Green capital tsunami: China’s >$100 billion outbound cleantech investment since 2023 turbocharges global energy transition

Since 2023, Chinese firms have committed over US$100 billion in outbound foreign direct investment (OFDI) across at least 130 major cleantech transactions, spanning solar, wind, batteries, and new energy vehicles (NEVs). This 'going global' strategy is driven by domestic overcapacity, which has caused solar module prices to drop 60% and battery prices 50% year-on-year, and a need to circumvent trade barriers from the US and EU. The report highlights China's dominance in the global battery supply chain, where it holds over 80% of manufacturing capacity, and its expansion into markets like Morocco, Brazil, and Thailand. For Australia, the report notes that Chinese OFDI reached a multi-decade low of US$613 million in 2023, and argues that Australia should clarify its foreign investment rules to attract Chinese private capital for onshore value-adding in critical minerals and renewable energy infrastructure.

• Chinese companies have committed more than US$100 billion in outbound foreign direct investment (OFDI) across at least 130 major cleantech transactions since 2023.
• China's massive domestic manufacturing scale has led to significant price deflation for green technologies, with solar module prices falling 60% and battery prices falling 50% year-on-year.
• China dominates the global battery supply chain, possessing over 80% of global manufacturing capacity and six of the top ten largest battery manufacturers, who collectively hold over 60% market share.
• Chinese wind energy leadership is evidenced by the installation of 77.1GW of onshore and offshore wind in 2023, representing 75% of global capacity additions.
• China's solar export volume increased by a record 40% year-on-year in 2023, although the total value decreased by 6% to US$49 billion due to a nearly 46% decline in per-unit prices.
• China is expanding its grid technology exports, with State Grid Corporation of China holding a 54.6% stake in Brazil's largest power distributor, CPFL Energia, and planning an additional US$38 billion investment in the Brazilian electricity sector.
• China has become the world's largest exporter of cars as of 2023, with NEV sales in the domestic market reaching a record 54% share of passenger vehicle sales in August 2024.
• China's green hydrogen leadership is marked by a 75% global share of electrolyser deployments in 2023.
• Morocco has emerged as a strategic hub for Chinese battery and EV investment, with Gotion signing a US$1.3 billion deal for a gigafactory and BTR New Material investing in cathode and anode facilities.
• The report recommends that the Australian Federal Government clarify Foreign Investment Review Board (FIRB) rules to incentivize Chinese private investment in value-added energy transition materials and cleantech.

APA

Buckley, T., Dong, X., & Jonson, A. (2024). Green capital tsunami: China’s >$100 billion outbound cleantech investment since 2023 turbocharges global energy transition. Global Energy Monitor. https://globalenergymonitor.org/sites/default/files/migration/reports/final-_-CEF-Report-China-Outbound-FDI-2-October-2024-2_3.pdf

Chicago

Buckley, Tim, Xuyang Dong, and Annemarie Jonson. Green capital tsunami: China’s >$100 billion outbound cleantech investment since 2023 turbocharges global energy transition. Global Energy Monitor, 2024. https://globalenergymonitor.org/sites/default/files/migration/reports/final-_-CEF-Report-China-Outbound-FDI-2-October-2024-2_3.pdf.

Wikipedia

{{cite report |last1=Buckley |first1=Tim |last2=Dong |first2=Xuyang |last3=Jonson |first3=Annemarie |title=Green capital tsunami: China’s >$100 billion outbound cleantech investment since 2023 turbocharges global energy transition |publisher=Global Energy Monitor |date=October 2024 |url=https://globalenergymonitor.org/sites/default/files/migration/reports/final-_-CEF-Report-China-Outbound-FDI-2-October-2024-2_3.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{buckley2024green, author = {Buckley, Tim and Dong, Xuyang and Jonson, Annemarie}, title = {{Green capital tsunami: China’s >\$100 billion outbound cleantech investment since 2023 turbocharges global energy transition}}, institution = {Global Energy Monitor}, year = {2024}, month = oct, url = {https://globalenergymonitor.org/sites/default/files/migration/reports/final-_-CEF-Report-China-Outbound-FDI-2-October-2024-2_3.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }