The European Union (EU) is keeping a close eye on China as it moves forward with its plans to spend billions of euros on research and development (R&D) for emerging technologies such as artificial intelligence and 5G networking. The EU has been careful to note the relationship between the two economic powerhouses on the world stage and the security implications of closer ties, however, the bloc is not one to shy away from a challenge. The European Commission, the administrative arm of the EU, released a statement to the press that its plans for technological expenditure, “will contribute to the development of Europe’s digital industry and to Europe’s security and strategic autonomy”. These plans are just one part of what has become known as the Digital Single Market Strategy (DSMS) – a plan to develop the capacity and capabilities of the EU’s digital infrastructure in order to remain at the forefront of innovation. This was followed by the commission announcing almost $100 billion in funding for research projects focusing on things such as quantum computing, cybersecurity, 5G networking and autonomous systems. Part of this funding is expected to be released to Chinese companies through a joint-venture project. The EU’s move is part of a wider effort to ensure that technology spending does not result in the region being overly dependent on Chinese firms and manufacturers for the components necessary for the rollout of emerging technologies. The EU remains conscious of Chinese companies’ intimate links with the authoritarian communist party led by Xi Jinping. In response to the EU’s move, there have been reports of the Chinese government intensifying its efforts to limit the influence of German and American tech companies in the strategic 5G market. China also recently implemented new rules and regulations for foreign companies with connections to “undesirable foreign entities”. The worldwide development of new technological paradigms increasingly involves the cooperation of both Chinese and EU tech sectors. This means that the EU is keen, yet cautious of the full implications of such closeness. As the EU proceeds with its ambitious technology spending plan, it will keep a close eye on the activity of Chinese partners and manufacturers.