Socioeconomic drivers of China's resource efficiency improvement: A structural decomposition analysis for 1997-2017

Resource efficiency was selected as an important SDG indicator because it is closely related to resource utilization with its environmental impacts. Considering China's massive resource consumption and great environmental pressure, we need to understand the status of resource utilization by exploring the resource efficiency of China. Resource consumption per unit of GDP (also called resource intensity) is an indicator that can be utilized to measure resource efficiency. In this study, we analyze the drivers of China's resource intensity changes from 1997 to 2017 using the structural decomposition analysis (SDA) method based on an input-output model. Furthermore, we calculate the resource intensity of various sectors in China. The results show that China's total resource intensity dropped by 20% from 1997 to 2017. The direct distribution effect of resource intensity is the strongest contributor to the decline in total resource intensity, while input structure is the biggest obstacle. Among all the sectors, the construction sector has the largest resource intensity. Our findings can support the implementation of relevant policies during the 14th Five-Year Plan period from the perspectives of supply, production, and demand sides. 1) Reducing the inflow of non-metallic minerals to the construction sector to optimize the supply structure. 2) Implementing green transformation of the construction sector by using more environmentally friendly and recyclable building materials, upgrading technology and strengthening policy supervision. 3) Encouraging the consumption of low-resource-intensity products, the reduction of food waste and the development of a green diet structure.

Automated summary

This study analyzes the drivers of China's resource intensity changes and finds that China's total resource intensity has decreased by 20% in the past 20 years. The direct distribution effect is the main contributor to the decline, while input structure poses the biggest obstacle. The construction sector has the highest resource intensity.