On 3rd June, 2024, Chinese Ambassador to Kenya, Dr. Zhou Pingjian's article Attack on global developement, innovation was published on Star. The full text goes as follows:

In recent months, alarm has been raised over China's so-called "overcapacity" in green products, particularly electric vehicles (EVs). This rhetoric, however, is not only misplaced but also potentially dangerous, as it threatens to slow down global development and the adoption of new technologies. Those branding China with overcapacity accusations are displaying a narrow, self-centred view that disregards broader global development interests.

The accusation that China is producing beyond its domestic demand is fundamentally flawed. China's new energy vehicle (NEV) sales reached 9.49 million units in 2023, slightly below the production figure of 9.59 million units. This minor production surplus should not be viewed as overcapacity but as a driver of competition and technological advancement.

According to estimates by the International Energy Agency, global demand for new energy vehicles will reach 45 million units in 2030, more than four times that of 2022. The current production capacity is far from meeting market demand, especially the huge potential demand for new energy products in many developing countries. As an important producer of green products, China's continued production activities are in line with the laws of market economy.

Some people link production capacity with international trade and believe that large product exports mean overcapacity. There is a fallacy here: equating product exports with "overcapacity" is not in line with economic common sense and goes against the development trend of globalisation.

China at the current stage predominantly caters to its domestic market, with NEV exports constituting a small portion of total production—only about 12 per cent in 2023. If this is called “overcapacity”, isn't that a more serious “overcapacity” as 80 per cent of Germany, 50 per cent of Japan and 25 per cent of the United States' cars are exported?

At a time when the world faces climate change and economic stagnation, the burgeoning new energy sector in China holds profound significance for global development. Last year, Chinese-made NEVs were exported to over 180 countries and regions, demonstrating their global appeal.

These vehicles provide a cost-effective option for prospective car owners and meet the surging global demand for eco-friendly transportation solutions. The NEVs China exported in 2023 can reduce carbon emissions by about 2 million tonnes per year.

The development of China's new energy industry not only meets China's own high-quality development needs, but also responds to the needs of various countries to alleviate the energy crisis and respond to climate change, and will make an important contribution to the global green and low-carbon transformation.

Some accuse China of gaining global market share for green products through "unfair practices." The truth is that China's competitiveness stems from early and sustained investment in research and development, leading-edge technology, a vast range of supporting industries, a huge market and rich human resources. These elements combine to create strong competitiveness, not unfair practices.

In the era of globalisation, companies worldwide, including those in China, have the right to compete in the international market through fair competition. This has long been the logic of global trade. Green capacity is not excess globally, and countries capable of producing it should be encouraged, not vilified.

Proponents of the overcapacity narrative are obstructing progress, aiming to curb China's industrial development while preserving their dominance in relevant sectors, particularly the auto market. This narrative is an excuse for green protectionism and a tactic to hinder China's progress.

Leading automakers worldwide have chosen to establish manufacturing plants and research facilities in China, benefiting from its robust competitive environment. The swift expansion of the new energy industry is expected to create jobs and drive growth in related sectors, becoming a new engine for global economic expansion.

For developing countries and emerging markets, China's manufacturing prowess brings opportunities for accelerated development and green transition. Projects like the Chinese-built Al Dhafra PV2 Solar Power Plant in Abu Dhabi enhance energy security, while BYD's factories in Brazil and Uzbekistan, and battery giants SVOLT and EVE's plants in Thailand and Malaysia, bring investment and jobs, helping these countries build green industry ecosystems.

The zero-sum and protectionist mindset will only hinder the popularisation of cost-effective new energy technologies and slow down the global green transition. Given the urgency of the climate crisis, such a stance is detrimental to all. The development of emerging industries can be a positive-sum game.

What the world needs now is more concerted efforts to expand global trade and cooperation, not narrow-minded finger-pointing.