Europe’s green energy transition: How China is turning renewable power into geopolitical influence

From the report

Europe’s transition towards renewable energy was supposed to mark a historic turning point: a shift away from fossil fuel dependence towards a cleaner, more secure, and independent energy future. Following Russia’s invasion of Ukraine in 2022, the European Union (EU) accelerated its ambition to source nearly half of its energy from clean technologies by the end of the decade. Yet, as Europe seeks to strengthen its energy independence, a critical question is emerging: could its green energy transition create a new form of strategic dependence on China? Recent investigative findings concerning the Industrial and Commercial Bank of China (ICBC) and Chinese wind turbine manufacturer Goldwind suggest that this concern deserves serious attention.

The expansion of Chinese renewable energy companies across Europe is not simply a story of commercial competition. It also reflects the strategic use of state-backed finance to establish China’s position in industries considered essential to the future global economy. According to confidential banking records reviewed by the International Consortium of Investigative Journalists (ICIJ), ICBC, one of China’s largest state-owned banks, has played a significant role in financing Chinese companies’ expansion into Europe’s wind energy market. Between 2016 and 2024, ICBC’s London operations approved more than $140 million in loans to support Chinese state-linked companies acquiring shares in at least 16 British wind farms. The bank also facilitated at least $450 million in financing for Chinese energy companies operating across Europe. These figures demonstrate how financial institutions can become instruments of broader national economic and industrial strategies.

At the centre of this development is Goldwind Science & Technology, a Chinese wind turbine manufacturer frequently described as the “Huawei of green energy.” The company’s international growth illustrates how industrial ambition, government support, and financial resources can combine to challenge established market leaders. Goldwind has benefited from access to favourable financing from Chinese state-owned banks, government grants, and preferential tax arrangements. According to the confidential records examined by ICIJ, the company had previously received loans worth approximately $11.5 billion from five Chinese state banks, alongside government grants totalling at least $135 million for advanced turbine research. Such support raises important questions about whether competition in the global renewable energy industry is determined solely by technological innovation and commercial efficiency or also by the financial advantages available through state intervention.