https://heatmap.news/economy/china-us-post-neoliberalism#
But policy has played a decisive role, too. China has subsidized its EV industry far more generously than the U.S. or Europe, and its officials have cracked down on internal-combustion vehicles to a degree not seen in the West. Why have China’s leaders leaned so much into EVs? And why has China become so skilled at manufacturing solar panels, wind turbines, grid-scale batteries, and other essential decarbonization tech?
The answer lies, in part, in its national security prerogatives. China’s economy depends on oil, of which it has almost no domestic reserves to speak of. It imports more than 10 million barrels of oil a day, and in a hypothetical Sino-American conflict, the U.S. would move to cut off China’s access. So it behooves China to invest in technologies that reduce its dependence on oil and fossil fuels.
Now, is energy security the only reason that China has embraced the energy transition? Of course not. Its political and corporate leaders know that decarbonization presents a massive global market opportunity. They know, too, that climate action is the humanitarianism of the 21st century: It is one of the few things that a country can do that seems to redound to every other country’s benefit.
But note that decarbonization plays virtually the opposite role in the U.S. At least for now, we have vast fossil fuel reserves, while we have to rely on imported minerals and materials to make EVs, many of them from China. Decarbonizing, in other words, does little for our energy security in the short-term — at least until sufficient mining and refining capacity opens in North America.