China National Carbon Market
Monthly data reporting + annual allowance settlement + CCER offsets (≤ 5%). Power, steel, cement and aluminium are now covered, with chemicals / petrochemicals / paper / aviation phasing in next; running since 16 Jul 2021.
Industries: Power + Steel / Cement / Al + Petrochem
- 2021.07.16★National market launches (first batch: 2,225 power emitters)
- 2024.05Interim Regulations take effect (legal status raised)
- 2024CCER (certified voluntary reductions) restarts
- 2025.03Steel / cement / aluminium smelting formally added; first compliance covers 2024 emissions
- 后续Chemicals / petrochemicals / paper / aviation to follow
AMT: Org Carbon · Carbon Asset · Monthly MRV
Overview
- Full name
- Interim Regulations on Carbon Emissions Trading (State Council Decree 775) + sector implementation plans
- Authority
- Ministry of Ecology and Environment + Shanghai Environment & Energy Exchange (registry) + Shanghai United Assets Exchange
- Effective
- Launched 2021.07.16 · running ~5 years · sectors expanding
- Scope
- Power / steel / cement / aluminium (covered) + chemicals / petrochemicals / paper / aviation (next)
- Mechanism
- Monthly data + annual compliance + allowance settlement + CCER offsets (≤ 5%)
China’s national carbon emissions trading market is a key policy tool for its dual-carbon goals. The first batch covered 2,225 power-sector key emitters; the Interim Regulations took effect in May 2024 and CCER trading restarted that year. In Mar 2025, the Ministry of Ecology and Environment formally issued the expansion plans for steel, cement and aluminium smelting, with the first expanded compliance cycle covering 2024 emissions. The accurate wording is therefore “formally expanded in 2025, using 2024 emissions for the first compliance cycle,” not “covered from 2024.”
Timeline
From entry into force to key milestones — every compliance checkpoint.
- 2021.07.16National market launches (first batch: 2,225 power emitters)
- 2024.05Interim Regulations take effect (legal status raised)
- 2024CCER (certified voluntary reductions) restarts
- 2025.03Steel / cement / aluminium smelting formally added; first compliance covers 2024 emissions
- 后续Chemicals / petrochemicals / paper / aviation to follow
Who must comply
Self-check across industry, scale and export scope.
Power, steel, cement and aluminium covered; chemicals / petrochemicals / paper / aviation and other energy-intensive sectors phasing in next.
Key emitters meeting the annual energy-consumption threshold (e.g. power companies).
Are you on your sector’s key-emitter list and obliged to settle allowances?
Key requirements
Meet these core requirements to comply and access the market.
Monthly data: report activity and emissions data each month, traceable and verifiable.
Annual compliance: settle allowances yearly; shortfalls require purchase or CCER offsets.
Third-party verification: the annual emissions report must be verified by an accredited body.
CCER offsets: CCER may offset no more than 5% of the compliance obligation.
Penalties: non-compliance, false or omitted reporting incurs heavy fines and credit records.
AMT product mapping
Precisely matched from the 13-product matrix to cover this regulation end to end.
Monthly activity & emissions data aggregation with audit trail.
View productEmissions accounting per sector guidelines.
View productAllowance position management + settlement decisions.
View productCCER project identification and development.
View productThird-party verification workflow for the annual report.
View productResources & official docs
FAQ
Our sector isn’t covered yet — what should we prepare?
Build monthly reporting and emissions-accounting capability early. After steel, cement and aluminium, sectors like chemicals, petrochemicals, paper and aviation will be phased in next; a solid data foundation avoids a scramble when you’re included.
How are CCERs used to offset compliance?
Covered entities can buy CCERs to offset up to 5% of their obligation; companies with mitigation projects can also develop CCERs to generate carbon-asset revenue.
How do monthly records relate to annual settlement?
Monthly data underpins the annual report and verification. Missing or untraceable data directly affects the verification outcome and settlement, so auditable monthly records are essential.