China has become the world’s largest emitter of Greenhouse Gases (GHGs), and widespread burning of coal and diesel have caused extreme levels of smog in major cities. Recognizing a need for action, the Chinese government has set an ambitious goal of having 20 per cent of their energy created from renewable sources by 2020. As a result, China has become the global leader in renewable energy investment, spending $56.3 billion in 2013. With that in mind, now is the perfect time for Canadian cleantech companies to start looking seriously at the Chinese market.
To help make some introductions for some of Canada’s small- and medium-sized (SME) cleantech companies to interested Chinese groups, EDC is sponsoring the second annual International Financial Corporation (IFC) Climate Business Forum in Hong Kong. This forum, running on October 28th and 29th, will bring together industry leaders from around the world to highlight climate investment opportunities in key cleantech sectors, including resource efficiency, wind energy, and water sanitation. In attendance will be 11 Canadian cleantech SMEs and nine venture capital funds.
“Cleantech is one of the fastest growing markets in Canada, and it is the industry with the most diversified exports. In 2012 almost half of exports from the industry went to non-US markets,” said Rod Lever, EDC Strategic Account Executive. “China is a market with huge demands that can be met by Canadian industry expertise, and EDC hopes to act as an accelerator to help more Canadian companies penetrate this space.”
Corvus Energy is one of the Canadian companies attending this year’s forum. The company creates alternative power supplies for hybrid and electric propulsion applications which are used in large commercial vehicles such as airplanes, marine vessels, locomotives and transport trucks.
Ultimately for Corvus attendance at the forum is an opportunity to make connections with potential buyers or distributors interested in their advanced lithium ion battery. “Our advanced energy storage technology complements renewal generation very well. We’re looking for Chinese companies that have specific application requirements for energy storage,” says Davenport. “The markets in China are an essential part of our long term growth plans.”
“When you want to enter a new market, it’s tough to know who to reach out to and how to make connections,” says Geoff Davenport, President, International Business, Corvus Energy. “We really rely on EDC and the IFC to introduce us to well-suited partners.”
EDC also has people on the ground in China working to develop strategic relationships and understand market trends.
“At EDC we find business partners with needs that we match with Canadian expertise,” said Denis L’Heureux, EDC Regional Manager for Shanghai. “Events like this are an opportunity for Canadian businesses to make a first contact with a potential customer, and get more exposure to the market.”
With a team dedicated to understanding the cleantech industry, EDC also brings valuable market intelligence and supply-chain matchmaking ability to the table. For more information about solutions EDC can provide entering new market click here.