Investment Rating - The report establishes a benchmark for decarbonization pathways for carbon-intensive industries in China, aligning with the country's dual carbon goals [9][14]. Core Insights - Transition finance is crucial for supporting the low-carbon shift of the real economy, with credible corporate transition plans being a prerequisite for accessing such funding [11][12]. - The study utilizes an integrated economy-climate model to simulate decarbonization pathways under different global temperature scenarios (1.5°C, 2°C, and 3°C) [12][13]. - The proposed 2°C-aligned pathway serves as a suitable benchmark for evaluating corporate transition plans, consistent with the Paris Agreement and China's updated Nationally Determined Contributions (NDCs) [13][14]. Summary by Sections Introduction - Climate risks have become a significant challenge affecting ecosystems and human development, with global greenhouse gas emissions reaching 57.1 billion tons in 2023, a 1.3% increase from 2022 [21][22]. - The green low-carbon transition of carbon-intensive industries is critical for China, as these sectors account for approximately 80% of the country's total carbon emissions [22][23]. Research Framework - The study constructs the China Energy Saving and Low-Carbon Dynamic Computable General Equilibrium (IFS-CGE) model to assess the long-term impacts of transition and physical climate risks on the economy and carbon emissions [9][24]. - The model simulates decarbonization pathways for major carbon-intensive sectors from 2020 to 2060, considering various temperature scenarios and their implications for sectoral output and carbon emissions [9][12]. Results Analysis - The report identifies six major carbon-intensive sectors: electricity, steel, cement, chemicals, non-ferrous metals, and glass, providing specific decarbonization pathways for each [14][16]. - The findings highlight the need for financial institutions to have authoritative benchmarks to evaluate the scientific validity and ambition of corporate transition plans, mitigating the risk of "greenwashing" [11][12]. Future Research Directions - The next phase of the research will refine the model and data, expanding the decarbonization benchmarks to additional sectors, including construction, real estate, shipping, aviation, ceramics, and paper [16].

Group 1 - South Africa's Department of Forestry, Fisheries and the Environment has launched the "Coastal Adaptation Response Plan" to address climate change challenges in coastal areas, aiming to upgrade fragmented coastal management into a unified national strategy [1][2] - The plan emphasizes building a more resilient climate protection network, including training for coastal city officials, developing climate risk monitoring systems, and providing special funding for climate adaptation [2][3] - The South African Parliament passed its first climate change legislation in April 2024, establishing a legal foundation for a low-carbon and climate-resilient economy, requiring unified policies to enhance societal adaptability [3] Group 2 - There is significant potential for cooperation between China and South Africa in enhancing climate adaptation capabilities, with projects like the De Aar Wind Farm and the Redstone 100 MW Solar Power Plant contributing to local energy needs and emissions reduction [4] - The De Aar Wind Farm generates 760 million kWh annually, meeting the electricity needs of 300,000 households and reducing CO2 emissions by 620,000 tons per year [4] - In July 2023, China and South Africa held a climate change training session focusing on climate investment and carbon market development, promoting policy experience sharing [4]