China pumped in over $100 billion overseas in cleantech since 2023

Chinese firms have invested over $100 billion in overseas clean energy projects since 2023, according to a report by Australian research group Climate Energy Finance (CEF). The investments, largely aimed at circumventing tariffs in the U.S. and other regions, reflect China’s global dominance in solar panels, lithium batteries, and electric vehicles.

China leads the world in clean energy manufacturing, accounting for 78.1% of global solar panel production, 24.1% of lithium batteries, and 32.5% of electric vehicle exports. However, its growing market presence has raised concerns about its surplus capacity driving down prices and undermining competition.

The U.S. and Canada have imposed 100% tariffs on China-made electric vehicles, with similar actions on solar panels and lithium batteries, while the European Union is set to vote on additional tariffs this week.

Chinese companies like BYD and CATL are expanding overseas, with BYD building a $1 billion electric vehicle plant in Turkey to avoid EU tariffs, and CATL planning new battery factories across Europe.

China has expressed concerns over these restrictions, warning that efforts to decouple from its manufacturing could significantly increase the cost of the global energy transition.