Joint R&D in low-carbon technology development in China: A case study of the wind-turbine manufacturing industry

• Published in: Energy policy 2012-07, Vol.46, p.100-108
• Main Authors: Zhou, Yuanchun, Zhang, Bing, Zou, Ji, Bi, Jun, Wang, Ke
• Format: Article
• Language: English
• Subjects: Air pollution; Applied sciences; business enterprises; Case studies; China; China (People's Republic); Climate change; Collaboration; Economic data; Energy; Energy economics; Energy policy; Environmental policy; Environmentalism; Exact sciences and technology; General, economic and professional studies; Global warming; human resources; Industry; Innovation; Joint R&D; Joint ventures; Low carbon technology; Manufacturing; Markets; Natural energy; Power demand; Profits; profits and margins; R&D; Renewable energy sources; Research & development; Research and development; Studies; Technological change; Technology; Turbines; Wind energy; Wind power; Wind turbine; wind turbines
• ISSN: 0301-4215; 1873-6777
• DOI: 10.1016/j.enpol.2012.03.037

China faces the dual challenges of climate change and increased energy demand. These challenges in turn increase the demand for wind energy development. Along with rapid growth in manufacturing capacity, Chinese companies have aspired to increase their innovation capacity in order to enhance their competitiveness in the market. Joint research and development (R&D) is an attractive path for Chinese companies striving to advance their R&D capacity. This paper examines joint R&D between Chinese wind-turbine manufacturing companies and foreign design firms, assessing the performance of joint R&D activities in China using the structure-conduct-performance (SCP) framework. The study found that joint R&D has improved Chinese companies’ technical capacity, human resources and financial growth. However, the effect on Chinese companies’ innovation capacity is still limited because of unequal technical capacities of the two sides in collaboration, as well as their preference for augmenting profits rather than technical capacity. Current joint R&D mode is only the extension of licensing mode in wind-turbine manufacturing industry. ► Joint R&D is an attractive path for Chinese companies striving to advance R&D capacity. ► We examined the performance of joint R&D in wind-turbine manufacturing industry. ► Joint R&D has improved Chinese companies’ technical capacity. ► The effect of Joint R&D on innovation capacity is still limited.