🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

US discussed 'overcapacity' in Chinese solar manufacturing, coal in climate talks

Published 05/10/2024, 02:24 PM
Updated 05/10/2024, 03:15 PM
© Reuters. FILE PHOTO: John Podesta, the White House senior adviser for clean energy, delivers a speech during the CERAWeek energy conference in Houston, Texas, U.S., March 6, 2023.  REUTERS/Callaghan O'Hare/File Photo

By Valerie Volcovici

WASHINGTON (Reuters) - The United States and China discussed Chinese overcapacity in solar and battery manufacturing, steel production and coal power during two days of bilateral meetings on climate change, senior State Department officials said on Friday.

Top U.S. climate change diplomat John Podesta met Chinese counterpart Liu Zhenmin for their first formal bilateral meetings on May 8 and 9 in Washington, where they discussed how to work together ahead of the COP29 climate summit in Azerbaijan, as well as how to cooperate on methane reduction and deforestation, among other issues.

A senior State Department official said during the meetings, the U.S. made clear that China's flooding of global markets with cheap solar panels and coal undercuts clean energy manufacturing in other countries.

WHY IT’S IMPORTANT

Liu's U.S. visit came as solar companies filed new trade petitions, asking the Biden administration to levy penalties on solar components from Chinese factories in four southeast Asian countries, citing unfair competition.

The United States is also reportedly weighing setting tariffs on Chinese electric vehicles.

Liu has warned of U.S. trade protectionism in recent public speeches.

"The countercurrents of protectionism and unilateralism have further extended the climate change governance gap," he said in a speech in China in April, adding that constraints on Chinese solar panels and other technology would increase global costs of the clean energy transition.  

CONTEXT

This was the first formal meeting between the world's two biggest greenhouse gas emitters since the COP28 summit ended in Dubai in December.

The meeting was also the first glimpse of the tone of the bilateral relationship on climate between the new envoys. Their predecessors, former Secretary of State John Kerry and Chinese climate envoy Xie Zhenhua, had always been friendly, even during times of broader political tensions.

The two had played a key role in brokering the final outcome at COP28, agreeing to bilateral language that paved the way for broad acceptance of an agreement by all countries to transition away from fossil fuels.

Another senior State Department official said that the tone of the talks continued to be cordial and said the two delegations met for dinner at Podesta's home on Wednesday.

WHAT'S NEXT

© Reuters. FILE PHOTO: John Podesta, the White House senior adviser for clean energy, delivers a speech during the CERAWeek energy conference in Houston, Texas, U.S., March 6, 2023.  REUTERS/Callaghan O'Hare/File Photo

The two countries made a strong commitment to complete their new national climate strategies under the Paris Agreement by February 2025 and adopt measures that are aligned with the goal included in the Paris Agreement to hold global warming to within 1.5 C above pre-industrial temperatures.

The two countries said they would host a high-level meeting on sub-national cooperation on May 29-30 in California and would host a joint summit on methane and other non-CO2 gases at COP29.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.