What Happened
Investment Falls Amid Overcapacity And Policy Changes
Global clean tech manufacturing investment has slowed down significantly, with quarterly investment falling from $70 billion in 2023 to $35 billion in 2025. Despite growing demand for clean technologies, the industry is experiencing oversupply and policy changes, particularly in China and the US. The slowdown is driven by a decline in solar and battery manufacturing investment, with European investment remaining relatively stable. According to a report by Bruegel, the slowdown may be a cause for concern, especially in the US, where policy changes have led to a sharp decline in battery manufacturing investment. The report suggests that the EU’s commitment to its climate targets and the introduction of the Net-Zero Industry Act may support clean tech investment in the region.