China Launches New ESG Reporting Standards For Businesses

China has introduced its first corporate sustainability disclosure standards, aimed at aligning with global ESG frameworks.

The Ministry of Finance, in collaboration with nine other departments, unveiled the Basic Standards, setting the stage for mandatory corporate sustainability reporting by 2030. Starting in 2026, large listed companies will be required to report on environmental, social, and governance (ESG) issues, with the standards providing flexibility for voluntary adoption beforehand. The final framework emphasises transparency, data accuracy, and investor credibility, ensuring alignment with international practices. These standards will also address critical local priorities, such as climate change and rural development, while easing the reporting burden for smaller firms.