China Surges in Coal Power Expansion Despite Renewable Growth

In the first half of 2025, China significantly expanded its coal power capacity, adding 21 gigawatts, the highest increase since 2016. According to a report from the Center for Research on Energy and Clean Air (CREA) and Global Energy Monitor (GEM), this move comes despite the country's vast renewable resources, marking a substantial reliance on coal. By the end of the year, China is expected to surpass 80 gigawatts in new coal capacity.

While coal continues to contribute to about half of China's energy production, this is a reduction from the 75% it accounted for in 2016. Interestingly, during the same period, China's renewable energy capacity also saw a remarkable boost, with solar power alone growing by 212 gigawatts in the first half of 2025.

China’s influence extends beyond its borders, particularly in Kazakhstan's renewable energy sector. A 2024 analysis by Kursiv Research highlighted an increasing number of projects led by Chinese investors. These ventures are shifting from technology supply roles to leading independent developments in Kazakhstan.

China also plans to construct two nuclear power plants in Kazakhstan, with China National Nuclear Corporation (CNNC) taking charge as the main contractor. This expansion reflects China's broader strategy to engage in low-carbon energy projects across the region.

Meanwhile, China's coal ambitions continue. In early 2025, China Energy, the largest global coal producer, began assessing coal mining sites in Kazakhstan for potential development. European interest in Kazakh coal has also risen, driven by recent spikes in local thermal coal prices due to increased electricity demand during hot weather.