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US to develop green manufacturing base overseas: 'An economic opportunity'

U.S. businesses that move production there can shrink their carbon footprint significantly.

U.S. businesses that move production there can shrink their carbon footprint significantly.

Photo Credit: Getty Images

Kenya and the U.S. are teaming up to turn the African nation into a green manufacturing powerhouse. It could be a game-changer for the planet and our wallets.

Starting in May, the two countries are working together to build up Kenya's production of clean energy, create supply chains for electric car batteries, and attract U.S. companies looking to set up shop in factories powered by renewable energy.

It's all part of Kenya President William Ruto's plan to make his country a hub for green industry, according to the Washington Post.

What makes this collaboration so exciting? Over 90% of Kenya's power comes from clean sources such as solar, wind, geothermal, and hydro. That means U.S. businesses that move production there can shrink their carbon footprint significantly.

It's not just about the environment. Shifting more economic activity to Kenya could create new jobs and lower energy costs for millions of people. The production of everything from clothing to metals to green hydrogen gas could get a boost.

Kenya is also becoming a hotspot for an up-and-coming climate technology called carbon removal, which sucks planet-warming gas out of the air. The country's renewable energy and unique geology make it an ideal place to permanently store captured carbon deep underground.

Several carbon removal startups, including some from the U.S., Israel, Belgium, and Germany, are already eyeing Kenya as the perfect place to set up shop. As this technology takes off, it could mean more opportunities and investment flowing into the country.

There are still challenges to overcome, such as cutting red tape and making it easier for renewable power producers to sell energy to the grid. But President Ruto says he's "focused on fixing" those obstacles.

His climate envoy, Ali Mohamed, summarizes the opportunity nicely. "President Biden and President Ruto are agreed on one thing: Climate change is an existential threat, but it's also an economic opportunity."

With the U.S. and Kenya joining forces to seize that opportunity, a cleaner, more prosperous future could be on the horizon — not just for Kenyans, but for all of us.

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