Chinese industry is getting cleaner, but there is one problem China's CO2 emissions from energy and industry showed the highest quarterly decline since the start of the pandemic. China's carbon dioxide emissions from fossil fuel burning and cement production fell 3.1 percent year-on-year in July-September 2026, the Helsinki Center for Research on Energy and Clean Air (CREA) reported. Analysis prepared for British publication Low Carbon recorded the biggest drop in quarterly emissions since the start of the pandemic. CREA attributed the reduction in emissions to a drop in fossil fuel use in the world's largest economy. China's oil consumption fell 4 percent in the quarter due to energy supply constraints caused by the Strait of Hormuz crisis, CREA said. Motor fuel use in the transport sector fell further, down 9% year-on-year, as residents increased their use of electric vehicles and taxis, CREA said. China's coal consumption fell 3.3 percent in the quarter due to improved wind and solar power generation, CREA said. Electricity demand decreased due to mild weather, CREA noted. Growth in the chemical coal sector also slowed. Higher coal prices dampened demand for chemical coal products following a boom earlier this year, as low coal prices helped Chinese companies outpace rivals using petroleum-based feedstocks, CREA said. The stagnant or declining emissions trend in China began in March 2024 and has been going on for more than two years. In the first three quarters of the year, emissions in the PRC fell by 0.5 percent, indicating that the downward trend in fossil fuel use and emissions may continue throughout the year, CREA said. Energopol in Max "Energy Policy" website.