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Siemens Energy to deepen collaboration in China

By ZHENG XIN | China Daily | Updated: 2024-11-08 10:47
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Siemens Energy is poised to deepen its commitment to China, expanding collaboration with local partners to support the energy transition in the country and globally, according to Christian Bruch, president and chief executive officer of Siemens Energy AG.

"The Chinese modernization and its energy transition call for higher-level international cooperation and technological innovation, which presents extensive market opportunities for international energy technology companies like Siemens Energy," said Bruch.

"With strong roots in China, we have developed many energy infrastructure projects, continuously invested and expanded our manufacturing capacity in the country, in order to meet the growing market demand in China and across the world."

With China having invested around 39 trillion yuan ($5.44 trillion) in energy infrastructure over the past decade, a substantial investment that has significantly stimulated the development of upstream and downstream industry chains, Bruch emphasized Siemens Energy's intention to contribute even further, with concrete actions to support China's dual carbon goals.

Over the past decades, the company has been stepping up its presence in the country, including 15 manufacturing sites, becoming an important partner in China's energy development and transition.

Bruch highlighted specific partnerships, including a recent project with China's State Power Investment Corp on high-ratio hydrogen co-firing retrofit for gas turbines, marking a milestone in clean energy utilization.

"This collaboration allows us to push the boundaries of hydrogen as a viable energy source, reducing carbon dioxide emissions by over 18,000 metric tons annually," he said.

According to the International Energy Agency's World Energy Investment Report 2024, global energy investment is expected to exceed $3 trillion for the first time in 2024, with about $2 trillion directed toward clean technologies and infrastructure.

Based on a strong home market, Chinese companies have become key players in the global energy market, and global energy transition would be very difficult without China, it said.

Bruch also underscored Siemens Energy's confidence in China's role as a promising market for renewable and low-carbon energy solutions, citing China's ongoing modernization efforts as critical to global energy transformation.

"China's proactive approach to energy transition creates a substantial market for foreign firms specializing in green technology," said Wang Lining, director of the oil market department under the economics and technology research institute of China National Petroleum Corp.

"The government's supportive policies and the country's strong demand for advanced energy solutions make it an attractive environment for companies like Siemens Energy," he said.

"As China progresses in its dual carbon goals, foreign investment in renewable and low-carbon technologies is likely to grow, benefiting both local and global energy ecosystems."

At the ongoing China International Import Expo in Shanghai, Siemens Energy is showcasing its latest decarbonization technologies, from hydrogen-enabled turbines to fully recyclable wind turbine blades.

For Siemens Energy, Bruch said, the annual expo has become an important platform for reinforcing partnerships and demonstrating technologies that can support China's clean energy goals.

"This year's record high participation at the expo highlights China's market attraction and reflects the strong interest of global enterprises. In a time of uncertainty and instability, it is more important than ever to identify the opportunities of global cooperation, especially in the field of energy transition," he said.

Looking ahead, Siemens Energy is also exploring joint opportunities with Chinese companies in third-party markets. Bruch cites the company's capability, innovation and cutting-edge technology, as well as firm confidence to deepen the collaboration.

A recent survey from the China Council for the Promotion of International Trade showed that around 90 percent of foreign firms rate China's business environment as satisfactory.

"The global energy transition is urgent and complex, no country can do it alone and there is no one-size-fits-all solution," said Bruch. Siemens Energy is fully committed to working together to build a new energy ecosystem that supports China's dual carbon goals and fosters sustainable energy development worldwide.

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