China leads global clean industrial investment as emerging economies rise

China secured financing for 23 of the 36 major clean industrial projects worldwide last year, totaling more than €40 billion.

This dominance places China ahead of Western nations like the United States and members of the European Union in the race to build low-carbon infrastructure. The Mission Possible Partnership reports that China already hosts 49 per cent of all clean industrial plants currently operating or under construction globally.

China is leveraging its renewable energy infrastructure and supportive policies to control key markets. The country now produces more than 90 per cent of the world's lower-emissions methanol and over 40 per cent of its cleaner aluminium production. These investments extend into neighboring regions, such as the Monsoon Wind project in Laos, which uses 133 Chinese-built turbines to power manufacturing in Vietnam.

Belinda Schäpe of the Centre for Research on Energy and Clean Air says this shift could increase China's geopolitical influence as countries seek to reduce fossil fuel imports. Developing nations in the "industrial sunbelt" across Africa, Asia, and Latin America are also attracting significant capital. These countries secured €4.7 billion in investment last year, surpassing the €4.3 billion invested in developed economies.

Examples include a geothermal-powered fertiliser plant in Kenya's Rift Valley and a synthetic sustainable aviation fuel project in South Africa. While the European Union is attempting to compete by pledging €100 billion for its own clean manufacturing, the Mission Possible Partnership notes that hundreds of projects still lack funding due to unclear policies or a lack of long-term purchasing agreements.