the IP, original achievements, and accumulated scientific research are in foreign countries." The "leading overseas enterprises" have "put up a multitude of patent barriers." China "relies on imports" for most components of domestically manufactured imaging equipment. If PRC providers were to do their own R&D from scratch, it would "simply not be profitable" and it would take them 10-20 years to reach the level of "others."		S&T Daily: Neusoft completed a "strategic investment" by buying an [unnamed] leading foreign CT manufacturer in 2017. "Only time will tell" if purchases like this "can buy and bring home the core technology." [Unnamed] "industry insiders" say "it is better to compete directly with foreign countries in new, more cutting-edge imaging fields." Chinese firms should specialize in the new technology of molecular imaging, in which "China and foreign countries are at a similar level" in terms of papers published, IP, and patents. China has "launched relevant R&D programs and set clear goals," and is promoting the production of high-end CT instruments.
Wang Kun: the CAS Key Laboratory of Molecular Imaging has developed a new molecular imager that can be used during surgery, with "domestic production of all of its components." "Related molecular probes" have entered China's approval process for new drugs and medical devices.		本报记者张佳星 [staff reporter Zhang Jiaxing], "拙钝的探测器模糊了医学影像" ["Dull Detectors Blur Medical Imaging"], 科技日报 [S&T Daily], June 25, 2018, 1, 4, https://perma.cc/H62R-UUH7 and https://perma.cc/6SZ3-XU3T.
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(31) Ultra-precision polishing techniquesAdvanced Manufacturing: Semiconductors, medical equipment, auto components, digital components, aerospace, etc.U.S., JapanJSG (浙江晶盛机电股份有限公司)Wang Qi (王奇) of the Research Academy of the CAS National Center for Nanoscience and Technology (中科院国家纳米科学中心研究院); Sun Ming (孙明), technical director for JSGS&T Daily: ultra-precision polishing is needed to manufacture integrated circuits, medical devices, automotive components, digital components, precision molding, and aerospace equipment. The United States and Japan "control the core technology for the ultra-precision polishing process." Thus, "to a large extent," they "control the development of the electronics manufacturing industry."
Wang Qi: the average price of U.S. polishing equipment sold to China is over $1.5 million, and [in June 2018] "sales orders [were] backed up to the end of 2019."
Sun Ming: Polishing discs, the "core components" of ultra-precision polishing machines, must meet "extremely demanding" requirements for "nanometer-level precision." Japanese-made polishing discs are made to order, not mass-produced. The material composition and manufacturing techniques for U.S. and Japanese polishing discs remain "mysteries," even after buying their products. "Buying and using their products does not mean you can imitate or even copy their products."		Wang Qi: Wang's team invented a new cerium dioxide microsphere material and technique for ultra-precision polishing in 2011. In production tests, this material "surpassed in one fell swoop" the "traditional foreign polishing materials."
Sun Ming: now China has "top-notch" polishing material. Next, China needs to "solve the problems" of polishing discs and of expanding the polishing surface area.		本报记者张景阳 [staff reporter Zhang Jingyang], "通往超精密抛光工艺之巅，路阻且长" ["In Ultra-Precision Polishing Techniques, the Road to the Top is Long and Rocky"], 科技日报 [S&T Daily], June 26, 2018, 1, 3, https://perma.cc/N6V6-FETT and https://perma.cc/LLZ2-2G7H.
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(32) Epoxy (for high-end carbon fiber)Aerospace: Aviation, spaceToray Industries (Japan), Huntsman (U.S.)China Composites Group (中国复合材料集团)He Yanli (贺燕丽), vice president of the China Chemical Fibers Association (中国化学纤维工业协会); Zhang Dingjin (张定金), chairman of China Composites Group Corporation Ltd. (中国复合材料集团有限公司); Kong Zhenwu (孔振武), secretary-general of the Epoxide Branch (环氧分会) of the China Synthetic Resin Association (中国合成树脂协会); Professor Yu Muhuo (余木火) of the College of Materials Science and Engineering at Donghua University (东华大学材料科学与工程学院)S&T Daily: the epoxy used in Chinese production of high-end carbon fiber is "all imported." High-end carbon fiber is currently used "predominantly" in aircraft. Toray carbon fiber composites make up 50 percent of the total material in the Boeing 787. The Boeing-Toray relationship, in which Toray's products were "constantly corrected and amended" based on Boeing's requirements and feedback, required a "breaking-in period nearly 30 years long."
