The South China Morning Post has reported on a massive electricity production and transmission network being set up in the Gobi desert and northwest China, with a combined capacity of 600GW. More than half the networked energy plants are renewable.

To power this green revolution, China has also invested massively in securing minerals which has helped the country dominate the processing of key metals for the green revolution — for example 95% of European solar modules are Chinese. This is incredible progress at a time when there is no place for laggards in the race to decarbonize. The global energy transition is unstoppable – with renewables expected to be close to half the global electricity mix by 2030.

This is all good news, but China’s commanding lead risks other economies being left too far behind to compete and making them reliant on Chinese products. In every energy crisis, the world seems to learn all over again the risks of over-reliance on one region for key commodities.

The IRA is a great move to start to rebalance the situation. Its approval in 2022 meant that pretty much overnight the US became one of the most attractive destinations for cleantech investment. Recent figures indicate German companies invested a record $15.7bn in US projects last year, up from $8.2bn a year earlier.

The US has also implemented other measures to offset China’s dominance, including the development of ‘friendshoring’ that moves the manufacturing of critical components to friendly countries. On this basis, an evolving relationship between the US and India is resulting in millions of dollars flowing into the South Asian nation which is now the fastest growing major economy in the world.

If the US is serious about its workers, its economy and being a world class industrial leader that is not reliant on China, its politicians need to carry on such work even further.

The energy transition isn’t political ideology, it is the backbone of future economic power. Investing in green industrialism will help countries thrive and fuel the growth of clean energy technologies that the world so desperately needs to guarantee planetary and economic stability everywhere.