Print: 30 Oct 2025
China's transformation into a global leader in renewable energy has redefined the pace and scope of the fight against climate change. In 2020, Beijing announced two ambitious climate milestones: peaking carbon emissions by 2030 and achieving carbon neutrality by 2060. To the surprise of many, China not only pledged to double its renewable energy capacity by 2030 but also reached that target six years ahead of schedule. Today, the world's second-largest economy is also its largest investor in clean energy—accounting for two-thirds of the $2.1 trillion spent globally on energy transition in 2024.
The shift is already visible across China's domestic landscape. Renewable sources -- wind, solar, hydroelectric, and geothermal -- currently provide 31% of the nation's electricity, with projections showing solar power set to overtake coal as China's leading energy source by 2026. The country's green push, however, extends far beyond its own borders. Through the Belt and Road Initiative (BRI), China is increasingly reshaping global infrastructure development by prioritising clean energy, sustainable transport, and environmentally friendly investment. This evolution, often referred to as the "Green Silk Road," has become a cornerstone of Beijing's efforts to align international cooperation with the United Nations' 2030 Sustainable Development Goals.
At the third Belt and Road Forum for International Cooperation, President Xi Jinping reaffirmed this commitment, pledging deeper collaboration in green infrastructure, energy, and transportation. He announced initiatives such as the Belt and Road International Green Development Coalition, the continuation of the BRI Green Innovation Conference, and the adoption of Green Investment Principles to guide responsible financing. Beyond financing and technology transfer, China also committed to providing 100,000 training opportunities for partner countries by 2030 -- an investment not only in infrastructure, but in people, knowledge, and long-term capacity building.
A greener China does not stop at its own borders; it has profound implications for the world. By scaling up renewable energy production and exporting green technologies, China is helping to reduce global emissions, lower the cost of clean energy, and make sustainable solutions more accessible to developing nations. Chinese-made solar panels, wind turbines, and electric vehicle batteries are already powering transitions in Africa, Asia, and Latin America. In 2023 alone, exports of Chinese wind and photovoltaic products helped cut an estimated 810 million tons of carbon emissions in recipient countries. In this way, China's domestic green transition serves as a global public good, accelerating the collective fight against climate change and reshaping the future of energy worldwide.
China's energy transition is not confined to expanding renewable capacity; it is transforming how energy is consumed. Electricity's share of China's final energy use climbed steadily to 32% by 2023, well above levels in the U.S. and Europe.
Industrial processes are shifting to electric kilns and boilers, transport is embracing electric vehicles and high-speed rail, and households are rapidly adopting heat pumps and geothermal heating. These changes together displace millions of tons of fossil fuel use each year, pushing China toward deep decarbonisation.
Energy storage underpins this transformation. Between 2021 and 2024, China tripled its total energy storage capacity to 135 GW, with lithium-ion batteries outpacing pumped hydro.
By mid-2025, battery capacity reached 95 GW, more than that of the U.S. and Europe combined. This rapid expansion ensures that intermittent solar and wind power can reliably meet demand, stabilising the grid and making large-scale clean generation feasible.
The clean energy sector has become an engine of economic growth. In 2024, clean energy industries contributed $1.9 trillion -- about one-tenth of China's GDP -- growing three times faster than the overall economy.
Chinese firms now file 75% of global clean energy patents, up from just 5% in 2000, driving breakthroughs such as offshore wind turbines taller than the Eiffel Tower and solar panels surpassing 24% efficiency.
Private companies, especially those emerging from China's tech ecosystem, are playing an outsized role. From EV startups to battery giants, entrepreneurs are aligning profit with sustainability. This has created millions of green jobs, spurred consumer-friendly innovations like affordable electric cars, and fostered widespread public support for the energy transition.
China's scale is enabling what experts call the "emerging market leapfrog." In Africa, Asia, and Latin America, Chinese solar exports alone have exceeded or matched entire national electricity systems.
Brazil imported 90 GW of Chinese solar capacity by 2025, equivalent to a third of its generation system. Rapid cost declines -- solar module prices fell 70% between 2022 and 2025 -- are making electricity accessible for millions.
Electric vehicles tell a similar story. In the first half of 2025, 41% of China's car exports were EVs, with sales surging in emerging markets.
Models such as the BYD Dolphin Mini are poised to reshape affordability worldwide. By investing billions in local production across Southeast Asia and Latin America, Chinese firms are embedding green industries into new markets.
The most consequential aspect of China's green push is its impact on global fossil fuel demand. For a decade, China was the largest driver of global fossil fuel growth, responsible for two-thirds of the demand increases.
