Insights | No Chinese engagement in international supply chains, no green transition: WBCSD Executive Vice President

By Chen Tianhao, Zhao Li

(ECNS) -- "I think what impresses many people who visit China is the scale of innovation. No Chinese engagement in international supply chains, no green transition," said Dominic Waughray, executive vice president of the World Business Council for Sustainable Development (WBCSD), in an interview with China News Network.

The second China International Supply Chain Expo is being held in Beijing from Tuesday to Saturday to promote global collaboration on industrial and supply chains.

During the event, Waughray highlighted China's groundbreaking innovations in clean energy services, battery technologies, and advanced manufacturing, which he believes are pivotal for scaling up low-carbon development in upstream supply chains. These innovations, he said, "are a critical part of the green transition."

As the global economic landscape undergoes profound adjustments, challenges such as increasing tariffs, rising trade barriers, and restricted technology transfers are mounting pressure on multinational corporations.

At the expo, Dominic Barton, chairman of Rio Tinto, noted that "any form of tariff is a barrier." Waughray echoed this sentiment, stating, "If we removed China's contribution to the green transition, it would increase prices by 20 percent. If we want to have a just and equitable transition to green technologies, then cooperation across boundaries is key."

Waughray further emphasized the importance of multilateral frameworks such as the Belt and Road Initiative (BRI), the G20 Summit, and APEC meetings in today’s world. He highlighted examples such as China’s deepening agricultural collaboration with Brazil and ASEAN countries’ efforts to reduce dependence on fossil fuels while building clean energy value chains. These initiatives, he said, are instrumental in achieving the critical goals outlined in the 2030 Agenda for Sustainable Development.

The expo’s opening session saw participants reiterate their commitment to fostering coordinated growth and strengthening partnerships, despite the challenges facing international collaboration, Waughray noted. The BRI holds vast potential for green growth, and China’s technological innovations can play a crucial role in supporting green transitions across emerging markets, he said.

“When we talk about green development and low carbon development, we also talk about poverty reduction and equitable growth,” he added. “We know that the rise in inequality is a big issue around the world, so being able to create innovation across the supply chains in key emerging markets, and the contribution that Chinese technology innovation can play, is critical.”