Countries in Asia should turn their attention to the clean energy industry as a means of withstanding trade disputes, according to experts.

In the rapidly evolving energy landscape, Asia is making significant strides towards a greener future.

Indonesia, a country heavily reliant on coal, has announced plans to increase its imports of crude oil and liquefied petroleum gas from the US by around US$10 billion. However, Ember suggests that if Indonesia effectively utilizes its renewable potential, it could achieve energy independence.

Meanwhile, other Asian countries are also recognising the critical role of renewable energy in sustainable growth. A new Ember study found that some Asian countries like Indonesia have about 80 times greater renewable potential than their energy demand.

Countries in the region are being urged to seize these renewable energy opportunities and diversify their energy mix. Christina Ng, managing director and co-founder of Australia-based think tank Energy Shift Institute, suggests that countries can stabilize their clean tech sector by building up their own domestic deployment.

Vietnam and Bangladesh have already taken steps in this direction. Vietnam signed a memorandum of understanding with Texas-based gas firms ConocoPhillips and Excelerate Energy, while Bangladesh signed a major agreement with Louisiana-based Argent LNG. However, Laurie van der Burg, global public finance campaign manager at nonprofit Oil Change International, suggests that Asia should look to its largely untapped renewables potential instead of LNG.

The push towards renewables is not without challenges. Long-term contracts with US LNG suppliers expose South and Southeast Asian markets to higher LNG costs and uncertainty in both US gas markets and trade policy. Asian governments are rushing to sign up for LNG purchases from the US to reduce trade surpluses with the world's largest economy, but this could potentially lead to increased dependence on fossil fuels.

Thailand, for instance, announced plans to import more than 1 million tonnes of LNG from the US over the next five years. The United States president Donald Trump's tariffs have unsettled global markets and pressured Asian countries to buy liquefied natural gas (LNG).

However, the potential for renewable energy in Asia is vast. Southeast Asia has over 20 terawatts of combined technical potential for utility-scale solar PV, onshore and offshore wind, according to the International Energy Agency. This presents a significant opportunity for countries like Indonesia, which aims to transition fully to renewable energy within the next decade.

Reynolds suggests that investing in renewable energy could support domestic renewable manufacturing industries and present a hedge against volatile commodity prices and currency exchange rates. This could be a strategic move for countries like Japan, South Korea, and Taiwan, which are considering investments in a US$44 billion LNG export project in Alaska.

As Asia navigates its energy future, it is clear that renewable energy will play a critical role. The region's vast untapped potential for solar and wind energy could enhance energy security and independence, while also providing a cost-effective pathway for sustainable growth.

Countries in Asia should turn their attention to the clean energy industry as a means of withstanding trade disputes, according to experts.