Technology and innovation – Scaling frontier capability FIGURE 7 Country readiness factorLeading policies and interventionsExpected impact for supply chain imperatives Launch national missions on fr ontier technologies (e.g. AI, cybersecurity , quantum) to align public R&D funding with sover eign capability and priorities, and accelerate technology dif fusion in strategic industries1 Develop trusted cr oss-bor der data frameworks and alliances to enable secur e, inter operable exchange of industrial and commer cial data while upholding privacy and security standar ds2 Mandate cybersecurity as a “licence-to- operate” in critical industrial value chains through a national framework r equiring baseline standar ds, shar ed thr eat intelligence and cyber -risk awar eness programmes3 Deploy incentives and transformation programmes for local companies, including SMEs, to advance industrial transformation, technology adoption (e.g. IoT, cloud computing, r obotics, additive manufacturing), and str engthen R&D4 Establish innovation districts and technology parks via public-private partnerships, acting as testbeds for new technologies and closely integrated with regional industrial clusters5 Enhance local innovation capacity through clustering of applied R&D centr es, universities, suppliers, corporates and ventur e funds to enable collaboration and cr eate dense networks of knowledge spillovers6 Strengthen intellectual property-related legal frameworks, enfor cement and management systems to build a trusted innovation envir onment that minimizes infringement risks and safeguar ds knowledge cr eation7 Establish clear frameworks and dedicated institutions for technology transfer to accelerate testing and commer cialization between universities, r esear ch centr es and industry8Increased domestic innovation capacity and integrated knowledge ecosystems amplify the competitiveness of local suppliers and partners to pr oduce complex high-value pr oducts Automation, r obotics and additive manufacturing along with str ong cybersecur e foundations make modular , ﬂexible pr oduction facilities feasible and secur e acr oss multiple locations Higher dif fusion of fr ontier technologies, secur e data exchange frameworks, and SME programmes str engthen trust and connectivity acr oss the ecosystem, enabling br oader access and swift response to exter nal signalsInfrastructur e Resour ces and energy Technology and innovation Labour and skills Sustainability Fiscal and regulatory Geopolitical landscape Global Value Chains Outlook 2026: Orchestrating Corporate and National Agility 22