China will become a global leader in environmental technology as the sector becomes more globally important, said Frederic Neumann, co-head of Asian Economic Research at HSBC.
“China leapfrogged certain technology, going to the advanced stuff more quickly and that’s a positive product from China’s anti-pollution policy,” Neumann said for Xinhua.
He believes China’s move will put pressure on the renewable energy sector and lead to more efficiency gains and cheaper products.
As the rest of the world is struggling with the after effects of financial crisis China needs to pull though as it is “so large it drives the global economy,” explained Neumann.
As part of an energy reform, China has ordered more than 1,000 coal plants to shut down while it pledged to invest more in renewable energy.