In a significant move to bolster its climate commitments, China has officially expanded its national Emissions Trading System (ETS) to include the cement, steel, and aluminum industries. The first compliance cycle for these new sectors is scheduled for the end of 2025, covering emissions from 2024. This expansion will add approximately 1,500 companies to the world's largest carbon market, increasing its coverage of the nation's emissions. The initial phase of implementation will focus on familiarizing companies with the system and improving data quality. Allowances will be allocated based on production intensity rather than an absolute cap, a measure designed to balance environmental goals with economic growth. This development is a crucial step in China's strategy to peak carbon emissions before 2030 and achieve carbon neutrality by 2060.