The study, by the Peterson Institute for International Economics in Washington, says the huge investment in steel, aluminium, cement and other heavy industry has begun to reverse almost 30 years of gains in energy efficiency.
“It is not air-conditioners and automobiles that are driving China’s energy demand but rather heavy industry,” said the authors, Daniel Rosen and Trevor Houser of China Strategic Advisory. “Consumption-led demand is China’s future energy challenge.”
China now accounts for almost half of the world’s flat glass and cement production, more than a third of steel output and 28% of aluminium. Heavy industry consumes 54% of China’s energy, up from 39% five years ago.
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