The study, written by Thomas Howell, William Noellert, Gregory Hume and Alan Wolff, chronicles Chinese government policies put in place between 2002 and 2009 to encourage the development of the domestic renewable energy sector, including:
In addition, the study points out that “although governments in the United States, Canada, Europe and Japan have introduced policies to promote renewable industries, China’s effort is noteworthy for its sheer scale and the speed with which it is being implemented.”
The study concludes by noting, “where questions of market access through trade and investment arise, the policies described above, whether practiced by China or in similar forms by its trading partners, will shape both others’ national policy decisions with respect to trade and investment, as well as emerging global rules on these subjects… Massive investment, major initiatives, and measures affecting trade and investment in a major country always result in substantial changes in trade flows and patterns of investment that might otherwise prevail.”
“While the study makes no findings about whether the Chinese government’s implementation of policies that favor its energy sector violate international trade rules, it does make clear that Chinese firms stand to gain substantially from these measures. The facts the study presents raise serious policy issues for China’s trading partners,” said NFTC President Bill Reinsch. “With strong potential growth in the U.S. renewable energy sector, this is an important emerging issue to watch.”
About the NFTC
Advancing Global Commerce for 95 Years – The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules-based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.
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