China's commitment to a carbon trading programme, underlined in a joint announcement with the US, shows it is "serious about reining in its emissions", says a research organisation.
The World Resources Institute, which is based in New York, also said China's climate finance pledge, which includes 20 billion renminbi ($3.1 billion) to help developing countries combat climate change, was a "watershed moment".
"By committing at the highest level to a national carbon trading programme, China is making its intentions clear to businesses and investors about its shift to a low-carbon economy," says Andrew Steer, president of the institute.
The anticipation of a Chinese carbon trading scheme is said to be behind a leap in the number of Asian companies employing an internal carbon price in their financial planning.
However, given the shaky performance of China's economy in recent months, and an accompanying fall in stock prices, the Chinese leadership are likely to take a cautious approach on any scheme that could limit economic growth.
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