Cement production growth fuels record-high emissions in China

A 4.1 per cent YoY increase in China’s cement production in the first quarter of 2023 has contributed to a four per cent rise in the country’s CO₂ emissions, marking a record high for the first quarter of a year.

According to Carbon Brief, the uptick was driven by a economic rebound following the end of China’s zero-COVID-19 policy, which led to oil consumption advancing by 5.5 per cent, coal consumption up by 3.6 per cent and gas use expanding by 1.4 per cent. Steel production also recovered, rising by six per cent YoY in the 1Q23 as infrastructure demand returned.

Given the Chinese government’s focus on economic growth, the country’s CO₂ emissions are forecast to reach an all-time high in 2023, although the 1Q23 has also seen higher-than-ever additional capacity of wind and solar power also coming on-stream.

“There are multiple reasons for these increases, including a rebound in the economy after the end of China’s zero-Covid policy, government financial stimulus for manufacturing and infrastructure construction, as well as an ongoing collapse in hydropower generation due to low rainfall,” said a report by Carbon Brief. “The Chinese government did not issue any air pollution action plan last winter, for the first time since 2017. These plans have included restrictions on heavy industry output. The lack of a plan was reportedly seen as a signal that industrial output took precedence over air quality.”