China Aims to Lead Green Energy Transition

China's dominance in the green energy supply chain is staggering, as it manufactures over 92% of the world's solar modules and 82% of its wind turbines. The nation also accounts for more than 80% of global solar panel and battery cell production. This manufacturing prowess has been a primary driver in reducing the cost of renewable technologies globally. Beijing's financial commitment matches its manufacturing scale, with the country investing $676 billion in energy transition technologies in 2023 alone. Beyond its borders, Chinese firms have pledged more than $180 billion for clean energy projects since the start of 2023, funding everything from EV battery plants in Hungary to green hydrogen ventures in Nigeria. Domestically, China's installed renewable energy capacity reached 1,889 gigawatts by the end of 2024, a 25% increase from the previous year. This capacity now accounts for 56% of the nation's total, surpassing fossil fuel generation capacity for the first time. In 2024 alone, China added 373 million kilowatts (373 GW) of new renewable capacity. These efforts are guided by ambitious national targets. The 14th Five-Year Plan aims to have non-fossil fuels account for 20% of total energy consumption by 2025. Looking further ahead, China has committed to peaking its carbon emissions before 2030 and achieving carbon neutrality by 2060. To bypass trade barriers, Chinese companies are increasingly shifting from direct exports to establishing overseas manufacturing hubs. In 2024, 35 new overseas facilities were set up in the wind, solar, and battery sectors, bringing the total to 114. State-owned enterprises are central to this strategy. Harbin Electric, for instance, supplied key equipment for the world's first fourth-generation nuclear power plant, the Huaneng Shidaowan high-temperature gas-cooled reactor. The company also manufactures turbine-generator sets for China's domestically-developed Hualong One nuclear reactor projects.