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Factors influencing the technology upgrading and catch-up of Chinese wind turbine manufacturers: Technology acquisition mechanisms and government policies

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  • Qiu, Yueming
  • Ortolano, Leonard
  • David Wang, Yi

Abstract

This paper uses firm level data for the Chinese wind turbine manufacturing industry from 1998 to 2009 to quantify the effects of technology acquisition mechanisms – purchasing production licenses from foreign manufacturers, joint design with foreign design firms, joint-ventures and domestic R&D – on wind turbine manufacturers' technology levels (as measured by turbine size, in megawatts). It also examines the impacts of government policies on manufacturer technology levels. Technology upgrading (measured by increase of turbine size) and catch-up (measured by decrease in the distance to the world technology frontier in terms of turbine size) are used to measure advances in technology level. Results from econometric modeling studies indicate that firms' technology acquisition mechanisms and degree of business diversification are statistically significant factors in influencing technology upgrading. Similar results were found for the catch-up variable (i.e., distance to the world technology frontier). The influence of government policies is significant for technology upgrading but not catch-up. These and other modeling results are shown to have implications for both policymakers and wind turbine manufacturers.

Suggested Citation

  • Qiu, Yueming & Ortolano, Leonard & David Wang, Yi, 2013. "Factors influencing the technology upgrading and catch-up of Chinese wind turbine manufacturers: Technology acquisition mechanisms and government policies," Energy Policy, Elsevier, vol. 55(C), pages 305-316.
    • Handle: RePEc:eee:enepol:v:55:y:2013:i:c:p:305-316
    DOI: 10.1016/j.enpol.2012.12.012
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    3. Jin, Baoling & Han, Ying & Kou, Po, 2023. "Dynamically evaluating the comprehensive efficiency of technological innovation and low-carbon economy in China's industrial sectors," Socio-Economic Planning Sciences, Elsevier, vol. 86(C).
    4. Dabo Guan & David M. Reiner & Zhu Liu, 2014. "China’s road to a global scientific powerhouse," Cambridge Working Papers in Economics 1447, Faculty of Economics, University of Cambridge.
    5. Dey, Bidit L. & Babu, Mujahid Mohiuddin & Rahman, Mizan & Dora, Manoj & Mishra, Nishikant, 2019. "Technology upgrading through co-creation of value in developing societies: Analysis of the mobile telephone industry in Bangladesh," Technological Forecasting and Social Change, Elsevier, vol. 145(C), pages 413-425.
    6. Syeda Tamkeen Fatima, 2017. "Globalization and technology adoption: evidence from emerging economies," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 26(6), pages 724-758, August.
    7. Wang, Xiaozhen & Zou, Honghui, 2018. "Study on the effect of wind power industry policy types on the innovation performance of different ownership enterprises: Evidence from China," Energy Policy, Elsevier, vol. 122(C), pages 241-252.
    8. Xiong, Jie & Zhao, Shuyan & Meng, Yan & Xu, Lu & Kim, Seong-Young, 2022. "How latecomers catch up to build an energy-saving industry: The case of the Chinese electric vehicle industry 1995–2018," Energy Policy, Elsevier, vol. 161(C).
    9. Yoonhwan Oh & Jungsub Yoon & Jeong-Dong Lee, 2016. "Evolutionary Patterns of Renewable Energy Technology Development in East Asia (1990–2010)," Sustainability, MDPI, vol. 8(8), pages 1-24, July.
    10. Zhao, Zhen-yu & Sun, Guang-zheng & Zuo, Jian & Zillante, George, 2013. "The impact of international forces on the Chinese wind power industry," Renewable and Sustainable Energy Reviews, Elsevier, vol. 24(C), pages 131-141.

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