China has announced a nationwide three-year programme aimed at improving energy efficiency and reducing carbon emissions across some of its most energy-intensive industries.

The initiative, jointly issued by the National Development and Reform Commission (NDRC) and several other government departments, will focus on upgrading facilities and production processes in key sectors including steel, aluminium, cement, glass, oil refining, petrochemicals and coal-fired power generation.

Nine Industries in Focus

Beginning in 2026, authorities will prioritise nine major industries: steel, electrolytic aluminium, cement, flat glass, oil refining, ethylene, synthetic ammonia, methanol and coal power.

The government plans to spend the next three years implementing energy-saving and emissions-reduction upgrades across these sectors, with the goal of improving both energy efficiency and carbon performance while accelerating the country’s green transition.

Officials said the programme could later be expanded to additional industries after 2028, depending on progress and local requirements.

Part of Broader Climate Goals

According to the policy document, reducing energy consumption and carbon emissions in heavy industry remains crucial to achieving China’s long-term climate objectives, including its carbon peaking and carbon neutrality targets.

Authorities described the initiative as both an environmental and economic measure, arguing that industrial upgrades can stimulate investment, modernise manufacturing and improve competitiveness while reducing emissions.

Local Governments and Firms Urged to Act

Beijing has called on local governments, regulators and state-owned enterprises to strengthen implementation and oversight of the programme.

Officials said existing policy support would be expanded to encourage companies to invest in cleaner technologies and efficiency improvements.

Enterprises will be expected to take primary responsibility for carrying out upgrades, while regulators will increase supervision to ensure compliance and deliver measurable reductions in energy use, coal consumption and carbon emissions.

Green Transformation of Heavy Industry

The targeted industries account for a significant share of China’s total energy consumption and carbon output. Authorities said accelerating upgrades in these sectors is essential to lowering coal use, improving industrial efficiency and supporting higher-quality economic growth.

The three-year campaign is expected to become one of the first major industrial and environmental initiatives launched under China’s 15th Five-Year Plan (2026–2030), reflecting Beijing’s continued emphasis on balancing economic development with green transformation.