US and EU Outflanked by Asian Rivals on Green Economy

EurActiv (11/2) – Europe's stimulus spending on greening the economy is dwarfed by China's investment, with some EU countries diverting less than 2% of national recovery plans into sustainable industries. The disparity has sparked fears that 'green jobs' will migrate to Asia. Figures from banking giant HSBC show the percentage of EU spending directed towards green measures is less than 10%. This looks paltry when compared with South Korea, for example, which has earmarked 80% of stimulus spending for greening the economy. Others are also racing ahead, including Australia with 40%, China with 34%, and Japan with 15%.

[While Europe] is comparable to US spending of around $80 billion, it falls well short of the €150 billion invested by China…A separate report commissioned by the UN's Green Economy Initiative calls on high-income OECD countries to spend at least 1% of GDP on reducing carbon dependency. Most EU nations currently fall well short of this target.