China signals ETS expansion

Preparations underway for inclusion of cement, aluminium and steel producers in world’s largest compliance market by 2030

China has signalled its intention to expand its emissions trading scheme—the world’s largest compliance market—by ordering industries including cement, aluminium and steel to provide more detailed reporting of their greenhouse gas (GHG) outputs. The scheme covers only power generators at present. The Ministry of Ecology and Environment (MEE)—responsible for China’s climate policymaking and action—issued a notice in October calling for the review and auditing of GHG emissions from key industries for 2023–25. Enterprises in the steel, cement, petrochemicals, chemicals, aluminium, nonferrous metals, paper and aviation industries that release more than 26,000t/yr of CO₂e must report their emissi