Government policies limiting industrial carbon emissions expanded substantially on a global scale in the past year, according to a new World Bank report that calls carbon pricing “a powerful tool.”
The report credits much of the growth to China, which extended its emissions-limiting program beyond the power sector to cover cement, steel and aluminum production. China is the world’s largest greenhouse gas emitter and under the expansion will regulate half of the emissions.
As a result of China’s action, 40 percent of global industrial emissions were taxed or regulated by carbon markets in the year that ended April 1, 2025, the World Bank reported.
“This is a substantial increase to a diverse and large sector that includes manufacturing and construction and is responsible for around 20% of Global GHG emissions,” the report says.
