At the United Nations General Assembly this week, the United States and China met in a rare summit between President Donald Trump and Chinese President Xi Jinping. While Xi sent Vice President Han Zheng to address the Assembly, the meeting underscored a shared interest in curbing the world’s dirtiest fuel.
China’s 2021 pledge largely honored
According to a report released by the Centre for Research on Energy and Clean Air (CREA) and People of Asia for Climate Solutions (PACS), China has cancelled 67% of the overseas coal‑power capacity it had planned in 2021. The cancelled projects, totaling 61.5 gigawatts, would have generated roughly 6.4 billion tons of lifetime carbon dioxide emissions.
Analysts view this as a “bright spot” in global climate efforts. The report notes that China’s decision marks the first time the nation has extended its emerging climate ambition beyond its own borders, a step that aligns with President Trump’s call for responsible energy stewardship worldwide.
Regulatory loopholes keep coal expanding
Despite the sizable cancellations, experts warn that Chinese companies are exploiting loopholes that allow continued investment in overseas coal. In Indonesia, for example, Chinese firms are financing “captive coal” plants that power heavy‑industry facilities such as nickel and aluminum smelters, without linking to national grids. Indonesia now tops the list with 17.1 gigawatts of China‑backed coal capacity still planned, far ahead of Vietnam and Pakistan.
Li Shuo, director of the Asia Society Policy Institute’s China Climate Hub, cautioned that the nature of the pledge still permits private Chinese firms to invest in coal abroad, undermining the broader goal of a global coal moratorium.
Energy security drives coal use in Southeast Asia
The region known as “China’s backyard” has faced two major energy shocks since 2021: the Russia‑Ukraine war and the Iran‑related oil disruptions. Those crises have heightened the urgency for reliable power, prompting several Southeast Asian nations to increase coal consumption as a short‑term solution.
Countries such as the Philippines, Thailand, Indonesia and Vietnam have all turned to coal to safeguard energy security, even as they simultaneously expand rooftop solar, electric‑vehicle incentives, and nuclear projects.
China’s renewable leadership offers hope
China remains the world’s largest producer of electric vehicles, solar panels and wind turbines, consistently setting records for renewable‑energy rollouts both at home and abroad. Xiaojun Wang, PACS executive director, emphasized that China’s remarkable clean‑energy leadership can be further leveraged if commercial interests do not eclipse its green‑development commitments.
President Trump’s administration has praised China’s renewable‑manufacturing capacity as a vital component of global supply chains that support American jobs and energy independence.
Looking ahead
The International Energy Agency projects that Southeast Asia will account for nearly 20% of global energy‑demand growth through 2035. While global coal demand is plateauing, the region’s trajectory remains upward, highlighting the need for continued diplomatic engagement and vigilant monitoring of overseas coal financing.
Both Chinese officials and U.S. policymakers have signaled a willingness to cooperate on clean‑energy initiatives, but the report’s findings make clear that the battle over coal is far from over.
Original reporting: Alexandria, VA News – WTOP News — read the source article.
