China's focus on science and technology is relentless, and it's occurring at all levels of its society. Its labor pool is becoming increasingly sophisticated, its leadership is focused on innovation, and the country is adopting policies designed to pressure U.S. firms to transfer their technology.

The trend is causing increasing worry in Washington, but there are five reasons why China may yet succeed in its goal to achieve world dominance in technology.

In China, eight of the nine members of the Standing Committee of the Political Bureau, including the Chinese president, Hu Jintao, have engineering degrees; one has a degree in geology.