According to the latest report by the International Renewable Energy Agency (IRENA), an extraordinary 64% – nearly two-thirds – of all renewable energy capacity added globally in 2024 was installed in China.

At this point, China is almost single-handedly driving the global energy transition.

For comparison, the United States – still the world’s second-largest emitter of CO₂ – was responsible for just 7% of new renewable capacity in 2024, and now accounts for only 9% of total global renewable energy, against China’s 41%. This gap is likely to widen further under a potential second Trump administration, given his continued dismissal of climate change as a “hoax.”

Even if one shares such scepticism, these numbers should provoke serious reflection.

Why is China investing so heavily in renewable energy? It’s not out of ideology or “wokeness.” There are several strategic reasons behind this effort.

First, China’s leadership recognises the global perception advantage. Even if some in the West question climate change, 86% of the world’s population believes it is a real and urgent issue, according to Our World in Data  (OWID). From their perspective, China is positioning itself as a responsible global power – particularly in contrast to the US.

Secondly, economics play a major role. Solar power is now significantly cheaper than electricity generated from fossil fuels. According to IRENA, global solar PV costs in 2023 were 56% lower than fossil fuel and nuclear options. Onshore wind is even more competitive, with costs now 67% lower than fossil-fuel-based alternatives.

Most importantly, there’s a long-term strategic calculus at play. Imagine a future where countries like the US persist with fossil-fuel-based economies while China dominates clean energy production. Those holding on to legacy systems will be at a disadvantage – paying premium prices for increasingly expensive fossil fuels while China benefits from near-zero marginal energy costs.

Beyond price, China also secures energy independence and positions itself for technological and industrial leadership in the dominant energy systems of the future.

Here’s another striking statistic: in 2024, 87% of capital expenditure on electricity generation in the Global South was directed toward renewables.

This places China in a dominant position as a supplier of energy infrastructure to the region that will drive 85% of global electricity demand growth over the coming years, according to the International Energy Agency (IEA).

This region is home to the vast majority of humanity – where billions are gaining access to reliable electricity for the first time.

Belief in climate change is not required to see the strategic and economic significance of China’s approach – or the risk of ideological opposition to renewable development in countries choosing a different path.