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China pushes high tech in 5-year plan as tensions with US intensify

Central Committee expected to highlight the importance of consumption in an economy threatened by deflation

China’s Communist party leaders are expected to prioritise increased investment in advanced manufacturing, as they meet this week to hammer out the next five-year plan in the shadow of tensions with the US over technology and trade.

The party’s elite Central Committee, which will begin mapping out the country’s 15th five-year plan at the four-day “fourth plenum” meeting on Monday, is also expected to highlight the importance of consumption in an economy threatened by persistent deflation.

“The meat of the 15th five-year plan probably will be to show determined support for technology, innovation and security,” said Hui Shan, chief China economist at Goldman Sachs. 

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