Chinese clean technology exports reached $26 billion in March 2026, a 30% increase from February and 52% higher than the same month a year earlier, according to data compiled by Ember. The surge followed the closure of the Strait of Hormuz after the outbreak of U.S.-Israeli conflict with Iran on February 28, 2026, which disrupted approximately 20% of global crude and liquefied natural gas flows.
Battery exports alone exceeded $10 billion in March, the first time that monthly threshold has been crossed, Ember reported. Solar panel exports rose to $4.8 billion, the highest monthly figure since May 2023 and roughly double the 2025 monthly average. Shares in GCL Energy Technology, one of China's largest solar manufacturers, rose 48% during March alone, according to Reuters.
The scale of the disruption has been significant. Qatar halted LNG production and Saudi Arabia shut its largest oil refinery following Iranian drone strikes, according to the South China Morning Post. Nations across Asia, Europe, and the Middle East have moved to secure alternative energy supply, with Chinese manufacturers — already the dominant global producers — positioned to absorb that demand. China accounts for more than 70% of global electric vehicle production and approximately 85% of battery cell manufacturing, according to the International Energy Agency.
Goldman Sachs, in a report issued since the conflict began, projected that Chinese exports of electric vehicles, batteries, and power-generation equipment are likely to benefit from heightened demand through 2027 and beyond. The bank did not specify the precise magnitude of expected gains.
Beijing has used the crisis to extend its diplomatic reach. China imposed a ban on oil-product exports after the conflict began, giving it leverage over Asian nations reliant on Chinese refineries for jet fuel, gasoline, and diesel. Vietnam sought Beijing's assistance on jet fuel shortages. The Philippines urged China not to restrict fertiliser exports. Australia's foreign minister secured commitments on jet fuel deliveries following talks with Chinese counterparts, though the specific terms of that arrangement have not been disclosed.
Engagement has extended further afield. An Indian business delegation visited China to explore green energy partnerships. Emirati Crown Prince Khaled bin Mohamed bin Zayed Al Nahyan discussed closer energy ties with Beijing. Cuba, operating under what amounts to an effective oil blockade by Washington, has increased its reliance on Chinese solar panels.
China's ability to turn the crisis into a strategic opportunity reflects years of industrial investment. Its five-year plan, which runs to 2030, prioritises electric vehicles, batteries, and renewables. Clean technology exports had already reached $22.3 billion in December 2025, up roughly 47% year-on-year, before the Hormuz disruption added further momentum.
China remains the world's largest importer of crude oil, including Iranian crude, and is itself exposed to the supply disruption. Analysts have noted, however, that accumulated reserves, reduced relative import dependence compared with previous decades, and its clean energy production capacity have cushioned that exposure.
Several material uncertainties remain. The duration and outcome of the U.S.-Iran conflict are unknown, as is whether the Strait of Hormuz closure will be sustained. The specific terms of bilateral energy agreements between China and countries including Australia, Vietnam, and India have not been made public. Analysts and some governments have also flagged the risk that nations seeking to escape dependence on fossil fuel supply chains may find themselves substituting one form of single-supplier reliance for another — in this case, dependence on Chinese manufacturing and export policy. How Washington may respond through trade or sanctions measures to China's expanding clean energy influence is also unclear.
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