CNBC's The China Connection newsletter: Beijing can't afford another crackdown on its tech companies

Monday - Friday, 10:00 - 11:00 SIN/HK | 0400 - 05:00 CET The China Connection CNBC's The China Connection newsletter: Beijing can't afford another crackdown on its tech companies Published Wed, Mar 11 2026 12:00 AM EDT Updated 13 Min Ago Evelyn Cheng @in/evelyn-cheng-53b23624 @chengevelyn WATCH LIVE Key Points China increasingly sees technological innovation as the key to its future. That requires a departure from China's state-dominated mindset, while providing assurances to businesses on policy support. From employment to globally competitive innovation, tech companies bear a growing responsibility that Beijing won't want to discourage. In this article 9988-HK 1698-HK CAAS Follow your favorite stocks CREATE FREE ACCOUNT This report is from this week's CNBC's The China Connection newsletter, which brings you insights and analysis on what's driving the world's second-largest economy. You can subscribe here. The big story Instead of trumpeting China's tech advances, Premier Li Qiang struck an uncharacteristically somber tone during a nationwide address on policy plans. I've heard him speak in person several times over the years, including his first and only press conference as premier in 2023, and he's as motivational as Chinese politicians can be. But his candid portrayal of challenges and tech goals on Thursday was far more measured in tone. That signals one thing: Whatever the geopolitical situation or state of the economy, China sees technology as the key to its future. To get there requires a departure from China's state-dominated economic preferences. Businesses and investors also need encouragement, as it wasn't too long ago that Beijing was tightening oversight of tech companies . But changes are happening. One senior official told reporters over the weekend that businesses need to take a greater lead in helping policymakers figure out which tech challenges are worth solving and in evaluating research outcomes. Industrial policy debate It's quite a shift from...