{"id":36034,"date":"2026-08-14T06:41:28","date_gmt":"2026-08-14T06:41:28","guid":{"rendered":"https:\/\/gsrra.com\/?p=36034"},"modified":"2026-08-14T06:41:28","modified_gmt":"2026-08-14T06:41:28","slug":"learning-from-chinas-economic-philosophy-and-policy-iii","status":"publish","type":"post","link":"https:\/\/gsrra.com\/?p=36034","title":{"rendered":"Learning from China\u2019s economic philosophy and policy \u2014 III"},"content":{"rendered":"\n

<\/a>Highlighting the immense strides made by China in green energy, former US Treasury Secretary<\/strong> Hank Paulson, while talking to Bloomberg in a programme titled \u2018What China understands about AI and energy that the US doesn\u2019t \u2019, pointed out China\u2019s significant rise in green energy, saying that \u2018\u2026[China] are investing big time in renewables and solar and wind. They have more renewables than Europe, the U.K., and the U.S. combined. They\u2019re going to have half their energy from renewables.\u2019<\/strong><\/p>\n\n\n\n

In the same programme, Nick Burns, who is a former US ambassador to China, indicated China\u2019s tremendous progression towards green technologies, including electric vehicles, pointing out the following: \u2018The degree to which China is building transmission lines all across the country. \u2026It\u2019s staggering the degree to which they\u2019re now controlling the global supply chain in electric vehicles [EVs], in lithium batteries, in solar panels, and wind power. They are world leaders in this\u2026\u2019<\/p>\n\n\n\n

READ MORE: Learning from China\u2019s economic philosophy and policy \u2014 II<\/a><\/strong><\/p>\n\n\n\n

Moreover, the same Bloomberg programme host indicated that \u2018Over the next five years, China plans to add more than 3.4 terawatts of energy generation capacity.\u2019 The programme also interviewed Elizabeth Economy, who is a \u2018China policy expert and senior fellow at the Hoover Institution.\u2019 She pointed out about China\u2019s huge leap towards adopting green energy, as follows: \u2018They\u2019ve been developing their electric grid at an extraordinary rate. \u2026It has more power generation capacity in clean energy than it does in fossil fuel energy. \u2026they have spent a lot of time over the past several years investing very heavily in renewables. You know, last year, a trillion dollars in renewable investments. And as a result, they\u2019ve seen their exports of EVs skyrocket: an 80 percent increase in 2025, 40 percent for battery exports, 20 percent for solar panels. \u2026One five-year plan after another, renewables have been part of the Chinese plan.\u2019<\/p>\n\n\n\n

It, therefore, makes a lot of sense that Pakistan must tackle its climate change- and energy concerns in a significant way by partnering with China in shifting as quickly as possible towards green energy; with likely positive impacts of the green economy for not just environment and health outcomes but also in terms of economic growth, macroeconomic stability, including enhancing foreign exchange reserves by cutting on the cost of externalities and imports, along with enhancing production capacities of EVs and solar panels. It is long overdue that such expanded partnership should have been forged, which requires a mission-oriented role of policy, including putting in place purpose-driven industrial policy, including first fixing the underlying pricing mechanism, and seeing a more meaningful role of government \u2013 on the non-neoliberal, non-austerity economic philosophical underpinnings adopted by China \u2013 resulting in overall improving the economic environment in terms of economic institutional quality, underlying organizations, and markets.<\/p>\n\n\n\n

READ MORE: Learning from China\u2019s economic philosophy and policy \u2013 I<\/a><\/strong><\/p>\n\n\n\n

This is needed to overall become much more conducive to much-needed better facilitation of investment, relocation of Chinese factories where possible, and taking advantage of technical assistance, and overall partnerships with, for example, e-commerce giants like \u2018Alibaba\u2019 in a much more effective way.<\/p>\n\n\n\n

In addition, AI requires a lot of energy, and apart from the fact that clean energy is needed anyways to rein in climate change crisis, fossil fuel-based energy systems take longer time to build and, in the long run, are highly costly and prone to shocks like the ongoing Middle East (ME) conflict, creating oil supply shock, which is a significant source of electricity, for instance, for Pakistan.<\/p>\n\n\n\n

\n

Hence, it makes a lot of sense for Pakistan to forge deep partnerships with China to fast-track its shift toward green energy. This is especially true given that Pakistan is a top-ten climate-vulnerable country, suffers from severe smog with PM2.5 levels far above safe health standards, and faces a huge fiscal and productivity drag from expensive electricity.<\/p>\n<\/blockquote>\n\n\n\n

