China leads global clean energy investment

China leads global clean energy investment as per a recent report.

China emerged as the global leader in energy transition investment in 2024, contributing two-thirds of the total $2.1 trillion spent worldwide, according to a report by BloombergNEF (BNEF), a research and advisory firm.

Fueled by strong domestic demand, China maintained its dominance in clean energy investment, with major expenditures directed toward solar energy, lithium batteries, electric vehicles, and power grid development. The findings, published in BNEF’s “Energy Transition Investment Trends 2025” report, highlight China’s leading role in the sector.

With a 20% year-on-year increase, China alone accounted for $134 billion of the global $202 billion rise in energy transition investment. The country witnessed significant growth across various sectors, including renewable energy, energy storage, nuclear power, hydrogen, heat pumps, and electric grids.

China’s rapid investment surge widened the gap between itself and other global economies. Its energy transition spending was more than double that of any other country, and even when adjusted for GDP, it accounted for 4.5% of its economic output—far surpassing the United States, where the figure stood at 1.2%.

The renewable energy sector in China achieved remarkable growth in 2024, with total installed wind and solar power capacity exceeding 1.4 billion kilowatts. This solidified China’s position as a global frontrunner in renewable energy expansion.

Experts emphasize that China has consistently led the global shift toward green energy. The Sinopec Economics and Development Research Institute, affiliated with China Petroleum and Chemical Corp, projects that China’s investment in energy transition will surpass $1 trillion by 2030, focusing on improving energy efficiency and advancing electrification.

China has significantly increased the proportion of renewable energy in its total energy investments, allocating over 40% of its transition funds to renewables—nearly twice the amount dedicated to fossil fuels, according to Luo Daqing, vice president of the institute.

Zhou Libo, deputy secretary-general of the China Electricity Council’s electric transportation and energy storage division, noted that investment in integrated energy stations, photovoltaic-storage-charging hubs, and supercharging stations in China is expected to continue growing.

BNEF data also revealed that China maintained its dominance in the global clean energy supply chain, accounting for 81% of supply chain investments in 2024.

BNEF predicts that China will continue leading global clean energy spending in the coming years. Additionally, investment in low-carbon energy sources like nuclear power saw a significant increase in 2024, indicating a global resurgence in nuclear energy.