New quality productive forces drive development of China’s new energy industry

In the first quarter of 2024, China’s GDP grew by 5.3% year-on-year, marking a promising start. During this period, 12,000 new foreign-invested enterprises were established, reflecting a 20.7% year-on-year increase and a 41.7% month-on-month rise. Foreign trade maintained its strong momentum, with the total value of imports and exports reaching 10.17 trillion yuan. This marked the first time that the quarterly trade value exceeded 10 trillion yuan, representing a 5% year-on-year increase and contributing significantly to global economic growth.

The exports of “new trio” of electric passenger cars, lithium batteries, and solar cells saw nearly 30% growth in 2023. In the first quarter of 2024, their total export value reached 264.69 billion yuan, up 66.9% year-on-year. From the “old trio” of clothing, furniture, and home appliances to the “new trio”, the shift of China’s export aligns with the global trend towards increased demand for new energy and high-tech products. It also reflects China’s commitment to high-quality manufacturing and its emerging leadership in new quality productive forces on the international stage.

The concept of new quality productive forces was first introduced by Chinese President Xi Jinping in September 2023. The new quality productive is driven by scientific and technological innovation, departing from traditional growth paths to meet the demands of high-quality development. It integrates advancements in the digital age, emphasising innovation, high quality, and advanced productivity.

In recent years, unilateralism and protectionism have risen, creating complex global economic challenges. Economic globalisation has faced setbacks, and the global industrial chain has undergone significant adjustments. In response, China aims to build a modern industrial system to promote high-quality development. Despite having a vast and diverse industrial system, China recognises the need to enhance its overall development level. Accelerating the development of strategic emerging industries and future industries, addressing weaknesses, extending strengths, and seizing the commanding heights of future industrial competition are crucial steps. The concept of new quality productive underscores the importance of industrial innovation through technological advancements and industrial upgrading.

Green development is integral to high-quality development, and new quality productivity inherently promotes green productivity. Climate change is a global challenge, and developing new energy industries and achieving green, low-carbon transformation is a common goal all over the world. China’s new energy industry has developed significant comparative advantages, supported by a robust production and supply chain, substantial market demand, continuous technological innovation, and intense market competition.

In 2023, global renewable energy installed capacity increased by 510 million kilowatts, with China contributing more than half. This significant contribution underscores China’s role in the growth of global renewable energy power generation. China’s wind power and photovoltaic products are now exported to over 200 countries and regions, aiding developing nations in accessing clean, reliable, and affordable energy.

As President Xi Jinping highlighted at the recent trilateral meeting between the leaders of China, France, and the EU, China’s new energy industry has honed its skills through open competition, representing advanced production capacity. This progress has enriched global supply, eased inflationary pressures, and significantly contributed to global efforts to combat climate change and promote green transformation. The rapid development of China’s new energy industry aligns with global economic needs for green transformation. China is ready to collaborate with all countries, including Sri Lanka, to share opportunities and contribute to building a clean and beautiful world.