He Yanli: China's carbon fiber "chokepoint" lies in downstream applications, namely composite materials and products.
Zhang Dingjin: China's high-end epoxy industry "lags behind the international level," especially in high-end aircraft- and aerospace-grade carbon fiber.
Yu Muhuo: China has been producing carbon fiber for only a "short amount of time," and lacks "low-cost complete sets of automated production equipment," leading to "low production efficiency and inadequate product stability."		S&T Daily: China is able to produce T800 and other types of high-end carbon fiber now, although Toray "mastered" the same technology in the 1990s.本报记者李禾 [staff reporter Li He], "环氧树脂韧性不足，国产碳纤维缺股劲儿" ["Insufficient Resiliency in Epoxy Means Domestic Carbon Fiber Lacks Strength"], 科技日报 [S&T Daily], June 27, 2018, 1, 4, https://perma.cc/2TVR-8PZK and https://perma.cc/SU6R-E4Y5.
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(33) High-strength stainless steel (for rocket engines)Aerospace: Space[none mentioned]China Aerospace Science and Technology Corporation (CASC) 6th Research Academy (中国航天科技集团六院); the Institute of Special Steel at the Central Iron & Steel Research Institute (钢铁研究总院特殊钢研究所)Chen Jianhua (陈建华), an "engine expert" at CASC 6th Research Academy; Su Jie (苏杰), deputy director of the Institute of Special Steel at the Central Iron & Steel Research Institute; Professor Li Jingyuan (李静媛) of the School of Materials Science and Engineering at University of Science and Technology Beijing (北京科技大学材料科学与工程学院)Su Jie: "most of the materials" now used in China's aerospace industry today are those that foreign countries used in the 1960s and 1970s.
Li Jingyuan: when foreign steel producers "do not make the material composition and techniques public," China finds itself in a "chokehold" (卡住脖子). Foreign companies' management standards are higher than PRC firms. For example, firms in developed countries "strictly control" impurities in production and reject any output with "substandard" purity, but "domestic manufacturers often lack this kind of rigorous attitude."		[This article is unique among the 35 in the “chokepoints” series in that it mentions neither the foreign companies nor the foreign countries that manufacture the best high-strength stainless steel. This may be because S&T Daily does not want to flag which firms or countries China is “copying” from.]
Su Jie: China has a "gap" with developed countries and is still in the "copying" (仿制) stage of aerospace-grade stainless steel new materials R&D.		本报记者付毅飞、实习记者于紫月 [staff reporter Fu Yifei and reporter intern Yu Ziyue], "去不掉的火箭发动机‘锈疾'" ["The Intractable 'Rust Disease' of Rocket Engines"], 科技日报 [S&T Daily], June 28, 2018, 1, 3, https://perma.cc/KH74-9FKL and https://perma.cc/TTV7-CY7R.
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(34) Database management systems (DBMS)Electronics: Computer systems for a variety of industries including e-commerce, finance, etc.Oracle (U.S.), IBM (U.S.), Microsoft (U.S.), Teradata (U.S.)[none mentioned]Luo Xiguang (罗曦光), an IBM Analytics domain architect "with extensive experience in database development and implementation"; "DBMS industry observer" Xiao Jun (晓军)S&T Daily: PRC companies with "extreme dependability requirements," such as banks, telecom companies, and electric utilities, "will not consider" Chinese DBMS software. Twenty years ago, "there were people" who called for DBMS import substitution, but "frontline personnel" at Chinese companies were "reluctant" to stop using foreign systems. PRC DBMS products have "some" market share, but "only a fraction."
