Palo Alto, CA (Vocus) November 15, 2010
Palo Alto, Calif. - China’s rapidly growing population and energy needs, coupled with its government-supported growth in the global renewable energy market, pose both an opportunity and a threat for U.S. clean energy and technology companies, according to a recent survey of industry leaders conducted by law firm Cooley LLP.
Nearly 90 percent of the 126 respondents believe that China’s support of clean energy and technology ventures will have a significant impact on U.S. clean tech companies and investors. However, attitudes towards China were split: 53 percent believe the market opportunity in China trumps the challenges it presents in terms of increased competition, while 47 percent believe competition from China outweighs the opportunity for potential market growth.
Although many consider China a threat, only 10 percent of respondents listed international competition as the greatest challenge they face. For 68 percent, financing remains by far the largest area of concern.
Despite the probability of increased competition from China, U.S. clean energy and technology companies see nearly equal opportunity for domestic and international growth. When asked where they believe the potential for market and sales growth is greater, 51 percent said domestically (U.S.) and 49 percent said internationally.
Respondents were also asked to choose the top three initiatives the U.S. government needs to support in order to ensure that the Unites States remains competitive in the clean energy space over the next ten years. Creating energy-related legislative mandates and increasing the availability of tax credits and incentives were clear favorites, with 84 percent and 81 percent, respectively. A more competitive trade policy came in a distant third, chosen by fewer than half - 45 percent - of respondents.
When asked what effect they believed the Federal stimulus plan has had overall on the clean energy sector, results were mixed: 54 percent believed the stimulus has had a moderate impact, while 31 percent believe it had little or no effect. Fewer than 10 percent of respondents felt that the stimulus plan had made a major impact on the growth of the U.S. clean energy market.
They survey was conducted by Cooley LLP at its third annual Clean Energy and Technologies conference held recently in Silicon Valley.
About Cooley LLP
Cooley's 650 attorneys have an entrepreneurial spirit and deep, substantive experience, and are committed to solving clients' most challenging legal matters. From small companies with big ideas to international enterprises with diverse legal needs, Cooley has the breadth of legal resources to enable companies of all sizes to seize opportunities in today's global marketplace. The Firm represents clients across a broad array of dynamic industry sectors, including technology, life sciences, venture capital, clean energy, real estate and retail.
The Firm has full-service offices in major business and technology centers nationwide: Palo Alto, CA, New York, NY, San Diego, CA, San Francisco, CA, Reston, VA, Broomfield, CO, Washington, DC, Boston, MA and Seattle, WA.