China introduces new environmental restrictions for industrial giants

China is expanding its emissions trading system to include the steel, cement, and aluminum industries. This is reported by Reuters.

This means that another 1,500 companies will have to buy carbon credits to cover their emissions. Thus, the total amount of carbon dioxide emissions covered will reach 8 billion tons, which is more than 60% of the country’s total emissions, said Pei Xiaofei, a spokesman for the Ministry of Environmental Protection.

Launched in 2021, China’s emissions trading system previously covered only the energy sector, controlling about 5 billion tons of CO2 from more than 2,200 companies. Now it will become an important tool not only for achieving the country’s climate goals, but also for industrial modernization.

Initially, only the most inefficient companies in new sectors will be required to buy additional allowances. However, over time, free permits will be reduced, stimulating the adoption of low-carbon technologies. The government promises that the pace of the allowance reduction will be gradual to avoid a sharp economic impact.

As GMK Center reported earlier, in 2024, total emissions in China’s steel industry increased by 4.1% compared to 2023. Increased liquidity of blast furnace capacity compared to electric arc furnaces increased emissions in the industry despite a decline in annual steel production.

Steel production in China last year decreased by 1.7% year-on-year – to 1.005 billion tons. This is the lowest level in five years. 2024 is likely to be the last year when steel production in China exceeded 1 billion tons.

  • Global Market

China’s CMRG plays a prominent role in the country’s iron ore market – Bloomberg

The state-owned trader China Mineral Resources Group Co. (CMRG) has become the largest driver in…

Sunday June 22, 2025
  • Global Market

Gas prices in Europe rise amid geopolitical tensions

European gas prices increased by 14.2% over the week of June 12-19. In particular, on…

Saturday June 21, 2025
  • Companies

ArcelorMittal sells plants in Bosnia and Herzegovina to Pavgord Group

Global mining and metals company ArcelorMittal has signed an agreement to sell its assets in…

Saturday June 21, 2025
  • Industry

Ukrainian Railways puts up for sale 41 thousand tons of scrap for UAH 307 million

In mid-June 2025, Ukrainian Railways JSC (UZ) put up 40.84 thousand tons of ferrous scrap…

Friday June 20, 2025
  • Global Market

Global stainless steel production increased by 6.2% y/y in Q1

Global stainless steel production in January-March 2025 increased by 6.2% compared to the same period…

Friday June 20, 2025
  • Global Market

IMF warns Europe about the risk of economic stagnation

The International Monetary Fund (IMF) warns of the risk of stagnation in Europe's economy if…

Friday June 20, 2025