That trend is now reversing. With renewables covering over 84% of China's electricity demand growth in 2024, fossil generation fell by 2% in the first half of 2025.
As Chinese clean technologies undercut fossil alternatives in cost, the world is approaching a structural decline in fossil fuel use. Already, 91% of new wind and solar projects globally are cheaper than the cheapest fossil option, thanks largely to Chinese manufacturing.
For economies dependent on coal, oil, and gas exports, this shift signals a seismic change in long-term demand.
China is embedding its green transition into its foreign policy. Through the Belt and Road Initiative, it is financing solar parks in Pakistan, hydropower in Africa, and wind farms in Central Asia, while also pledging more sustainable financing mechanisms to avoid debt traps.
The BRI Green Innovation Conference and International Green Development Coalition provide platforms for knowledge sharing, while training commitments aim to empower 100,000 professionals in partner countries by 2030.
This approach departs from the traditional "grow first, clean up later" pathway. By integrating environmental safeguards with infrastructure development, the "Green Silk Road" is aligning economic growth with climate goals across dozens of partner nations.
China frames its energy transition not just as an economic strategy but as part of building an "ecological civilisation." First articulated in 2007 and enshrined in the constitution in 2018, this vision emphasises harmony between humans and nature.
The government's "1+N" framework, launched in 2021, provides a blueprint for achieving carbon neutrality, embedding green policies across sectors and regions.
This long-term vision addresses both domestic needs -- reducing pollution, enhancing energy security, and cutting costs -- and international aspirations of leadership in global climate governance. As one analyst put it: China is showing that "lucid waters and lush mountains are invaluable assets," turning environmental stewardship into a competitive advantage.
China's clean energy transition has reached a critical point. With record investments, surging renewable deployment, and far-reaching technological innovation, the country is demonstrating that decarbonisation can coexist with rapid economic growth. Its impact extends well beyond its borders, reshaping energy affordability, accelerating the transition of emerging markets, and pushing global fossil fuel demand towards structural decline.
The Belt and Road Initiative, now firmly grounded in green development, underscores China's ambition to shape a more sustainable global order. While each nation must chart its own path, China's trajectory provides a powerful reference point: proof that the transition to clean energy can be fast, affordable, and transformative. In linking its domestic goals with international cooperation, China is not only building a greener nation but also paving the way for a greener world.
Simon Mohsin is a political and international affairs analyst
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China’s climate change commitment
China's transformation into a global leader in renewable energy has redefined the pace and scope of the fight against climate change. In 2020, Beijing announced two ambitious climate milestones: peaking carbon emissions by 2030 and achieving carbon neutrality by 2060. To the surprise of many, China not only pledged to double its renewable energy capacity by 2030 but also reached that target six years ahead of schedule. Today, the world's second-largest economy is also its largest investor in clean energy—accounting for two-thirds of the $2.1 trillion spent globally on energy transition in 2024.
The shift is already visible across China's domestic landscape. Renewable sources -- wind, solar, hydroelectric, and geothermal -- currently provide 31% of the nation's electricity, with projections showing solar power set to overtake coal as China's leading energy source by 2026. The country's green push, however, extends far beyond its own borders. Through the Belt and Road Initiative (BRI), China is increasingly reshaping global infrastructure development by prioritising clean energy, sustainable transport, and environmentally friendly investment. This evolution, often referred to as the "Green Silk Road," has become a cornerstone of Beijing's efforts to align international cooperation with the United Nations' 2030 Sustainable Development Goals.
At the third Belt and Road Forum for International Cooperation, President Xi Jinping reaffirmed this commitment, pledging deeper collaboration in green infrastructure, energy, and transportation. He announced initiatives such as the Belt and Road International Green Development Coalition, the continuation of the BRI Green Innovation Conference, and the adoption of Green Investment Principles to guide responsible financing. Beyond financing and technology transfer, China also committed to providing 100,000 training opportunities for partner countries by 2030 -- an investment not only in infrastructure, but in people, knowledge, and long-term capacity building.
A greener China does not stop at its own borders; it has profound implications for the world. By scaling up renewable energy production and exporting green technologies, China is helping to reduce global emissions, lower the cost of clean energy, and make sustainable solutions more accessible to developing nations. Chinese-made solar panels, wind turbines, and electric vehicle batteries are already powering transitions in Africa, Asia, and Latin America. In 2023 alone, exports of Chinese wind and photovoltaic products helped cut an estimated 810 million tons of carbon emissions in recipient countries. In this way, China's domestic green transition serves as a global public good, accelerating the collective fight against climate change and reshaping the future of energy worldwide.
