Market Intelligence
Carbon Capture and Management China

China Energy Green Factory Certification

China’s “Green Factory” certification is a national program led by the Ministry of Industry and Information Technology (MIIT) under the broader Green Manufacturing System, which also includes Green Industrial Parks and Green Supply Chain Enterprises, and Zero-Carbon Factories and Parks.

Facilities are assessed against the national standard GB/T 36132-2018 General Principles for Assessment of Green Factory, covering indicators such as energy and water efficiency, materials utilization, pollution control, product stewardship, digital management, and continual improvement. A 2025 draft version (GB/T 36132-202X) was released for public comment and is currently under review, with significant updates.

As of September 2025, over 6,430 factories nationwide have been certified as national-level Green Factories. MIIT has launched a Quality and Expansion Program to raise certification standards and expand coverage, with emphasis on Zero-Carbon Factories and Parks. In South China, the Guangzhou Huangpu District—ranked as the country’s top industrial output Economic & Technological Development Zone—has become a regional leader, with 29 national-level Green Factories, representing 47% of Guangzhou’s total. Foshan and other key Guangdong cities are also actively promoting factory greening and zero-waste initiatives as part of regional green industrial development strategies.

Insights & Observations

  • Certification mechanics: Enterprises undergo third-party evaluation against GB/T standards and sectoral guides, involving documentation, site audits, and annual performance reporting. Increasingly, firms must also submit green/low-carbon development reports as part of the certification process.
  • Policy linkage: MIIT has strengthened policy alignment by requiring environmental, social, and governance (ESG) or green development reports. Certification continues to connect with green finance access, preferential utility tariffs, project approvals, and eligibility for pilot programs, creating practical benefits for higher-rated factories and their supply chains.
  • Procurement & market pull: State-owned and large private manufacturers increasingly integrate Green Factory status (or equivalent KPIs) into vendor qualification, nudging suppliers toward measurable energy, emissions, and resource-efficiency improvements aligned with national “dual-carbon” goals.
  • New 2025 draft requirements: The 2025 draft standard raises the bar by requiring factories to demonstrate three new competencies: (1) carbon management to quantify and reduce carbon intensity, (2) green supply chain management to extend sustainability practices across partners, and (3) data disclosure capability to ensure transparent, auditable reporting on energy, resources, and carbon.

Impact & Significance

For U.S. companies operating in China, Green Factory certification can create strategic opportunities. Achieving certification can unlock local incentives, funding support, and closer ties with industrial parks. At the same time, compliance expectations are rising, with tighter disclosure requirements on energy, water, waste, carbon intensity, and recycled material use. U.S. firms interested in taking advantage of these certification schemes should review their plant’s key performance indicators (KPIs) in relation to the forthcoming GB/T 36132-202X standard and MIIT’s evolving reporting standards. Foreign-invested enterprises can pursue certification through a three-tier star system at the city, provincial, and national levels, with certified factories eligible for financial rewards, preferential green credit, and subsidies for technology upgrades.

Achieving Green Factory certification can provide substantial and tangible benefits. Certified companies may receive monetary awards: municipal-level recognition can bring one-time awards of 200,000-500,000 RMB (~$28,000-70,000), while national-level awards can reach up to 500,000 RMB (~$70,000). In addition, companies can often access green financing incentives, such as interest subsidies for green loans (up to 100,000 RMB per year for three years), green bond interest subsidies (up to 200,000 RMB per year for three years), and insurance premium subsidies (30-50% of premiums, up to 50,000 RMB per year). Certification also supports tax incentives, preferential utility tariffs, and technology upgrade subsidies, which vary by region and administrative level.

Market Demand: Certification trends are driving demand for advanced solutions that directly support Green Factory KPIs. This includes smart energy management and monitoring systems, waste-heat recovery and electrified process heating, advanced compressors and blowers, high-efficiency motors and industrial HVAC, water reuse and zero-liquid-discharge systems, Volatile Organic Compounds (VOC) and particulate matter (PM) abatement technologies, continuous emissions monitoring (CEMS), and low-carbon process equipment.

For more information, please contact Office.Guangzhou@trade.gov.