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Fuelling a Green Transition

China’s rise as an EV powerhouse is reshaping the global automotive landscape, opening up new opportunities for developing nations like those in Africa while contributing to global environmental goals and technological progress.

The 29th session of the Conference of the Parties to the UN Framework Convention on Climate Change recently concluded in Baku, Azerbaijan, witnessing two weeks of intense debates among delegates from world countries on how best to save the planet. The conference discussed topics such as climate finance, adaptation measures, and the strategies to support communities hardest hit by climate change.

As expected, the gap in emissions between developed and developing countries was at the heart of the discussions in Azerbaijan. Calls for equity, technology transfer, and financial assistance to support sustainable growth in developing nations were repeated.?

Carbon emission levels differ significantly between developed and developing countries, influenced by industrialisation, energy consumption, and economic development. Developed countries, like the US, Canada, EU nations, Japan, and Australia, have historically contributed the most to cumulative global carbon emissions. Their economies rely on energy-intensive industries, extensive transportation networks, and high consumption levels, leading to higher per-capita emissions.

Developing nations, including South Africa, China, India, Brazil, and much of Sub-Saharan African countries, typically have lower per capita emissions. These nations also face pressure to grow their economies, which requires increased fossil fuel use, leading to increased carbon emissions. Balancing economic growth with climate goals remains a significant challenge for these countries, many of which advocate for climate finance and support from developed countries to aid in green technology adoption.

Clean transportation?

In reality, though, the Global South countries have been cooperating to curb climate change through green development and utilisation of renewable energy. Look at the growing cooperation between China and Africa in electric vehicle (EV) production, one can say that this is one of the best ways of cutting carbon emissions.

China is the global leader in EV production, accounting for more than a half of all EVs sold globally. China’s EV industry has experienced rapid growth due to significant government support, a robust domestic market, and a well-established supply chain. As a result, Chinese EV brands like BYD, NIO, and XPeng have gained substantial sales, with competitive prices and technology that increasingly rivals Western automakers.

An aerial drone photo taken on Jan. 23, 2024 shows vehicles to be exported and SAIC Anji Sincerity ro-ro ship at Dongdu port area in Xiamen, southeast China’s Fujian Province. (Photo/Xinhua)

China’s large-scale manufacturing allows it to produce EVs at a lower cost, making them more affordable globally. As Chinese EV makers expand to markets outside China, including Africa, they offer competitively priced EV options. This helps to improve access to EVs in emerging markets that may have previously been unable to afford them.

Africa has vast mineral resources, including critical materials for the EV industry, like lithium and copper. These materials are essential for battery production and EV components. Some African countries, notably the Democratic Republic of the Congo (DRC) and Zimbabwe, are particularly important sources of these materials for EV manufacturing.

The DRC is the world’s largest cobalt producer, accounting for nearly 70 percent of the global supply. Cobalt is a crucial component in lithium-ion batteries, used to increase battery stability and longevity. Zambia, one of Africa’s leading copper producers, provides a significant share of the copper used in global EV production. Due to its high conductivity, copper is used extensively in EV motors, batteries, wiring, and charging infrastructure.?

Through international cooperation in EV production, these metals can be processed locally, thus increasing their value addition. This can better increase local economies compared with just exporting raw materials.?

By increasing global EV availability, China contributes to reducing greenhouse gas emissions and dependency on fossil fuels. EVs emit much less carbon dioxide compared with traditional vehicles, even when charged on fossil fuel-powered grids. In regions of Africa facing severe air pollution, especially in urban areas, EVs present a cleaner alternative.

China’s experience integrating EVs with renewable energy sources, such as solar and wind, offers a valuable model for African countries investing in renewable energy. Integrating EVs with renewable energy can improve energy security and promote sustainable economic development.

For Africa, affordable Chinese EVs can provide a path towards cleaner transportation solutions. Some Chinese companies have already established assembly plants or partnerships in African countries.

A worker assembles an electric minibus at a factory in Addis Ababa, capital of Ethiopia, Mar. 6, 2024. (Photo/Xinhua)

Chinese investments

Chinese investments in African nations have also led to infrastructure improvements and increased employment, particularly in countries with abundant natural resources like lithium, cobalt, and nickel, which are essential for battery production.

Moreover, it is a win-win situation consistent with a deal reached by Chinese and African leaders at the recently held Beijing Summit of the Forum on China-Africa Cooperation. Chinese and African leaders committed to enhanced trade and economic partnerships, announcing substantial investments focused on infrastructure, green energy, and trade.?

China pledged $50 billion in financial support over the next three years, including credit lines and assistance, and $10 billion specifically to encourage Chinese investment in African industries like pharmaceuticals, agriculture, and mineral processing.?

These commitments are designed to promote local production, embed African countries into the global supply chains, and support Africa’s transition to renewable energy through 30 planned green projects. One of the summit’s key trade outcomes was China’s commitment to increase imports from Africa, especially agricultural products, via initiatives that streamline agrarian exports.?

It’s not hard to see why the China-Africa EV production partnership is one of the best methods for curbing emissions. China is a global leader in EV technology and production. African countries boast abundant resources like lithium and copper, widely used to produce EVs. China-Africa’s EV production cooperation has a bright future through technology transfer that can benefit local people.

Such a partnership could go a long way in fighting global warming, which continues to inflict untold human and economic costs worldwide.?

China’s rise as an EV powerhouse is reshaping the global automotive landscape, opening up new opportunities for developing nations like those in Africa while contributing to global environmental goals and technological progress.

 

The author is?Editor in Chief of?African Times, Johannesburg, South Africa.

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