China has become one of the world's largest markets for alternative energy and developed countries including the US are keen for their companies to secure a slice of the sector, valued at as much as US$1 trillion (Dh3.67tn). While several coal-fired power stations are launched each month in China, which has overtaken the US to become the world's largest producer of carbon dioxide emissions, Beijing has put a priority on adding renewable energy sources and said they should satisfy 15 per cent of its power requirements by 2020.
China's national energy administration has produced a plan valued at 3tn yuan (Dh1.61tn) to stimulate wind, biomass, solar, nuclear and clean-coal energy, and part of the stimulus package launched after the global slump has been dedicated to renewable energy. Gary Locke, the US commerce secretary, recently called on China to purchase foreign renewable energy technology if it was the best available, following concerns that preferences for locally made technology are shutting out overseas firms.
Between 2004 and 2008, the market share of foreign firms in China's wind turbine market slumped from 75 per cent to less than 25 per cent. Mr Locke said China should choose "the best technology" rather than buy something that was "not quite as good" and later be forced to buy new technology. But there have also been concerns that foreign companies have been reluctant to transfer green technology to China amid fears they will lose their competitive advantage. China is said to be keen to secure products such as advanced components for wind turbines and nuclear reactors, areas where its own technology lags that in the US.
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