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China’s Carbon Emissions Dip as Chemicals Industry Rises as Major Polluter

Aug 20, 2025, 10:55 p.m. ET

AsianFin -- China’s greenhouse gas emissions fell in the first half of the year, driven by record renewable power expansion, even as the nation’s fast-growing chemicals sector emerged as a significant new source of pollution, new research shows.

Carbon dioxide output dropped 1% year-on-year between January and June, according to a report from the Centre for Research on Energy and Clean Air (CREA). The decline was led by the power sector, with reductions also seen in steel and cement.

Wind and solar capacity additions hit record highs, CREA lead analyst Lauri Myllyvirta said, noting that output from renewables grew faster than electricity demand. That allowed coal-fired plants to scale back generation, cutting emissions from the power industry by roughly 3%.

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