Highlighting the phenomenal progress made by China in terms of shifting to green energy and, in turn, propelled its energy production by a significant proportion, which is reaping benefits to the overall economy, including immensely supporting AI energy needs, the same Bloomberg programme pointed out: \u2018Though China\u2019s push into renewables may not have been intended for AI, that\u2019s where it could matter the most. \u2026China increasingly dominates, accounting for roughly 80 percent of global technology production in solar, and battery technology and more than 70 percent in wind.\u2019<\/p>\n\n\n\n

Moreover, in the same Bloomberg programme, Elizabeth Economy furthermore indicated, \u2018\u2026China\u2019s exports were worth 76 billion dollars last year\u2026\u2019 Moreover, she underlined the point about the greater role played by the government, as is done in China, unlike the lesser role being played by the US, for instance, in addition to the role played by the private sector.<\/p>\n\n\n\n

Non-neoliberal and non-austerity economic philosophies are being rewarded through a rapid shift toward green energy. This once again highlights that countries in general, including Pakistan, should learn from China\u2019s example in this regard rather than following the neoliberal\/austerity economic model. So, in the same Bloomberg programme when Elizabeth Economy was asked \u2018Can the government giving subsidies or tax breaks, incentives on renewables, is it possible the market will take over and say it\u2019s just cheaper to get energy from some of the renewables?\u2019 she replied: \u2018Well, I think there\u2019s always a hurdle, right, when you\u2019re introducing a new technology that\u2026 it has to\u2026 get over. And that is where the government subsidies, or incentives, you know, can play an important role. I mean, we see that now with rare earths. \u2026you\u2019re going to have to invest. You\u2019re going to have to have a secure market, you know, for the new investment, for the new technology that you\u2019re developing. Right? Because you have to get it over the hurdle, from the innovation to the manufacturing to the\u2026 deployment, and export. And I think that\u2019s the\u2026 full lifecycle of new technologies that China has created its playbook.\u2019<\/p>\n\n\n\n

Here, it needs to be stated that China employs the use of mirrors in open spaces, like deserts, to produce a significant amount of energy. A June 3, \u2018ABC News\u2019 electronic media report, \u2018China\u2019s investment in renewable energy pays off,\u2019 pointed out in this regard the following: \u2018This is China\u2019s north-western Gansu province. For centuries, a harsh, unforgiving sun scorched\u2026 Once a punishing burden, today those blinding rays fuel rows of solar panels stretching to the horizon. A shimmering sea of glass and steel that is fast becoming one of Beijing\u2019s most powerful buffers against global energy shocks. China is really making the most of this arid landscape. These solar panels, they stretch out for miles. You can see why this is known as China\u2019s green power bank. \u2026This is China\u2019s first major solar thermal plant just outside of the desert oasis town of Don Huang. So proud of its milestone, it is now open to tourists. \u2026A gigantic thermal power plant rising out of the desert. These massive structures use mirrors to concentrate sunlight onto central towers, producing heat that can be stored and converted into electricity around the clock.\u2019 It indeed makes a lot of sense, both in terms of the economy\u2019s green transition and huge energy needs, including those for advancing in the field of AI, that Pakistan should also build these solar thermal plants, which can be housed in huge spaces of arid land and deserts that the country possesses.<\/p>\n\n\n\n

For decades, rather than relying solely on new technologies, China has used a greater role for government and public investments to steer its economy. This state direction has helped maintain price predictability, boost productivity, and improve competitiveness across all sectors\u2014from agriculture and traditional industry to high-tech fields and cleaner energy\u2014as the country has progressed economically.<\/p>\n\n\n\n

Reference Link:- https:\/\/www.brecorder.com\/news\/40434743<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Highlighting the immense strides made by China in green energy, former US Treasury Secretary Hank Paulson, while talking to Bloomberg in a programme titled \u2018What China understands about AI and energy that the US doesn\u2019t \u2019, pointed out China\u2019s significant rise in green energy, saying that \u2018\u2026[China] are investing big time in renewables and solar […]<\/p>\n","protected":false},"author":1,"featured_media":28560,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"aside","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[2],"tags":[2307,24308,33461,33462,483,30710],"class_list":["post-36034","post","type-post","status-publish","format-aside","has-post-thumbnail","hentry","category-sample-category","tag-china-3","tag-china-pakistan-2","tag-economic-philosphy","tag-learning-2","tag-pakistan-2","tag-policy","post_format-post-format-aside"],"jetpack_publicize_connections":[],"_links":{"self":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts\/36034","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=36034"}],"version-history":[{"count":1,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts\/36034\/revisions"}],"predecessor-version":[{"id":36035,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts\/36034\/revisions\/36035"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/media\/28560"}],"wp:attachment":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=36034"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=36034"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=36034"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}