CCUS was identified as a crucial technology for achieving deep decarbonization in China. Given that China’s current energy structure is still dominated by fossil fuels, China possesses vast potential market for the advancement and implementation of CCUS technology. As per the IEA, it is anticipated that China will become the world’s largest CCUS market by 2040. The CCUS market in China expects to surpass CNY 20 billion per year by 2025 and CNY 330 billion per year by 2050. Prior to 2020, CCUS technology in China was mainly in the experimental and demonstration stages. Since then, substantial advancements have been made in CCUS technology development, which resulted in the successful completion of the first large-scale project in February 2022. Additionally, several other projects are presently underway. Nonetheless, despite these notable accomplishments, CCUS development in China still falls short of its ambitious carbon neutrality objectives. Insufficient CCUS-related facilities, lack of large-scale projects, and technology gaps relative to international standards are among the key challenges that China must address to fulfill its commitments. International cooperation is a crucial component of China’s CCUS development strategy, and the country has been actively engaged in various CCUS collaborative initiatives with foreign governments and international organizations.
As a leader in CCUS technology, the US possesses an extensive industrial system with stringent technical standards and governmental regulations that have fostered a thriving CCUS industry and cutting-edge technological capabilities. The US has incubated and nurtured outstanding companies at every stage of the CCUS industry chain. The successful industrialization and commercialization of CCUS in the US have created substantial business opportunities for both China and the US.
This report provides a comprehensive analysis of the current state of China’s Carbon Capture, Utilization, and Storage (CCUS) market, including its market potential, policy support, industry need, technological advancement, and project progress. Furthermore, potential opportunities for collaboration between China and the U.S. in this field are explored.
We express our gratitude to the U.S. Department of Commerce’s International Trade Administration (ITA) for providing funding support for this report. This is the second report of a four-part series of in-depth research into China’s decarbonization market.
Please download the report from the link: China CCUS Market Report
