China invests over $100b overseas in cleantech since 2023

It aims to expand its influence and secure new markets for its products.

China has committed over $100b in outbound foreign direct investment across more than 130 cleantech deals since 2023, according to a Climate Energy Finance report. 

These investments span solar energy, wind power, batteries, electric vehicles, grids, hydro, and green hydrogen, sectors where China leads in research and manufacturing.

The country is focusing on Europe, greater Asia, Africa, and South America to expand its influence and secure new markets for its cleantech products.

Companies like BYD and CATL are setting up operations in Turkey, Germany, and Hungary to avoid tariffs and access European markets.

China’s share of greenfield investments in 36 countries where the European Bank for Reconstruction and Development operates rose to 39% in 2023, up from 5% in 2022. Its large-scale manufacturing has driven down prices for green technologies, including a 60% year-on-year drop in solar module prices and a 50% decrease in battery prices, making cleantech more accessible to emerging markets.

China is also developing cleantech hubs in Thailand, Indonesia, Brazil, Hungary, and Morocco, positioning these markets as key centres for global green energy transition.