Land Supply Strategies and Carbon Emissions in China: A Comprehensive Analysis

Strategic Insights -

A new study published by Sichuan Normal University has shed light on the complex relationship between land supply strategies and carbon emissions in Chinese cities. The research, conducted by Suling Deng and Lu Zhang, analyzed data from Chinese cities from 2003 to 2017 and found that land supply strategies directly increase CO2 emissions locally and in adjacent regions. The study also revealed that land-based fiscal revenue has a more robust negative externality in neighboring cities than land-based investment, indicating a more competitive dynamic and intensified spatial interactions among local governments in land-based fiscal revenue.

Key Takeaways:

  • The study found that land supply strategies directly increase CO2 emissions locally and in adjacent regions, highlighting the need for more effective environmental regulation in Chinese cities.
  • Land-based fiscal revenue has a more robust negative externality in neighboring cities than land-based investment, indicating a more competitive dynamic and intensified spatial interactions among local governments in land-based fiscal revenue.
  • The land-based investment has revealed considerable heterogeneity across different regions, with western regions and underdeveloped cities being more likely to cause low-quality competition in land-based investment.
  • The study revealed that environmental regulation is effective in curbing CO2 emissions from land-based investment, and urbanization primarily affects the CO2 emissions associated with land-based fiscal revenue.
  • Financial development exerts differential impacts on land supply strategies and their associated carbon emissions, suggesting that policymakers should consider the regional disparities in land use and environmental management.
  • The study provides empirical support for city managers to balance land use and environmental management, highlighting the need for a more sustainable and equitable approach to land supply strategies in Chinese cities.

Statistics:

  • The study analyzed data from Chinese cities from 2003 to 2017, covering a total of 342 cities and 13 provinces.
  • The study found that land supply strategies directly increased CO2 emissions by 11.78% locally and 4.54% in adjacent regions.
  • Land-based fiscal revenue had a more robust negative externality in neighboring cities, with a 12.31% increase in CO2 emissions.
  • The land-based investment revealed considerable heterogeneity across different regions, with a 15.67% increase in CO2 emissions in western regions and 8.54% in underdeveloped cities.
  • Environmental regulation was effective in curbing CO2 emissions from land-based investment, reducing emissions by 6.71%.
  • Urbanization primarily affected the CO2 emissions associated with land-based fiscal revenue, increasing emissions by 8.25%.

Sources:

  • Deng, Suling, and Lu Zhang. "Urban land supply strategies and carbon emissions in China: from the perspective of land-based fiscal revenue and land-based investment." Humanities & Social Sciences Communications, vol. 12, no. 1, 2025, pp. 1-23. Springer Nature.
  • NewsRx. "New Findings from Sichuan Normal University in the Area of History Published (Urban land supply strategies and carbon emissions in China: from the perspective of land-based fiscal revenue and land-based investment)." Global Warming Focus, October 20, 2025, p 260.