According to Battelle-R&D Magazine report on international research and development trends, worldwide research and development funding is expected to reach an all-time high of US$1 trillion in 2006.

The report say that while U.S.ranks first in total R&D spending (projected total of $312.2 billion) in 2005, the U.S. share of global R&D spending is expected to decrease from 32.7 percent in 2004 to 32 percent in 2005 and 31.3 percent in 2006. Within the same time period, China is expected to increase its share from 11.8 percent in 2004 to 12.8 percent in 2005 and 13.6 percent in 2006.

An excerpt from Battelle's press release:

The report looks at 33 countries (including mainland China and Taiwan) and identifies three distinct groups when characterizing trends in R&D:

• Countries well established in the practices of R&D, with a variety of institutions, and a history of diverse contributions from the technology community to the general growth of the economy as a whole;
  
• Countries whose R&D history is growing slowly from a more conservative or confined system of economic diversity, but which have the capacity to build new institutions that are supportive of an expanding economy;
  
• Countries experiencing major growth in investment by the home government and external entities and significant commitments to science and technology educational systems.
  

The report, which will be printed in the September issue of R&D Magazine, also addresses projected growth in Asian R&D especially in China and India, and the heavily debated issue of global R&D outsourcing.