[{"bbox": [96, 153, 1134, 207], "category": "Text", "text": "intelligence that respects human rights and fundamental freedoms. The EU also underscored the common goal of avoiding fragmentation of standards for information and communication technologies⁶."}, {"bbox": [96, 218, 1134, 325], "category": "Text", "text": "According to official Chinese data, the scale of China's digital economy reached about 6.6 trillion euros in 2022⁷. The number of Chinese internet users is now well over one billion, and the country's internet penetration rate has reached 75.6% of the total population. The digital economy and the tech value chains are driving China's post-pandemic efforts towards economic recovery."}, {"bbox": [96, 337, 1134, 416], "category": "Text", "text": "On a global scale, China aims in particular at further increasing its influence in international standard setting bodies, such as the International Organization for Standardisation (ISO), the International Electro-technical Commission (IEC), or the International Telecommunication Union (ITU)."}, {"bbox": [96, 428, 1134, 510], "category": "Text", "text": "In this light, the present action aims at strengthening the EU's Digital Agenda, providing evidence for discussions at the High-level Digital Dialogue, as well as improving the market access and the level playing field for European businesses operating in China and competing with Chinese businesses in partner countries."}, {"bbox": [96, 548, 1134, 654], "category": "Text", "text": "By informing and supporting the EU and Member States' policymaking and strategic decisions on the evolution of China's digital policy, technological advancement and market developments, this Action will contribute to the EU's de-risking strategy and strategic autonomy, tech competitiveness and will support Europe's supply chain resilience and help to address possible strategic dependencies."}, {"bbox": [85, 668, 341, 699], "category": "Section-header", "text": "## 2.2 Problem Analysis"}, {"bbox": [96, 714, 1134, 928], "category": "Text", "text": "Digital transition is one of the key priorities of the geopolitical Commission (2019-2024) led by President von der Leyen, together with the green transition and a stronger Europe in the world, among other issues. In March 2021, the Commission adopted a Communication on the “2030 Digital Compass: the European way for the Digital Decade”⁸. It sets out a vision and targets for a successful digital transformation of Europe by 2030. It proposes to agree on a set of digital principles, to rapidly launch important multi-country projects, and to prepare a legislative proposal setting out a robust governance framework, to monitor progress. On the global stage, the EU will continue promoting a human-centred digital agenda as well as alignment or convergence with EU norms and standards, notably through Global Gateway⁹."}, {"bbox": [96, 953, 1134, 1404], "category": "Text", "text": "During her visit to China in April 2023, President von der Leyen further emphasised the need for the EU to reduce dependencies and increase resilience, included in the digital and technological sectors. Some of these dependencies already raise significant risks for the EU, such as the export of sensitive emerging technologies. In light of this, she announced the Union's intention to engage in de-risking (not de-coupling) from China by addressing the risk of dependencies through the diversification of Union's trade and investment relations. The importance of de-risking and reducing critical dependencies and vulnerabilities was also emphasised in the June European Council Conclusions on China. An “Economic Security Strategy”¹⁰ was then released on 20 June 2023 to address key digital and tech areas such as microelectronics, quantum computing, robotics, artificial intelligence, and biotech as well as the use of export controls or investment screening to prevent the leakage of sensitive technologies for military purposes. Further, the Commission Recommendation of 03 October 2023¹¹ on critical technology areas for the EU's economic security for further risk assessment with Member States identifies four technology areas that are considered highly likely to present the most sensitive and immediate risks related to technology security and technology leakage:Advanced Semiconductors technologies (microelectronics, photonics, high frequency chips, semiconductor manufacturing equipment);Artificial Intelligence technologies (high performance computing, cloud and edge computing, data analytics, computer vision, language processing, object recognition);Quantum technologies (quantum computing, quantum cryptography, quantum communications, quantum sensing and radar);Biotechnologies (techniques of genetic modification). This complements the efforts"}, {"bbox": [85, 1477, 1143, 1524], "category": "Footnote", "text": "⁶ https://www.consilium.europa.eu/en/press/press-releases/2023/12/07/24th-eu-china-summit-engaging-to-promote-our-values-and-defend-our-interests/"}, {"bbox": [85, 1525, 713, 1550], "category": "Footnote", "text": "⁷ http://english.scio.gov.cn/m/in-depth/2023-11/10/content_116806911.htm"}, {"bbox": [85, 1550, 283, 1572], "category": "Footnote", "text": "⁸ COM(2021) 118 final"}, {"bbox": [85, 1573, 270, 1596], "category": "Footnote", "text": "⁹ JOIN(2021) 30 final"}, {"bbox": [85, 1597, 276, 1620], "category": "Footnote", "text": "¹⁰ JOIN(2023) 20 final"}, {"bbox": [85, 1621, 270, 1644], "category": "Footnote", "text": "¹¹ C (2023) 6689 final"}, {"bbox": [1038, 1682, 1143, 1706], "category": "Page-footer", "text": "Page 5 of 17"}]