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business Friday 30 OctOber 2020
China’s leaders vow to become self-reliant technology power

By JOE McDONALD technology have raised
AP Business Writer pressure for greater self-re-
BEIJING (AP) — China's liance.
leaders are vowing to Last year, the White House
make their country a self- added to that by tighten-
reliant "technology power" ing controls on Chinese
as a feud with Washington purchases of chips and
cuts access to U.S. com- other components.
puter chips and other high- "The trade war and growing
tech components, ham- tensions with foreign gov-
pering Beijing's industrial ernments have heightened
ambitions. concern about reliance
Leaders of the ruling Com- on foreign inputs," Julian
munist Party made the an- Evans-Pritchard and Seana
nouncement Thursday af- Yue of Capital Economics
ter a meeting to draft a de- said in a report ahead of
velopment blueprint for the Thursday's announcement.
state-dominated economy "The push for self-sufficiency
over the next five years. is increasingly visible," they
President Xi Jinping's gov- wrote.
ernment is trying to limit Last year's U.S. curbs cut off
damage from the Trump access to chips and most
administration's curbs on A man looks at his smartphone as he walks past a sign advertising 5G services at the PT Expo in other technology for Hua-
technology sales to China Beijing, Wednesday, Sept. 14, 2020. Associated Press wei. American officials say
in a fight over security and it might facilitate Chinese
spying. Those threaten to role after four decades of Washington. processor chips used in spying, an accusation the
disrupt plans to create market-style reforms. The Technology is a corner- smartphones, electric cars company denies. This year,
Chinese companies able full plan is due to be re- stone of the ruling party's and other technologies Washington barred global
to compete in telecoms, leased in March. Changes marathon campaign to central to their develop- manufacturers from using
biotech and other fields, in regulations and plans for promote self-sustaining ment plans. U.S. technology to produce
which communist leaders individual industries will be growth based on domestic Semiconductors are Chi- chips for Huawei, includ-
see as a path to prosperity announced after that. consumer spending and to na's biggest single import ing those designed by its
and global influence. Thursday's statement prom- build a "moderately pros- by value, ahead of crude own engineers. Huawei's
"Science and technology ised to promote "green and perous society." oil. revenue still rose 9.9% over
should be self-reliant as a low-carbon development" China's factories assemble Companies including tele- a year earlier in the quar-
strategic support for na- and to raise Chinese living most of the world's smart- com equipment giant Hua- ter ending in September,
tional development," said standards. It called for un- phones, personal comput- wei Technologies Ltd., Chi- but executives say its sales
a party statement. It prom- specified steps to strength- ers and consumer electron- na's first global tech brand, of smartphones and net-
ised to "accelerate the en the 2.3 million-member ics but need U.S., European are developing chips and work equipment are likely
building of a science and People's Liberation Army and Japanese compo- other components. But, to suffer. In September, the
technology power" but and to " improve our stra- nents. Its communist lead- like their Western and Asian Commerce Department
gave no details. tegic ability to defend na- ers see that as a strategic counterparts, none can further obstructed Beijing's
Five-Year Plans, issued tional sovereignty." weakness. supply all its own needs. efforts to develop its own
since the 1950s, form the China faces a "complicat- Thursday's statement cited President Donald Trump's chipmakers by restricting
basis of regulation and ed international situation," no specific technologies, 2018 tariff hikes on Chinese U.S. technology sales to the
industry initiatives in an it said, but it made no men- but leaders are especially goods over complaints biggest, Semiconductor
economy where the ruling tion of the coronavirus pan- worried about China's reli- Beijing steals or pressures Manufacturing Internation-
party still plays a leading demic or its tariff war with ance on U.S. providers of companies to hand over al Corp. q
Largest luxury deal back on, Tiffany agrees to lower price

NEW YORK (AP) — The larg- and there was pressure its focus to younger shop-
est deal in luxury is back from investors on both sides pers and made a signifi-
on after New York's famed to make a deal happen. cant push online. The deep
jeweler Tiffany agreed to Rumors that the two luxury pockets of LVMH could go
a slightly reduced offering companies had rekindled a long way in helping that
price from LVMH in Paris. talks began to surface in transformation along.
LVMH will now pay $131.50 recent days. "We are as LVMH, led by billionaire Ar-
for each Tiffany share put- convinced as ever of the nault, a consumate deal-
ting the total price tag at formidable potential of the maker, believes Tiffany will
$15.8 billion, down from the Tiffany brand and believe strengthen its position in
$16.2 billion that was first of- that LVMH is the right home high-end jewelry and in the
fered earlier this year. for Tiffany," LVMH CEO Ber- U.S. market. LVMH is also
The owner of Louis Vuitton, nard Arnault said in a pre- making a bet on China's
Christian Dior, Fendi along pared statement Thursday. economy, where Tiffany
with a basket of wine and Tiffany, with its famed blue has been expanding.
champagne brands, ap- In this Nov. 25, 2019 file photo, people walk past a Tiffany jeweler boxes, has in recent years The buyout has been ap-
peared to walk away from shop on the Champs Elysees avenue in Paris. attempted to regain the proved by the boards of
the acquisition last month Associated Press luster of the "Breakfast at both companies, and it's
after it said the French gov- a delay because of the iffs. But the reasons for its Tiffany's" era as its custom- expected to close early
ernment had pushed for threat of proposed U.S. tar- cold feet seemed to shift, er base ages. It's shifted next year.q