Turkey and China Agree on About $15 Billion in Clean Energy Investments
Key Facts
Turkey and China signed a renewable energy cooperation memorandum that includes expected investments of about $15 billion on the sidelines of the COP31 conference in Antalya, Bloomberg HT reported. Turkish Energy Minister Alparslan Bayraktar said the plan includes developing solar and wind power plants with a total capacity of 7,000 megawatts. The memorandum also includes new energy storage systems and electricity transmission infrastructure with a capacity of 4,000 megawatts. The plans thus combine increased renewable generation with expanding the infrastructure needed to absorb and transmit it. The announced investment value provides a broad framework for cooperation, while the stated capacities remain targets of the memorandum.
Bayraktar described the agreement as part of Turkey's National Energy Vision for 2040, saying it would strengthen energy supply security and accelerate the green transition. The addition of storage is significant in the context of a plan that combines solar and wind plants with transmission networks. The minister said the cooperation aims to transfer technology and produce wind turbine equipment in Turkey. This approach places local manufacturing alongside electricity generation and infrastructure projects within the partnership. The details provided in the announcement did not specify project timelines or how the investment would be allocated among its components.
The plans come at a time when coal is Turkey's largest single source of electricity, accounting for 33% of generation in the previous year, while solar and wind accounted for nearly 23%, according to an Associated Press report ahead of the summit. The International Energy Agency estimated that renewable energy sources supplied 43% of Turkey's electricity in 2025, and that the national plan expects their share to rise to 55% by 2035. These figures provide context for the memorandum's generation, storage and transmission targets. Bayraktar also said the national plan aims to cut emissions by 40% and raise the level of electrification to 36% by 2040. The government is thus linking the expansion of clean energy with supply security and the green transition.
Turkey's electricity system is facing rising demand; the International Energy Agency reported that demand increased by an average of about 5% a year between 2005 and 2024. The country's energy plans include adding 7.5 gigawatts of battery storage capacity by 2035, according to the agency. The storage systems outlined in the Turkish-Chinese cooperation memorandum form part of a broader expansion landscape, but published information does not specify their connection to national battery targets or how much they would contribute to them. In a separate estimate cited by the Associated Press, Turkey's energy transition will require $500 billion in investment over 13 years, including about $210 billion from public-sector companies. The memorandum's value therefore represents part of broader financing needs, not the total investment required for the transition.
On the economic front, Turkish industrial production rose 2.6% year on year and 2.1% month on month in September 2026, according to the Turkish Statistical Institute. The next industrial production data are scheduled for release on December 10, 2026. In China, the trade surplus narrowed to $105.3 billion in October from $133.5 billion in September as imports accelerated, the Associated Press reported. Chinese exports rose 35.2% year on year in October, while imports increased 41.6%. China's trade surplus totaled $1.04 trillion in the period from January to October 2026.
The COP31 conference in Antalya runs through November 20, 2026, according to the schedule of the United Nations Framework Convention on Climate Change. The next step that will determine the memorandum's course is turning the investment value and announced targets into financing, contracts and specific projects, according to the details announced by the Turkish side. The published targets include solar and wind plants, storage systems and electricity transmission infrastructure, alongside technology transfer and local production of turbine equipment. The published information did not provide an implementation timeline or details on financing stages. The summit's continuation through its closing date leaves room for further announcements related to climate cooperation, though no additional details about this memorandum have been announced in the available information.