Industrial growth is key to unlocking economic development for the world’s emerging economies. The East Asian region has grasped this reality and catapulted its growth by manufacturing a range of products, from the steel and cement that drive their industrialization to the electronics and clothes that consumers rely on around the world. However, the region has achieved this rapid growth by leaning into traditional manufacturing technologies and processes, which rely on fossil fuels. To ensure that the region’s economic prosperity does not come at the expense of a healthy population and livable planet, policy makers and financing institutions must work fast to transition industrial energy use to clean sources. This industrial transition strategy will, if it succeeds, only enhance the region’s economic competitiveness, create new jobs, and improve energy security.
This report “Industrial Decarbonization in East Asia: Transforming Energy, Finance, Technology, and Jobs” by The World Bank identifies the best pathways to eliminate industrial greenhouse gas emissions in three emerging economies in the region: China, Indonesia, and Viet Nam. It focuses on manufacturing activities (not mining, drilling, agriculture, or construction) and covers a range of industrial decarbonization technologies, including energy and material efficiency; electrification; carbon capture, use, and storage (CCUS); green hydrogen; and clean chemical feedstocks. It groups those technologies into six tiers, from the highest priority approaches to the lowest (based on costs, practicality, and technological maturity). The aim is to help policy makers and investors sequence their support for industrial projects based on their chances of success.
Access the report here
