For more than ten years, Xi Jinping has been leading a profound change in the Chinese economy around a central objective: making the country energy secure. Under his leadership, China launched a veritable revolution in renewable energies – wind, solar, hydroelectricity – while drilling further into its onshore oil deposits and offshore and by multiplying supply agreements, in order to reduce its dependence on imports and protect itself from external shocks.
The historic oil crisis triggered by the war waged by the United States and Israel against Iran today constitutes the most severe test of this strategy of quasi-self-sufficiency. However, while many Asian countries struggle to supply themselves with fuel, China – the world’s largest importer of energy – relies on ample oil reserves, an industry largely powered by domestic energy and an increasingly electrified automobile fleet.
For Erica Downs, researcher at the Center on Global Energy Policy at Columbia University, interviewed by CNN, this capacity for resistance “is in some way a justification for everything they have done to strengthen energy security”.
Since becoming a net importer of energy in the early 1990s, China has viewed its dependence on the Middle East as a major vulnerability. Its leaders have long feared the narrow straits, like that of Malacca, through which its energy flows pass, seeing them as potential choke points in the event of conflict. To reduce this risk, Beijing has invested in expensive onshore oil and gas pipelines from Central Asia, Russia and Burma, while diversifying its suppliers – Russia is now in the lead for oil since the invasion of Ukraine.
Where Xi Jinping’s predecessors focused mainly on the diversification of oil and gas sources, the latter wants to go further in his quest for autonomy. Its oft-repeated guiding principle is that China must “stick to a worst-case scenario thought” and prioritize national security in an environment deemed increasingly hostile and unstable. In this context, Beijing has amplified an already emerging dynamic by massively strengthening renewable energies and reducing the use of fossil fuels.
Colossal efforts… and contradictions
On the ground, this translates into giant solar and wind farms which are being deployed at high speed in the plateaus of the interior of the country and along the coasts. Chinese factories now produce cheap batteries, allowing electric cars to gradually replace gasoline models on the roads, especially as China dominates supply chains for critical materials. At the same time, the country, which already concentrates around a third of the world’s hydroelectric capacity, is launching new dams in the mountainous West and investing in disruptive technologies such as nuclear fusion or “green” hydrogen.
This rise in power does not erase the contradictions: the abundant coal deposits in the north continue to fuel power plants and serve as a safety net, reminding us that the world’s leading carbon emitter has not turned the page on fossil fuels. While the industry runs largely on electricity from renewables and coal, state energy giants continue exploration in deserts and the seabed, while building up stocks of crude oil sufficient to last for several months. According to Chinese analysts, the country only imports around 15% of its total energy, even if it still depends on foreigners for almost 70% of its oil and 40% of its natural gas.
The surge in fuel prices has not remained without effects: rise in kerosene, more expensive plane tickets, even canceled flights, increase in transport costs and raw materials which has repercussions on prices at the factory gate. Planners had to intervene to cushion increases in gasoline and diesel prices, and Beijing reportedly allowed state refiners to draw on commercial reserves, according to reports in the trade press. Finally, the Chinese economy, very focused on manufacturing exports, remains dependent on solid external demand while domestic consumption remains sluggish.
An undeniable technological advance
Despite these fragilities, China appears significantly more isolated from the turbulence of the global oil market than many of its neighbors, while displaying robust growth in the first quarter of 2026. Xi Jinping and his entourage see this as confirmation of their strategy: China is now, by far, the world leader in renewable energies, exploiting the equivalent of three times the wind and solar capacity of the United States and India combined.
The closure of the Strait of Hormuz by Iran in early March, however, highlighted the extent of Chinese exposure: around 38% of the oil and 23% of the liquefied natural gas that usually transit through this passage are destined for its ports, which represents almost half of its crude imports and a sixth of its gas.
It is precisely this level of dependence that makes the country’s resilience all the more striking and accentuates the contrast with the United States, described by some as a “petro-state” as its model remains centered on fossils. Beijing, for its part, is putting forward a trajectory of electrification of its economy and is doing everything to present itself as a responsible and visionary actor.
The other powers are beginning to take stock of this shift. In the first quarter of 2026, Chinese exports of “green” technologies soared: electric vehicles, lithium batteries and wind energy equipment jumped 78%, 50% and 45% respectively year-on-year, according to official data.
