This chapter explores the implications of China’s energy transition and geopolitical changes on its engagement in global energy governance (GEG). It begins with an exploration of the current GEG landscape and China’s role within it, outlining gaps and limitations from both international and Chinese perspectives. The chapter employs the notion of constructive versus destructive competition to gauge China’s future interactions within GEG.

This chapter introduces an original framework for understanding international energy relations (IER) by dissecting them into three interlinked dimensions: international business operations of energy firms, state energy diplomacy and statecraft, and China’s approaches to global energy governance. This conceptualization offers a multifaceted approach to analyzing the complex and nuanced nature of IER.

This chapter delves into the firm-level dynamics within China’s IER amidst its ongoing energy transition and geopolitical shifts. It reviews relevant international business theories and analyzes the international business activities of Chinese energy firms. Using the OLI framework, the chapter examines how China’s energy transition and geopolitical changes impact the international operations of Chinese energy firms, illustrated through case studies.

This chapter shifts the focus to the state perspective, offering a critical examination of the Chinese government’s evolving international energy policies. It traces the evolution of China?s international energy policy and introduces the concept of energy statecraft to analyze how the country’s energy transition impacts its energy resources and capabilities, forming the foundation for its shifting international energy policy priorities. The chapter also discusses internal political challenges to China’s international energy policy.

This chapter explores the role of the shifting geopolitical landscape as a critical moderating factor that shapes the relationship between energy transition and IER. It outlines two contrasting trends of globalization and deglobalization and presents a preliminary quantitative assessment of China’s evolving energy trade relationships. The chapter concludes with an exploration of IER under various geopolitical scenarios.

This chapter sets the scene by examining the context of China’s energy transition and its pivotal role in the global energy landscape. It delineates the interplay between China’s domestic energy transformations and international engagements, mapping out the drivers and challenges inherent in this transition. This chapter also previews the core arguments that the book will further elaborate on.

This final chapter extends the discussion to the implications of China’s evolving international energy relations, in turn, on its domestic energy transition, the geopolitical landscape, and global sustainability, including international efforts to combat climate change. It also reflects on the ramifications of energy transitions on the international stage in other countries, specifically Japan and Germany. The chapter concludes with a synthesis of the main findings of the book, providing with an overview of how China’s ongoing transition from fossil fuels to renewables, along with geopolitical shifts, is reshaping its interactions with the global energy sector.