Chinese Cleantech Firms Opening Shop in US. Smart

Wednesday, November 18, 2009 8:53
Posted in category Greener Companies

With last week’s congressional fireworks display over the fact that a Chinese firm was going to be receiving TARP money to install the largest wind farm in Texas, and be reaping the majority of the jobs in the deal, it should come as no surprise that Chinese firms are now announcing investments in the US.

Chinese wind turbine firm plans U.S. plant

China’s A-Power Energy Generation Systems has signed a cooperation agreement with equity firm U.S. Renewable Energy Group (US-REG) to build a plant in the United States to supply wind energy turbines to renewable energy projects in North and South America.

The joint announcement in Washington late on Monday came three weeks after A-Power said it planned a $1.5 billion wind farm project in West Texas along with U.S. companies

Suntech to Create 30MW PV Module Plant in the US

Suntech Power Holdings Co., Ltd. yesterday announced that it would set up a 30MW photovoltaic (PV) module plant in Phoenix, Arizona, the US, becoming the first Chinese solar cell maker that owns the US-based factory.[...]The to-be-built PV module plant is featured with an annual production capacity of 30MW, accounting for 3% of Suntech’s total

Which puts them in a perfect position to service the market:

Arizona expects that 15% of its total energy consumption can come from the new energy by 2025, said an insiders at the New York-listed company, adding that another reason for Suntech’s decision to build a factory here is a relatively good R&D center in the state.

Looks like water has followed the path of least resistance again, and once these plants are open I predict interesting days. Given the U.S.’s history of using trade to its advantage, and some of the low cost border options that they have developed to reduce their C.O.G.S, it will be interesting to see how Chinese firms leverage their China based operations to attain cost efficiencies

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