Chinese clean-energy foreign investment surging, says think tank
Washington’s hostility to clean energy has also played into Beijing’s hands
CHINESE foreign investment in green power jumped to US$80 billion in the past year as Beijing leveraged its dominance in energy transition technologies, according to Climate Energy Finance (CEF).
The funds were pledged in the year to November 2025, the Australian-based think tank said in a report released on Sunday (Dec 7), and compare with US$100 billion of investment over the previous two years.
US President Donald Trump’s aggressive trade tariffs and shifting geopolitical policies have prompted many developing countries to deepen ties with China, while Washington’s hostility to clean energy has also played into Beijing’s hands. Even before the US’s pullback, China already dominated sectors such as wind, solar and electric vehicle batteries.
“The clean-tech economy represents a flourishing form of South-South cooperation, where national development goals meet China’s techno-industrial might,” Caroline Wang, an analyst at CEF, said in the report. “While the US sees China’s rise as a threat, many developing countries are inspired by its success and aim to emulate it.”
South-east Asia remains the top destination for Chinese clean-technology capital, CEF said, without giving a regional breakdown of the numbers. Major projects include a US$6 billion battery plant in Indonesia being jointly developed by Contemporary Amperex Technology Co Limited , Indonesia Battery, and Aneka Tambang.
The Middle East and North Africa have emerged as the fastest-growing regions for Chinese investment in the battery and solar sectors, according to the Australian think tank.
Countries are offering various incentives to attract Chinese clean-tech investment, from competitive tax rates to fast-tracked project approvals, with a focus on building local manufacturing capacity, boosting employment, and facilitating joint-venture projects with local partners, Wang said. BLOOMBERG
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