From lagging to leading? Technological innovation systems in emerging economies and the case of Chinese wind power

Abstract

There is increasing attention for the contribution of emerging economies to global innovation, including innovation of renewable energy technologies. The Technological Innovation Systems (TIS) framework presents a list of system functions for the analysis of the development of a technology. It has often been applied to renewable energy technologies, but with a strong focus on advanced economies. In this paper, we elaborate on emerging economy innovation system formation, structured according to TIS functions. Rather than analysing development of the technology, we analyse the development of the Chinese TIS vis-à-vis the global forefront. Key to this notion is that TIS, especially for clean-tech, are transnational phenomena. Lagging TIS depend on the global TIS, whereas leading TIS contribute to its formation. It is concluded that China has reduced its dependence on foreign knowledge and investment, but the outward contribution remains limited. The main challenge to foreign market expansion lies in reforming the domestic TIS to focus on turbine quality rather than cost reduction. Demonstration projects are needed, especially for large capacity and offshore turbine models, in order to build up operational history and get quality certification. • The TIS framework was adapted to suit emerging economy case studies. • China's wind power TIS is emerging vis-à-vis the global forefront. • China's wind power TIS has reduced its dependence on foreign knowledge and finance. • Chinese innovative activity for wind power remains limited to the domestic context. • Foreign market expansion requires a focus on turbine quality and certification.