
China has broken into the top 10 of the United Nations’ Global Innovation Index for the first time, securing 10th place in the 2025 rankings and pushing Germany down to 11th. The World Intellectual Property Organization’s annual report again names Switzerland as the world’s most innovative nation, followed by Sweden and the United States.
The complete top 10 now comprises South Korea, Singapore, the United Kingdom, Finland, the Netherlands, Denmark, and China, marking a significant shift in the global innovation hierarchy.
China’s Rise in Global Innovation
China’s entry reflects its rapid increase in R&D spending, positioning it to become the world’s largest investor in research and development. In 2024, China accounted for roughly 25% of global patent applications, leading all nations in filings.
World Bank data cited by WIPO shows Patent Cooperation Treaty applications from China surged from 103 in 1995 to 70,153 in 2024, raising its global share from 0.26% to 25.6%. This milestone underscores China’s transition from imitation to innovation.
Global Innovation Slowdown
Despite China’s ascent, the report warns of a broader innovation slowdown. Global R&D growth is forecast to decelerate to 2.3% in 2025—its lowest pace since 2010—down from 2.9% in 2024, as corporate spending struggles under persistent inflation. Venture capital deal values rose 7.7% in 2024, driven by U.S. AI investments, but deal counts fell 4.4% for a third straight year.
Germany’s Challenge
Germany’s fall to 11th highlights challenges for established innovation leaders. WIPO Director General Daren Tang observes that Germany must convert its “decades-long reputation as a powerful engine of industrial innovation” into digital leadership. Co-editor Sacha Wunsch-Vincent cautions that rankings omit the impact of recent U.S. trade policies, but the shift underscores how emerging economies are rapidly climbing by treating innovation as a strategic priority.