German idealism and Chinese pragmatism: China's decarbonization between strategic calculation and global influence

China is at the center of an impressive energy transition that results less from pure environmental awareness and is primarily driven by strategic and economic interests. Aiming to consolidate its position as a leading global economic power, the country is using the transformation of its energy sector not only to decarbonize, but also as a tool to strengthen geopolitical power and technological dominance.

China's ambitious climate goals and progress

China's climate goals are ambitious: the country aims to become climate neutral by 2060. To achieve these goals, China is relying on a massive restructuring of its energy supply, which is characterized by a remarkable expansion of renewable energies. An impressive 400 gigawatts (GW) of new solar and wind energy capacity were installed in 2023, reducing dependence on coal by 7%. It is predicted that by 2035 around 65% of electricity generation could come from clean energy sources.

At the same time, nuclear power plays a crucial role in China's energy mix. The country currently has 58 GW of installed nuclear power capacity, but is planning drastic expansion. By 2030, China is expected to overtake France and the United States as the leading nuclear power producer. Around ten new reactors are to be built every year, meaning that more than 150 new plants could be built in the next 15 years. This strategy not only allows China to further reduce coal-fired power generation, but also ensure the stability of its energy system. Nuclear energy provides a reliable baseload supply that offsets fluctuations in renewable energy.

Nevertheless, the focus remains clearly on renewable energies. The share of nuclear energy in electricity generation is currently around 5%, but is expected to increase in the coming years. This combination of solar, wind and nuclear energy is part of a comprehensive approach to both achieving climate neutrality and ensuring energy security.

While the West is discussing, China is taking off - becoming an electric car superpower

In recent years, China has consistently established itself as a global pioneer in the field of electromobility. This is the result of a strategic industrial policy, massive investments and a clear vision for the future of the automotive industry. While the advantages and disadvantages of electric cars are still being debated in Germany and other Western countries, China has already taken decisive steps to advance the transition to electric vehicles.

While we are still discussing the sense and nonsense of electric cars here and conjuring up economic decline with the end of combustion engines, China is fully committed to electric cars and is already consistently implementing this. Why doesn't anyone want to see this?

China's focus on electromobility

1. Market penetration and sales figures

In July 2024, electric cars (including plug-in hybrids) achieved a market share of over 50% for new registrations in China for the first time. In total, almost five million so-called New Energy Vehicles (NEVs) were sold in the first half of 2024 alone, an increase of 32% compared to the previous year.

Domestic brands such as BYD and Li Auto dominate the market and set new sales records. German manufacturers, on the other hand, are struggling to maintain their market share.

2. Political support

The Chinese government is promoting electromobility through subsidies, tax breaks and a preferential registration policy for electric cars in major cities. These measures have continued to boost demand despite the loss of central subsidies at the end of 2022.

The goal is for at least half of all cars sold to be electric by 2025, a goal that was originally only planned for 2035.

3. Technological leadership

China is a leader not only in the production of electric cars, but also in the production of batteries and the development of software solutions for vehicles. This technological strength gives Chinese manufacturers a competitive advantage over Western competitors.

4. Infrastructure

China dominates the global market for electric buses and has established itself as a pioneer in the electrification of public transport. Already in 2021, about 60% of the approximately 700,000 city and regular buses in Chinese cities were purely electric, and the government plans to achieve full electrification by 2030. China is setting standards with over 420,000 electric buses, which make up around 99% of the global fleet. This development was made possible by government subsidies, strict environmental regulations and the development of a comprehensive charging infrastructure. Cities like Shenzhen have already converted their bus fleets entirely to electric power, following a gradual rollout since 2009.

This comprehensive expansion not only has ecological benefits, but also strengthens the local economy. Companies like BYD, NIO and Xpeng are leading players in the global market and benefit from government support. China's dominance in this sector gives the country a decisive competitive advantage at a time when electromobility is considered a key technology worldwide.

In comparison, Germany lags significantly behind. According to the E-Bus Radar 2023, only 1,884 electric buses were in use in Germany, which corresponds to a share of 2.2% of the entire bus fleet. By 2030, German transport companies are planning to procure around 6,600 more e-buses, meaning that a total of almost 8,500 e-buses could be on German roads. However, this would still only represent a fraction of the German fleet.

