Jan 6, 2017 (IEEFA.org) – China will likely expand its dominance of the booming global renewable- and clean-energy industries as new American energy policies come into play, concludes a report published today by the Institute for Energy Economics and Financial Analysis (IEEFA).
“The change in leadership in the U.S. is likely to widen China’s global leadership in industries of the future, building China’s dominance in these sectors in terms of technology, investment, manufacturing and employment,” states the report, “China’s Global Renewable Energy Expansion: How the World’s Second-Biggest Economy Is Positioned to Lead the World in Clean-Power Investment.”
Tim Buckley, lead author of the report and IEEFA’s director of energy finance studies, said the U.S. will very likely become less competitive economically if the Trump administration is able to deliver on its intentions to slow a global energy transition that is gaining momentum.
“The U.S. is already slipping well behind China in the race to secure a larger share of the booming clean energy market. With the incoming administration talking up coal and gas, prospective domestic policy changes don’t bode well,” Buckley said. “If the U.S. is serious about stimulating manufacturing-based growth, clean energy isn’t a sector to turn away from.”
The report details how China made a record $32 billion in overseas investment deals in 2016 alone, marking a 60 percent year-on-year rise in spending.
The report also includes 30 case studies of Chinese companies that are expanding their renewable and clean energy footprints domestically and internationally. It notes the country’s ambitious “pan-Asia” approach across the sector and its growing presence in Africa, Europe, the Middle East, North America and South America. The report puts Chinese global investment in clean energy annually at more than $100 billion, more than twice what the U.S. is investing.
“China understands that renewables present a huge business opportunity,” Buckley said. “Building on the staggering scale of its domestic growth in low-emissions energy, China is accelerating its commercial expansion overseas. As the U.S. owned the advent of the gas age, so China is shaping up to be unrivaled in clean power leadership today. In years to come, the U.S. may look back in regret.”
Excerpts from the report:
Full report here: “China’s Global Renewable Energy Expansion: How the World’s Second-Biggest National Economy Is Positioned to Lead the World in Clean-Power Investment”
U.S.— Karl Cates, [email protected], 917.439.8225
Australia — James Lorenz [email protected] +61 400.376.021
About IEEFA: The Cleveland-based Institute for Energy Economics and Financial Analysis (IEEFA) conducts research and analyses on financial and economic issues related to energy and the environment. The Institute’s mission is to accelerate the transition to a diverse, sustainable and profitable energy economy and to reduce dependence on coal and other non-renewable energy resources.