China's green tech: From its role in global decarbonisation to domestic overcapacity realities
19
May 2025
Bruegel
China plays a crucial role in the world’s green transition for two opposite reasons; it is the world’s largest emitter, but also the largest producer of green tech such as renewable energy. The question, then, is whether China can cover all its green tech needs for its own decarbonization and that of the rest of the world.
At this event Alicia García-Herrero presented new research which confirms that not only this is the case, but also that China will accumulate additional overcapacity over time if its current level of investment is maintained. In view of this she proposes a switch in China’s capex on green tech to green infrastructure. The event also focused how this affects the rest of the world, and especially Europe.
About the speakers
Alicia Garcia Herrero
Chief Economist for Asia Pacific at Natixis, Senior Fellow at Bruegel, Non-resident Senior Follow at the East Asian Institute, Adjunct Professor at the Hong Kong University of Science and Technology
Economist specialized in monetary and financial issues in emerging markets, banking crises and resolution strategies, financial development
Max J. Zenglein
Chief Economist at Mercator Institute for China Studies (MERICS)
China’s macroeconomic development; international trade and investment; economic reforms