China leads global clean energy investment

This year, global clean energy investment maintained its overall growth momentum, while also exhibiting more complex structural changes. The International Energy Agency's latest World Energy Investment Report shows that global energy investment is projected to reach $3.3 trillion by 2025, with clean energy investment reaching $2.2 trillion, roughly twice the size of fossil fuel investment. Solar photovoltaic, wind power, and battery storage remain active sectors, but significant regional differences exist, and investment performance varies across different technologies.

China continues to play a key role in the global clean energy investment landscape. The International Energy Agency estimates that China's clean energy investment is projected to reach $630 billion, accounting for 29% of the global total and exceeding half of the total projected investment of all developed economies ($1 trillion). Meanwhile, China's energy investment expenditure is already twice that of the European Union and close to the combined total of the EU and the US, further solidifying its position as the world's largest investor.

China contributes nearly 30% of global investment.

According to a report by the International Energy Agency, China is playing an increasingly important role in the global clean energy sector, and has made outstanding contributions to promoting clean energy development and leading the global energy structure transformation.

In terms of investment structure, China has established a systematic and long-term presence in key industries such as solar energy, wind energy, hydropower, nuclear power, battery storage, and electric vehicles. Over the past decade, China's share of global clean energy investment has increased from one-quarter to nearly one-third, maintaining a leading global advantage in areas such as photovoltaic manufacturing, onshore and offshore wind power construction, and the electric vehicle industry chain, forming a complete, stable, and economies-of-scale industrial system. Taking solar photovoltaic as an example, global investment in photovoltaic power generation has doubled in five years, with a significant portion of this growth coming from the continued expansion of the Chinese market.

In terms of total volume, China's energy investment is already twice that of the EU, approaching the combined level of the EU and the US. The International Energy Agency points out that power investment is becoming the core of global energy investment, and China's investment in power generation, grids, and energy storage is among the world's leading levels. Specifically, solar photovoltaic investment is projected to attract $450 billion in investment by 2025, becoming the world's largest single energy investment sector; battery storage investment is also maintaining rapid growth and is expected to exceed $65 billion.

The rapid increase in China's clean energy investment stems not only from the need for emission reduction, but also from multiple factors such as energy security, improved cost competitiveness, and industrial policy support. In recent years, China has continuously expanded its investment in power generation, energy storage, and power grids to cope with rapidly growing electricity demand, while improving market mechanisms and enhancing the flexibility and resilience of the power system.

From the perspective of changes in investment structure, the Chinese market is undergoing an accelerated transformation from large-scale centralized power plants to distributed projects. Distributed solar energy, due to its shorter construction cycle, stronger grid adaptability, and more predictable returns per unit investment, has become the area with the most significant investment growth this year.

Investment patterns show regional differentiation

Looking at global clean energy investment trends this year, the differences in investment activity between regions are widening rapidly, with investment flows heavily influenced by factors such as the policy environment, electricity price changes, and adjustments in return expectations. The International Energy Agency points out that while global clean energy investment has increased, the growth is clearly uneven. Renewable energy investment in the United States has declined sharply, while the European Union has achieved significant growth driven by various policies, indicating an accelerating trend of cross-regional capital reallocation.

Investment in the US market has slowed significantly this year. Data shows that in the first half of 2025, US renewable energy investment will decline by 36% compared to the second half of last year, making it one of the regions with the most significant investment downturn among major economies globally. Notably, the US has issued a halt order to the "Revolution Wind Farm" project, which was already 80% complete.

Meredith Aneks, head of clean power research at Bloomberg New Energy Finance, believes that a stable return mechanism is key to maintaining the vitality of renewable energy investment. In markets with predictable policy environments, investment activity maintains steady growth; however, in major economies with significant policy fluctuations, investors tend to rush into projects during policy adjustment windows, easily leading to cyclical fluctuations in investment scale.

International Energy Agency Executive Director Fatih Birol pointed out that in the face of a rapidly changing international economic and trade situation, some investors are taking a cautious approach to approving new energy projects, but in most areas, investment activities in existing projects are still progressing steadily.

In emerging markets, solar and wind power maintained relatively stable growth. Saudi Arabia signed a cooperation agreement for the largest 2.6 GW solar power plant in Africa, the Middle East, and Europe; India's renewable energy investment reached $11.8 billion in the first half of the year, with integrated wind, solar, and energy storage tenders being the main driver; Turkey's solar investment increased by 12% year-on-year; Indonesia's investment scale increased nearly fivefold, and its new power development plan is expected to release $96 billion in investment space over the next 10 years. Southeast Asia's renewable energy investment increased by 7% quarter-on-quarter, and some small and medium-sized markets in Latin America showed continued expansion momentum in areas such as distributed photovoltaics.

New trends emerge in technology investment

Globally, the technological structure of clean energy investment has seen several noteworthy changes this year. Solar photovoltaic (PV) continues to dominate global clean energy investment, becoming the fastest-growing single technology sector. Latest data shows that in the first half of 2025, global solar investment reached $252 billion, significantly higher than wind power investment of $126 billion, with small-scale distributed PV being the main driver of growth. Bloomberg New Energy Finance points out that distributed PV, due to its shorter construction cycle and clearer revenue mechanism, has become a key force in many countries to offset the decline in centralized investment. Taking the Chinese market as an example, distributed PV investment has doubled year-on-year this year.

The wind power sector is also showing signs of divergence. Onshore wind power investment has been affected by factors such as policy adjustments, land resources, and approval cycles, leading to a decline in financing in several markets. However, offshore wind power has demonstrated stronger growth momentum. In the first half of this year, global offshore wind power attracted $39 billion in investment, exceeding the total amount for the entire previous year. Due to the large capital requirements and long development cycles of offshore wind power projects, investment often fluctuates cyclically due to the pace of approvals and bidding. In addition to China, rising costs in other parts of the world are also driving investment expansion, with capital rapidly concentrating in the more certain offshore wind power market. This trend is further highlighted by corporate restructuring, with some international energy companies reducing their investment in US offshore wind power and instead increasing their investment in markets such as Europe.

It is noteworthy that while global grid investment currently reaches $400 billion annually, it is still insufficient to meet the needs of the rapid expansion of renewable energy. The International Energy Agency points out that grid construction needs to be balanced with power generation investment in the coming years; otherwise, it will constrain the absorption capacity of new clean energy installations. Meanwhile, complex approval processes and tight equipment supply chains remain significant factors restricting grid investment.