R&D Magazine's Annual Global Funding Forecast Signals an Upswing in Research and Development Spending
Global research and development (R&D) spending is forecast to grow by 3.8%, or $60 billion, to $1.6 trillion in 2014, according to an annual study published in the December 2013 issue of R&D Magazine, a publication of Advantage Business Media. Following a year of flat growth in 2013, U.S. R&D spending is forecast to increase 3.3% in 2014 to $465 billion, the most of all countries in the world. China is expected to continue its 20-year trend of annual double-digit R&D increases, growing to $284 billion in 2014.
In the U.S., federal R&D investments are under pressure due to sequestration effects which in turn affects U.S. academic R&D spending since the federal government, through agencies like the National Institutes of Health and National Science Foundation are large academic R&D funding sources.
U.S. industrial R&D spending is expected to increase overall by 4% in 2014 to $308 billion, which alone is more than the total from any other country. The report forecasts increases of 3.1% in the life science sector, 5.4% in information technologies, 1.7% in energy and 3.6% in materials, with a decline in 1.2% in the aerospace and defense sectors.
The R&D Funding Forecast notes that there is a continuing shift in where R&D investments are being made, with fewer in the U.S. and Europe and more in Asian countries. The U.S. now accounts for less than a third of global spending, while Europe’s 34 countries account for less than 22% and Asian countries account for nearly 40%, a trend that has continued for the past five years. This trend is expected to continue through the end of the decade with China’s R&D investments surpassing those of the U.S. by about 2022.
R&D Magazine’s R&D Funding Forecast has been published annually since January 1959 and is regularly cited by major media and political organizations. The report is co-authored by Battelle Memorial Institute.
A printed copy of the 2014 Global R&D Funding Forecast is available from Advantage Business Media for $9.95 – Contact Ana DaCosta at email@example.com.