(Graphic on Paris climate agreement: http://tmsnrt.rs/2fTjA1w)
By Clyde Russell
LAUNCESTON, Australia, June 2 (Reuters) - It's not hard to imagine Chinese President Xi Jinping having a wry smile at both the decision by Donald Trump to pull the United States out of the Paris climate accord and the global reaction.
While President Trump's decision had been expected, it does confirm that world leadership on efforts to limit global climate change will now shift to Asia, and China in particular.
Xi is now free to accept the mantle of global leadership on climate action, which will give him an opportunity to advance China's interests across the world at a time when Trump's actions are likely to cost the United States influence and allies.
The best part for Xi is that this hasn't cost him anything, Trump has done the damage to the United States all by himself, and is most likely unaware or uncaring of the likely consequences, which go well beyond the blow to the image of the United States as a global leader.
It's been a good past few weeks for Xi, given the successful hosting of a regional summit in Beijing to promote the "belt and road" initiative that ended on May 15 with pledges by China to spend as much as $800 billion on projects aimed at boosting trade and development across Asia, Africa and into Europe.
China, the world's largest polluter, was also quick to state that it remained committed to the 2015 Paris agreement, which aims to limit the rise in global temperatures to less than 2 degrees centigrade by the end of the century.
"China will stand by its responsibilities on climate change," Premier Li Keqiang told reporters on Thursday after meeting German Chancellor Angela Merkel and before flying on to Brussels for meetings with European Union officials that will include how to keep the Paris agreement going without U.S. participation.
While China has moved quickly to step into the leadership role vacated by Trump, it's likely that Xi will be looking for more than just increased prestige and prominence in international affairs.
China will most likely be seeking to attract more investment into renewable energy technology and manufacturing, building up a sector of its economy that is already experiencing rapid growth.
The opportunities for China are immense, as it can step into the U.S. role of providing technology and equipment transfer to developing nations to help them meet their commitments under the Paris agreement.
CHINA RAMPS UP RENEWABLES
China has committed to plough 2.5 trillion yuan ($361 billion) into renewable power generation by 2020, as the world's largest energy market continues to shift away from dirty coal power towards cleaner fuels.