In depth: China's huge carbon market off to sputtering start

Financial companies barred for now as government works on refining regulations

20210806 Shanghai carbon exchange

Shanghai Environment and Energy Exchange, part of China's national carbon market, started trading on July 16. © AP

DU CAICAI, CHEN XUEWAN, PENG QINQIN and TANG ZIYI, Caixin

China has launched its long-awaited national carbon trading market, marking a major step by the world's largest greenhouse gas emitter to realize ambitious climate goals.

With more than 2,000 power generation companies initially participating in the national emissions trading scheme (ETS), the market aims to put a price on greenhouse gas emissions to create pressure to reduce the amount produced.

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