China's Carbon Market Sees Surging Volumes and Prices, Financial Support Policies Accelerate
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Data shows China's national carbon market quota volume reached 235 million tons in 2025, up 24.36% year-on-year, a record high. In the first eight months of 2026, volume and value rose 46.53% and 67.64% respectively. The quota closing price hit 97.90 yuan/ton, up 31.18% from end-2025. Coverage expanded to 3,680 key emitting entities, covering over 65% of national carbon emissions. A recent institutional research report citing the 'National Carbon Market Development Report (2026)' indicates that sectors including petrochemicals, chemicals, papermaking, and civil aviation are being prepared for inclusion, with coverage expected to cover major industrial emitting sectors by 2027. The report argues the carbon market is transitioning from price discovery to asset pricing, with clearer carbon quota ownership and the push for paid allocation expected to improve asset quality for emission-reducing enterprises and lower transition risks. Financial support for the carbon market is set to increase, with the People's Bank of China and the Ministry of Ecology and Environment promoting carbon pledge and carbon repurchase systems, potentially allowing banks and securities firms to enter the market as non-compliance entities. Accelerated development of green financial products is expected to bring incremental business and valuation restructuring opportunities for listed companies.
Source report
Date: September 24, 2026 16:12:09 | Source: CFi.CN
According to official data, the national carbon market quota trading volume reached 235 million tonnes in 2025, a year-on-year increase of 24.36%, setting a new historical record. In the first eight months of 2026, trading volume and turnover rose by 46.53% and 67.64% respectively compared to the same period last year.
In terms of pricing, the closing price of carbon quotas rose to 97.90 yuan per tonne, up 31.18% from the end of 2025. The coverage of the carbon market has continued to expand, with 3,680 key emitting entities included in 2026, covering more than 65% of the country's total carbon emissions.
Recent institutional research reports indicate that the National Carbon Market Development Report (2026) has explicitly included industries such as petrochemicals, chemicals, papermaking, and civil aviation in the preparatory phase for inclusion. It is expected that by 2027, the carbon market will cover the majority of major industrial emission sectors.
The reports suggest that the carbon market is transitioning from price discovery to asset pricing. The clarification of carbon quota ownership and the advancement of paid allocation are expected to improve the asset quality of emission-reducing enterprises and reduce transition risks.
Furthermore, the reports highlight that financial support for the construction of the carbon market will continue to play a significant role. The People's Bank of China and the Ministry of Ecology and Environment are promoting the implementation of mechanisms such as carbon pledges and carbon repurchase agreements. Non-compliance entities, including banks and securities firms, are expected to enter the market. The accelerated development of green financial products is creating opportunities for incremental business and valuation restructuring for relevant listed companies.
Source: CFi.CN
Source
中财网-行业新闻Eastern
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China Carbon Market Expansion Accelerates; Financial Support for Green Asset Revaluation