Asia & the Pacific

The geopolitical implications of solar displacing oil as the world’s major source of energy are enormous. Why has the Middle East been a central arena in the “great game” for the past century? Because countries there have been the major suppliers of the oil and gas that powered 20th-century economies. If, over the next decade, photovoltaic cells that capture energy from the sun were to replace a substantial part of the demand for oil and gas, who will the biggest losers be? And even more consequentially: who will be the biggest winner?

Belfer Center experts on the U.S.-China relationship and Middle East issues shared thoughts on the significance of the unexpected Iran-Saudi Arabia agreement brokered by China. 

Capital Choices analyzes the creation of different SWFs from a comparative political economy perspective, arguing that different state-society structures at the sectoral level are the drivers for SWF variation. Juergen Braunstein focuses on the early formation period of SWFs, a critical but little understood area given the high levels of political sensitivity and lack of transparency that surround SWF creation. Braunstein’s novel analytical framework provides practical lessons for the business and finance organizations and policymakers of countries that have created, or are planning to create, SWFs.

In late 2017, Mexico made headlines as Italian company Enel bid what was then a world-record low price for renewable energy in the country’s third such energy auction. This development was possible due to the historical and sweeping energy reforms passed with broad support in Mexico in 2013. Then-President Enrique Peña Nieto had succeeded where previous Mexican presidents had failed, reversing decades of resource nationalism and overhauling the energy sector through constitutional reforms that gave the private sector a larger role and advantaged renewable energy in Mexico’s economy. The 2017 auction seemed to indicate Mexico’s bright future not only as a conventional oil producer, but also as a clean energy power.

Thucydides attributed the war that ripped apart the ancient Greek world to two causes: the rise of Athenian power—and the fear that this created in the established power, Sparta. Joseph Nye advises that in order to prevent a new cold or hot war, the United States and China must avoid exaggerated fears and misperceptions about changing power relations.

This paper focuses on China and the potential role of renewable hydrogen in accelerating its transition to a low-carbon economy. Our research goal is to provide policymakers and other stakeholders the means to make informed decisions on technology innovation, policy instruments, and long-term investments in enabling infrastructure.

As the divergent experiences of the US and South Korea show, testing can be the difference between disease containment and catastrophe. Rather than relying on national governments to ensure the rapid development, production, and deployment of diagnostics during outbreaks, the world needs a global coordinating platform.

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.

On a cool day late last September, half a dozen Chinese engineers walked into a conference room in the heart of Geneva's UN district with a radical idea. They had one hour to persuade delegates from more than 40 countries of their vision: an alternative form of the internet, to replace the technological architecture that has underpinned the web for half a century. 

Whereas today's internet is owned by everyone and no one, they were in the process of building something very different - a new infrastructure that could put power back in the hands of nation states, instead of individuals.

China’s complex relationship with the European Union is symbolised through the events of November 2019. Chinese President Xi Jinping flew to Greece almost as soon as French President Emmanuel Macron concluded his 3-day state visit to China on 6 November. China boasts a successful investment here — the Piraeus harbour of Athens.