US technology restrictions are changing how Chinese companies search for the knowledge needed to develop new products, according to a study reported by the South China Morning Post. Firms placed on Washington’s Entity List recorded an average 72 per cent increase in patents citing scientific literature after being sanctioned.
The finding suggests that cutting off access to proprietary American technology does not necessarily stop companies from pursuing innovation. Instead, some affected firms appear to be relying more heavily on academic research, domestic expertise and their own scientific capabilities.