The forecast for climate change-related taxes in China, expressed as a percentage of GDP, indicates a gradual decline from 0.35% in 2024 to 0.28% in 2028. This steady decrease suggests a potential shift in fiscal policy or economic growth outpacing the increase in climate-related tax revenue. Year-on-year, the values show a reduction of approximately 0.01 to 0.02 percentage points annually. Given the scenario over these forecasted years, the compound annual growth rate (CAGR) reflects an average decline, reinforcing a consistent downtrend over the period.
Future trends to watch for include China's economic recovery post-pandemic, any shifts in government policies regarding environmental initiatives, or potential changes due to international climate agreements. Monitoring these elements will be crucial in understanding future trajectory and potential adjustments in fiscal strategies related to climate change.
