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Home / Business / Summer Davos 2023

Global firms see big potential in China's green shift

Xinhua | Updated: 2023-06-29 10:23
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This photo shows the construction site of the world's first 16-megawatt offshore wind turbine in Fuzhou, Fujian province, June 28, 2023. [Photo/Xinhua]

TIANJIN -- With its enormous market scale and consistent efforts on advancing its green transition, China is expected to provide more attractive opportunities for global investors.

At the ongoing 14th Annual Meeting of the New Champions, also known as the Summer Davos, entrepreneurs are optimistic about China's green shift, which they expect to provide players from home and abroad with a broader platform and new opportunities.

"We are particularly optimistic about the opportunities presented by China's 'dual carbon' goals," said Yu Feng, president of Honeywell China. "Our core business aligns with China's market demands and development trends."

China has announced that it will peak carbon dioxide emissions by 2030 and achieve carbon neutrality by 2060.

In April, the US industrial conglomerate Honeywell signed a Memorandum of Understanding for cooperation with the Tianjin Free Trade Zone to establish a flagship sustainable aviation fuel production base in north China. The move aims to meet the growing market demand for sustainable aviation fuel, the company said.

Yu said that Honeywell remains confident in the continued growth of business in China, setting its sights on the prospects in digital technology and low-carbon development.

"We will continue to leverage our advantages in digitalization and sustainable technologies, and work with Chinese partners to help industries achieve low-carbon, smart and efficient development," Yu said.

Another multinational jumping on the bandwagon is Danfoss, a Danish equipment manufacturer that has invested in China for over 20 years. Thanks to China's pursuit of green development, its sales in the market expanded from no more than 4 billion yuan ($554.78 million) in 2015 to nearly 10 billion yuan last year.

"China's 'dual carbon' goals spurred huge market demand in green transformation and manufacturing upgrading, bringing opportunities for us," said Dai Jian, head of Danfoss Global Services, China.

"We will continue to expand our investment in green innovation and green manufacturing in China," Dai added.

From announcing "dual carbon" goals to advancing its national carbon market, Chinese authorities have introduced a raft of measures to boost the use of renewable energy and reduce carbon emissions, making remarkable progress in that direction.

"China has seen rapid growth in the new-energy sector, including solar energy and wind energy, and it is expected that the country will achieve its target for total installed solar power capacity five years ahead of schedule," said Ma Jun, director of the Institute of Public and Environmental Affairs at the Summer Davos.

According to a report released by the World Economic Forum, China is the world's largest producer and consumer of hydrogen, a key factor enabling the country to deliver on its carbon neutrality objective.

"The emerging green hydrogen market is set to reshape the global energy map by the end of the decade, creating a 1.4 trillion-US dollars market by 2050," said Patrick Tsang, Deloitte China CEO.

The burgeoning green industry has not only grabbed the attention of foreign firms, but has also helped Chinese companies to thrive by expanding their presence in the global market.

Backed by China's support on developing new-energy vehicles, Contemporary Amperex Technology Co Limited (CATL), a battery producer in China, has already become an indispensable partner for the leading automakers worldwide. It produces more than one-third of the world's batteries and aims to become a pivotal player in the transition to clean energy.

It has established 13 battery manufacturing plants worldwide, two of which are located outside of China, said the company.

"We will continue to expand our global footprint to help achieve international sustainability goals," said Ni Jun, Chief Manufacturing Officer of CATL.

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