China will this year for the first time spend more on research and development (R&D) than Japan and so become the world’s second highest investor in R&D after the United States, according to OECD projections based on recent trends.
“The rapid rise of China in both money spent and researchers employed is stunning,” said Dirk Pilat, Head of the OECD’s Science and Technology Policy division. “To keep up, OECD countries need to make their research and innovation systems more efficient and find new ways to stimulate innovation in today’s increasingly competitive global economy.”
Based on recent trends trends, China will spend just over USD 136 billion on R&D in 2006, just over Japan’s forecast USD 130 billion. The United States is predicted to remain the world’s leading investor in R&D in 2006, spending just over USD 330 billion. The EU-15, which includes France, Germany and the UK, is predicted to spend just over USD 230 billion.
Figures for 2005 and 2006 are projected on the assumption of a continuation of growth in R&D spending last year and in 2006 at the same average rate as was observed over 2000-2004. These figures are available in the Science, Technology and Industry Outlook 2006. (see figure 1)
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