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China's functioning market for sulfur dioxide scrubbing technologies.

¹Industrial Performance Center, Massachusetts Institute of Technology, Cambridge, Massachusetts, 02139, United States. yuanxu@cuhk.edu.hk

Environmental Science & Technology

|October 1, 2011

Summary

China

Area of Science:

Environmental Science
Technology Transfer
Climate Negotiations

Background:

Differing national stances on technology transfer impede climate negotiations.
Developed nations favor market-based solutions and intellectual property rights, while developing nations seek external support and nonmarket approaches.
China, despite aligning with developing nations in negotiations, has largely utilized markets for foreign technology acquisition.

Purpose of the Study:

To systematically examine the emergence of a functioning market for sulfur dioxide (SO(2)) scrubbing technologies in China.
To understand the consumer/licensee perspective in technology transfer, complementing existing studies on suppliers/licensors.
To identify key factors enabling market-based technology acquisition in a major developing economy.

Main Methods:

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Systematic examination of the sulfur dioxide (SO(2)) scrubbing technology market in China.
Utilized first-hand information from author's field interviews.
Focused on the role and perspective of technology consumers/licensees.

Main Results:

A functioning market for SO(2) scrubbing technologies has emerged in China.
The market's emergence was significantly driven by the vast size of the Chinese market for these technologies.
The maturity and available know-how of the technologies were critical contributing factors.

Conclusions:

Market-based technology transfer mechanisms can be effective for large developing countries like China and India.
These mechanisms facilitate the efficient acquisition of mature environmental technologies.
Successful technology acquisition supports rapid economic development while addressing environmental concerns.