Work

Global energy transition in an ageing World: The strategic role of Chinese renewable energy products

Year: 2025

Type: article

Abstract: The world's ageing population and the energy transition (ET) the shift from fossil fuels to cleaner, sustainable energy sources are two interconnected but distinct global challenges. A significant portion of the growing global demand for ET solutions is met by renewable energy products (REPs), largely exported by China. Electricity generation is evaluated through an Auto-Regressive Distributed Lag (ARDL) model that captures short- and long-term dynamics in 35 host nations between 2002 and 2024, while considering demographic ageing. Results show that in the short term, Chinese REP exports lead to an estimated 7.5 % reduction in host countries' ET R&D investments due to substitution effects. However, in the long term, these exports stimulate a 15 % increase in R&D as they complement domestic innovation efforts. Furthermore, the interaction between REP imports and ageing populations reveals a −0.20 long-run coefficient, indicating that older populations may rely more on imports than domestic innovation. Policymakers should consider easing REP import restrictions to facilitate long-term R&D growth, especially in ageing societies facing rising energy needs.

Source: Case Studies in Thermal Engineering

DOI: 10.1016/j.csite.2025.106791

Authors: Chao Ding, Jingyuan Ren

Institutions: Beihang University, UNSW Sydney

Language: English

Topic: Energy, Environment, Economic Growth

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Industry, innovation and infrastructure, Affordable and clean energy, Climate action

Open Access status: gold

Estimated APC paid: $1,620