As the world races to curb greenhouse gas emissions, China has rolled out a new guideline to turbocharge its green transition and reshape its carbon trading landscape. Jointly issued by the General Office of the Communist Party of China Central Committee and the General Office of the State Council, the roadmap sets clear milestones and market rules for the next decade.
Key targets kick in by 2027: the national carbon trading market will stretch across all major industrial sectors, while the voluntary greenhouse gas emission reduction market opens up to every key field. Fast forward to 2030, and China plans to have a fully operational cap-and-trade system, complete with free and paid carbon quota allocations and a robust national voluntary market that meets international standards of credibility, transparency and broad participation.
Underpinning this growth is a suite of measures to expand market coverage, refine quota allocations and tighten oversight of regional pilot schemes. The guideline also charts a path for a voluntary reduction market—syncing up carbon reduction resources, standardizing voluntary cuts and boosting the use of certified emission reductions.
To keep the market vibrant, authorities will enrich trading products, welcome new participants from startups to heavy industry, and beef up supervision. Strengthening the carbon accounting and reporting framework, along with enhanced information disclosure, will be crucial to build trust and signal reasonable price levels.
The plan doesn’t stop at domestic action. It highlights the need for stronger policy and legal support, and deeper international cooperation—laying the groundwork for China to engage with global carbon markets and share insights with partners worldwide.
For entrepreneurs, tech innovators and sustainability advocates, the guideline represents a clear market signal: carbon trading in China is set to become a powerhouse of low-carbon finance and green innovation, opening doors for new products, services and cross-border collaboration.
Reference(s):
China issues guideline to strengthen national carbon trading market
cgtn.com
