[Policy Update] China Releases First National Standard for ESG Evaluation in the Financial Sector

📰 News Highlight

Under the guidance of the People's Bank of China (PBOC), China’s first national financial ESG standard—Environmental, Social, and Governance (ESG) Evaluation Framework for Bond Issuers (GB/T 46912-2025)—was released, led by the China Central Depository & Clearing Co., Ltd. (CCDC). Effective April 1, 2026, it establishes a foundation for directing finance toward green development and promoting high-quality growth in the bond market.

⚙️ Core Components

1.       Standardized Disclosure: Improves data quality and comparability, guiding capital to sustainable sectors and regulating the market.

2.       Unified Framework: Converts policy goals into measurable indicators to support risk assessment and performance improvement.

3.       Strategic Focus: Targets green finance, innovation, and rural revitalization, emphasizing climate, ecology, social responsibility, and governance.

💡 Key Takeaways

1.       Institutionalizing ESG in Bonds: The national standard introduces a unified framework, turning ESG from voluntary practice into a formal tool for bond issuers.

2.       Improved Transparency: It reduces data fragmentation, lowers due-diligence costs, enables better risk pricing, and boosts the credibility of China’s bond market.

[Market Update] CISA Convenes 13th General Assembly in Beijing to Drive "15th Five-Year Plan" Tech Innovations

📰 News Highlight

The China Iron and Steel Association (CISA) officially released the "15th Five-Year Plan (2026-2030) Technology Forecast Report", outlining eight priority technologies to curb destructive competition and drive value-based growth, alongside launching a National Steel Carbon Neutral Technology Innovation Center to advance low-carbon metallurgy.

💡 Key Takeaways

1.       Value over Volume: The push to curb “involution” signals a shift from output expansion to smarter, greener, high-value production targeting advanced sectors.

2.       Systemic R&D Integration: The new national carbon-neutral tech center moves innovation from fragmented efforts to coordinated, top-down collaboration to tackle key bottlenecks.

3.       Global Standard Leadership: With 600+ standards issued, China is evolving from a major steel producer into a global standard setter, strengthening its trade influence amid rising carbon and quality requirements.

[Carbon Market]

During February 2 – February 6, the total transaction volume of Carbon Emission Allowances (CEA) in Chinese National Carbon Market reached 734,580 tons, with a total transaction value of USD 8,318,402.06. The highest price was USD 11.68/ton, and the lowest price was USD 11.31/ton. For bulk agreement transactions, the volume was 500,000 tons, with a transaction value of USD 5,663,766.95.