Trend Chinese dominance in clean-energy manufacturing and finance

Summary

The report finds that China dominates the production of energy transition technologies. It accounts for a very large share of global output and growth in solar cells, wind and batteries, and holds much of the world's manufacturing capacity for solar panels, wind turbines, batteries and electrolysers. Through the Belt and Road Initiative it finances and builds large energy projects in developing and emerging economies, and as the largest public financier of energy infrastructure in developing countries it is shifting increasingly towards renewable projects. The EU, by contrast, is pushing electrification of transport while still relying on imports and foreign technology for components such as batteries, with small production potential of its own and lagging construction of battery gigafactories. The report explains that European subsidies focus on making supply chains sustainable rather than directly raising output, so full control over a domestic supply chain is not yet in place.