China's energy transition is not confined to expanding renewable capacity; it is transforming how energy is consumed. Electricity's share of China's final energy use climbed steadily to 32% by 2023, well above levels in the U.S. and Europe.
Industrial processes are shifting to electric kilns and boilers, transport is embracing electric vehicles and high-speed rail, and households are rapidly adopting heat pumps and geothermal heating. These changes together displace millions of tons of fossil fuel use each year, pushing China toward deep decarbonisation.
Energy storage underpins this transformation. Between 2021 and 2024, China tripled its total energy storage capacity to 135 GW, with lithium-ion batteries outpacing pumped hydro.
By mid-2025, battery capacity reached 95 GW, more than that of the U.S. and Europe combined. This rapid expansion ensures that intermittent solar and wind power can reliably meet demand, stabilising the grid and making large-scale clean generation feasible.
The clean energy sector has become an engine of economic growth. In 2024, clean energy industries contributed $1.9 trillion -- about one-tenth of China's GDP -- growing three times faster than the overall economy.
Chinese firms now file 75% of global clean energy patents, up from just 5% in 2000, driving breakthroughs such as offshore wind turbines taller than the Eiffel Tower and solar panels surpassing 24% efficiency.
Private companies, especially those emerging from China's tech ecosystem, are playing an outsized role. From EV startups to battery giants, entrepreneurs are aligning profit with sustainability. This has created millions of green jobs, spurred consumer-friendly innovations like affordable electric cars, and fostered widespread public support for the energy transition.
China's scale is enabling what experts call the "emerging market leapfrog." In Africa, Asia, and Latin America, Chinese solar exports alone have exceeded or matched entire national electricity systems.
Brazil imported 90 GW of Chinese solar capacity by 2025, equivalent to a third of its generation system. Rapid cost declines -- solar module prices fell 70% between 2022 and 2025 -- are making electricity accessible for millions.
Electric vehicles tell a similar story. In the first half of 2025, 41% of China's car exports were EVs, with sales surging in emerging markets.
Models such as the BYD Dolphin Mini are poised to reshape affordability worldwide. By investing billions in local production across Southeast Asia and Latin America, Chinese firms are embedding green industries into new markets.
The most consequential aspect of China's green push is its impact on global fossil fuel demand. For a decade, China was the largest driver of global fossil fuel growth, responsible for two-thirds of the demand increases.
That trend is now reversing. With renewables covering over 84% of China's electricity demand growth in 2024, fossil generation fell by 2% in the first half of 2025.
As Chinese clean technologies undercut fossil alternatives in cost, the world is approaching a structural decline in fossil fuel use. Already, 91% of new wind and solar projects globally are cheaper than the cheapest fossil option, thanks largely to Chinese manufacturing.
For economies dependent on coal, oil, and gas exports, this shift signals a seismic change in long-term demand.
China is embedding its green transition into its foreign policy. Through the Belt and Road Initiative, it is financing solar parks in Pakistan, hydropower in Africa, and wind farms in Central Asia, while also pledging more sustainable financing mechanisms to avoid debt traps.
The BRI Green Innovation Conference and International Green Development Coalition provide platforms for knowledge sharing, while training commitments aim to empower 100,000 professionals in partner countries by 2030.
This approach departs from the traditional "grow first, clean up later" pathway. By integrating environmental safeguards with infrastructure development, the "Green Silk Road" is aligning economic growth with climate goals across dozens of partner nations.
China frames its energy transition not just as an economic strategy but as part of building an "ecological civilisation." First articulated in 2007 and enshrined in the constitution in 2018, this vision emphasises harmony between humans and nature.
The government's "1+N" framework, launched in 2021, provides a blueprint for achieving carbon neutrality, embedding green policies across sectors and regions.
This long-term vision addresses both domestic needs -- reducing pollution, enhancing energy security, and cutting costs -- and international aspirations of leadership in global climate governance. As one analyst put it: China is showing that "lucid waters and lush mountains are invaluable assets," turning environmental stewardship into a competitive advantage.
China's clean energy transition has reached a critical point. With record investments, surging renewable deployment, and far-reaching technological innovation, the country is demonstrating that decarbonisation can coexist with rapid economic growth. Its impact extends well beyond its borders, reshaping energy affordability, accelerating the transition of emerging markets, and pushing global fossil fuel demand towards structural decline.
The Belt and Road Initiative, now firmly grounded in green development, underscores China's ambition to shape a more sustainable global order. While each nation must chart its own path, China's trajectory provides a powerful reference point: proof that the transition to clean energy can be fast, affordable, and transformative. In linking its domestic goals with international cooperation, China is not only building a greener nation but also paving the way for a greener world.
Simon Mohsin is a political and international affairs analyst