A key difference lies in the speed and consistency of implementation: While China puts around 9,500 new electric buses on the road every week, only 6,354 electric buses were delivered in Europe in the whole of 2023. Germany's progress is also being held back by insufficient funding and a lack of political clarity, which makes the expansion of electromobility in local public transport more difficult.

Why is this often ignored or viewed critically in Germany?

1. Technological restraint

In Germany there is a deep-rooted skepticism towards new technologies, often referred to as “German Angst”. This is also reflected in reservations about electric cars, for example with regard to range, charging infrastructure or environmental balance.

2. Dependence on internal combustion engines

The German automotive industry has relied on combustion engines for decades and is now faced with the challenge of radically changing its production processes and business models. This leads to uncertainty and resistance to change.

3. Discussion about environmental performance

Critics often highlight the CO₂-intensive production of batteries. Although electric cars compensate for these emissions during operation through emission-free driving, the debate remains emotionally charged.

4. Political disunity

While China provides clear political guidelines, the measures in Germany are less consistent. For example, the purchase bonus for electric cars was abolished, which led to a decline in new registrations.

Strategic motives behind the energy transition

The Chinese energy transition is driven less by environmental idealism and more by clear strategic considerations. There are several key motivations that shape China's approach:

1. Secure market leadership

China is strengthening its industrial base through massive investments in renewable energies and electromobility. Companies like BYD, CATL and Yutong already dominate their markets worldwide and ensure the country's long-term technological advantage.

2. Increase energy independence

The expansion of renewable energy reduces China's dependence on energy imports, especially fossil fuels. This is not only beneficial from an economic perspective, but also an important geopolitical lever.

3. Geopolitical influence

China's technological leadership enables the country to strengthen its influence in emerging and developing countries. This happens, for example, through the export of solar systems, electric vehicles and the associated infrastructure. Belt and Road Initiative projects also contribute to the spread of Chinese technology.

Comparison with Germany: Two different approaches

While China pursues a strategic and pragmatic approach, the German energy transition is strongly value-oriented and shaped by climate protection ideas. Germany focuses on sustainability, transparency and dialogue with society, but progress is often slower compared to China. Structural obstacles such as bureaucracy, inadequate infrastructure and lengthy planning procedures slow down implementation.

A particularly striking difference can be seen in the area of ​​electromobility. While almost 100% of the bus fleets in cities like Shenzhen in China are electric, the proportion in Germany will only be 2.2% in 2023. This discrepancy illustrates the challenges Germany faces when it comes to putting ambitious goals into practice.

In addition, China is often viewed as a systemic rival in German political discussions. This makes collaboration more difficult and increases competition. At the same time, German decision-makers could learn from China's pragmatism in order to accelerate processes without endangering their own values.

Pragmatism as the key to success

China's energy transition shows that a strategic and pragmatic approach can lead to impressive results. However, this should not be taken as a mere example. China pursues clear self-interests and uses its progress to strengthen its global position. The country is therefore an actor that represents both opportunities and challenges for other countries such as Germany.

German politicians are faced with the task of making their own processes more efficient without giving up their principles of sustainability and democracy. A differentiated view is necessary: ​​it is important to learn from China's successes and at the same time recognize the long-term risks of an authoritarian model.

Future prospects: opportunities and challenges

The global energy transition is one of the central issues of the 21st century, and China plays a key role in this. The question remains whether the country can achieve its goals without creating new dependencies - be it through the massive need for rare earths or through the ecological and social costs of its large-scale projects.

At the same time, the Chinese energy transition also offers opportunities for cooperation. For example, Germany and other countries could benefit from China's experience in infrastructure development while contributing their own technologies and approaches. A balanced mix of competition and cooperation could be the key to successfully tackling the global challenges of the climate crisis.

State political action instead of eternal emotional debates

China impressively shows how a consistent strategy can accelerate the transition to electromobility. The combination of government support, technological innovation and a clear vision has made the country a global pioneer. In Germany, however, the transition is often slowed down by skepticism and political disagreement. However, China's success could serve as a wake-up call: Anyone who misses the connection to electromobility risks their long-term competitiveness on the global car market.

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