Luo Xiguang: "first-mover advantage, excellent after-sales technical support, and high migration costs" discourage companies from "migrating from Oracle to another system." There are many "good," free open-source DBMSes, but "leading enterprises in banking and traditional industries are still wary of migrating their core systems to open-source systems out of an abundance of caution."
Xiao Jun: Oracle has a "huge" amount of code, and there are over 20 million lines in the source code in the main modules of IBM's Informix DBMS. Potential Chinese competitors "are at a loss faced with this huge amount of code from a decade ago."		Luo Xiguang: the "nuts and bolts" of PRC cloud services, notably Alibaba Cloud (Aliyun; 阿里云), "include DBMSes built from open source systems." Today, Chinese "internet startups" will "in all likelihood choose a domestic vendor's comprehensive cloud-based service solution that includes a DBMS" rather than "a foreign vendor's fee-based DBMS."本报记者高博 [staff reporter Gao Bo], "数据库管理系统：中国还在寻找‘正确打开方式'" ["Database Management Systems: China still Looking for the 'Right Way to Open'"], 科技日报 [S&T Daily], July 2, 2018, 1, 4, https://perma.cc/MDR9-JJCG and https://perma.cc/3ZEP-2DZX.
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(35) Scanning electron microscopes (SEM)Bio: New materials, biotech, medicine, metallurgy, chemistry, semiconductorsU.S., Japan, Germany, Czechia[none mentioned]Zeng Yi (曾毅), researcher at the CAS Shanghai Institute of Ceramics (中科院上海硅酸盐研究所)S&T Daily: SEMs are "indispensable for observing the microstructure of materials."
Zeng Yi: "70 to 80 percent of [journal] articles in the materials field use information provided by SEMs." "Each year, China spends more than $100 million on hundreds of SEM purchases" from "the United States, Japan, Germany, and Czechia, among other countries," while "domestically produced SEMs only account for 5-10 percent" of the PRC SEM market.		Zeng Yi: China should boost investment in "independent" (自主) SEM equipment research and R&D, and if this is coupled with "policy guidance," China will "be sure to see more and more domestic SEMs." The "technical indicators" of Chinese SEMs "have certain gaps" compared with "mainstream" foreign electron microscopes, but "there is no insurmountable technological gulf."实习记者陆成宽 [reporter intern Lu Chengkuan], "扫描电镜'弱视'，工业制造难以明察秋毫" ["Scanning Electron Microscope 'Visual Impairment' Makes Minute Observation Difficult for Industrial Manufacturing"], 科技日报 [S&T Daily], July 3, 2018, 1, 3, https://perma.cc/VWV2-AFDP and https://perma.cc/9LVG-V9ES.
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Notes
[a] This appendix accompanies the Center for Security and Emerging Technology (CSET) issue brief "Chokepoints: China's Self-Identified Strategic Technology Import Dependencies." The full issue brief is available at: https://cset.georgetown.edu/publication/chokepoints/. Each row of this table summarizes information from one of the 35 articles on "chokepoint" technologies that Chinese state-run newspaper Science and Technology Daily (S&T Daily; 科技日报) published in 2018.
[b] The "China's Difficulties" and "Chinese Catch-Up Efforts" columns both contain CSET's summaries of information from the S&T Daily "chokepoints" articles. Where the content that CSET summarized is attributed by S&T Daily to a specific expert, that expert's name precedes the summarized information. Where the summarized information is not attributed by S&T Daily to a specific person, and appears to be the opinion of the S&T Daily staff reporter who wrote the article, "S&T Daily" precedes the summarized information. Bracketed text denotes CSET observations.
[c] Most of the “chokepoints” articles begin on page one of S&T Daily and continue onto a subsequent page. In these cases, we provide two URLs. The first one links to a PDF of page one of the relevant issue of S&T Daily, a page that includes the first half of the “chokepoints” article among other articles. The second PDF is of the page of the newspaper that contains the second half of the “chokepoints” article in question.
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