On this June 1, US President Trump announced that the United States decided to withdraw from the Paris Agreement, which will terminate all the provisions of the Paris Agreement. He believes that the Paris Agreement is not conducive to the US economy, sacrificing the employment of the United States. On the contrary, China believes that the Paris Agreement embodies the broadest consensus of the international community on climate change, and the parties should maintain this hard-won result. China has to assume international responsibility as a regional power. Judging by appearance, the road to achieve climate change is full of unknown, But China's government and enterprises are still resolute, action is still to force. The risks and opportunities of climate change for business practices are beyond doubt, and ignoring this issue is extremely unwise for both business and investors.
Sustainable programs, agreements and goals
The Chinese government has always committed its commitment to climate change. In 2007, China formulated the China National Climate Change Program. On June 30, 2015, the Chinese government submitted China’s Contribution documents identified the targets for 2020 and 2030 to the Secretariat of the United Nations Framework Convention on Climate Change (UNFCCC). According to the document, China's carbon dioxide emissions will reach peak around 2030 and strive to reach the peak as soon as possible, the unit GDP of carbon dioxide emissions will fall to 60% to 65% comparing with 2005. And the process of achieving this arduous goal needs many efforts from Chinese enterprises as for the critical. March 6, 2017, China firstly released "China Climate Index Series", the index series quantify the climate information. China's climate index series divided into annual and monthly index, including rain, drought, typhoon, high temperature, low temperature-frozen five indexes, and on this basis, the synthesis of China's climate risk index. Taking the China Climate Risk Index as an example, the risk rating classifies from 0 to 10. From 1981 to 2016, the average climate risk index in China was 4.19. Compared with the average before and after 1999 can be clearly seen, the risk index rose from 3.69 to 4.69, climate risk was gradually increasing trend. In that case, China attaches great importance to the impact of regional risks on the economy, and deep exploration of climate and agricultural products, energy and other market relations, research and development of more practical price index, in order to enhance China's economic discourse.
The first report on enterprises
Just after withdrawing of "Paris agreement" from the United States, China's published " Research report for addressing the independent contribution of climate change from Chinese enterprises " on June 16, 2017 for the first time in Beijing. The report was China's first focus on enterprises to address the independent contribution of climate change. More and more enterprises have begun to realize that the importance of climate change issues, 49.4% of the enterprises clearly put forward the concept of low-carbon development, strategic planning and operational goals, and actively disclosed to the public. The existing data show that less than 20% of the high-level leadership of enterprises with varying levers of support to participate in the enterprise's response on climate change, there is still a lot of room for improvement. In response to climate change, China needs to improve more corporate responsibility and national top-level design. Now, 45.5% of Chinese enterprises have gradually carried out low-carbon management system construction work. In addition, on the special fund for the enterprises in responding climate change work, only 20.8% of the enterprises reveals the importance of the low-carbon organization system construction, and only 6.5% of the enterprises disclose publicly the investment in climate change, and the existence of targeted management of funds is not so strong.
Awareness and commitment to the future
Obviously, China has a good foundation for addressing the top design of climate change, but there is room for future improvement on specific policies and the maturity of carbon trading markets. In particular, due to the late start of China's response to climate change; Chinese enterprises have yet to be strengthened in terms of climate change awareness and management capacity, especially in terms of potential risk awareness and overall performance. Certainly, Climate change still needs to strengthen international cooperation, so far China has carried out extensive environmental protection exchanges with more than 100 countries, and signed nearly 150 environmental protection cooperation documents with more than 60 countries, regions and international organizations. Through the establishment of China-ASEAN Environmental Protection Cooperation Center and other specialized agencies on the development of cooperative strategy, China has promoted South-South cooperation and green "the Belt and Road Initiative" to promote the sharing of ecological civilization and green development experience. Therefore, targeting with climate change, Chinese enterprises should adhere the concept of the green development, combined with energy-saving emission reduction, eliminate backward production capacity, in order to develop enterprise response on climate change action program with a better reduce greenhouse gas emissions; Surely, China has to strengthen scientific management capacity, with taking green low-carbon development goals throughout the enterprise Business activities; increase scientific and technological innovation efforts to build a low emission characteristics of the enterprise production system; driven by the industry and the industry chain upstream and downstream, small and medium enterprises will participate in green low-carbon development. In the future, China will continue to do a better job in coping with climate change and actively participate in the multilateral process of climate change and unswervingly maintain the global climate management process. The future in the follow-up negotiations and effective implementation, China has a certain long way to go.