China’s Electrostate Is Poised to Win From War in the Middle East

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For decades, China has poured hundreds of billions of dollars into green energy, making it a cornerstone of the country’s drive for energy independence. It also blocked foreign companies from competing in large segments of its domestic market, such as manufacturing wind turbines and electric car batteries, to ensure that Chinese companies could grow into giants.

Now the war with Iran has laid bare the risks of reliance on Middle Eastern oil and gas. Countries are realizing that all paths to renewable power run through China and its exporters.

Even if a cease-fire between the United States and Iran helps ease disruptions in the Strait of Hormuz, the shock has already grabbed the attention of governments worldwide. Faced with energy shortages, they are accelerating efforts to upgrade their power grids, bringing them to the doorstep of Chinese companies eager to supply them.

“This is the right time for a shock like the war in Iran to suddenly catalyze even more investment and interest in renewables,” said Cory Combs, an associate director at Trivium China, a research and advisory firm.

Source: Wikipedia