Palm oil is found in foods, cosmetics, detergents, fuels, and many other everyday products. It supplies about 30% of the world's vegetable oil while producing substantially more oil per hectare than crops such as soybean. Yet its expansion has also been linked to deforestation, peatland degradation, biodiversity loss, and high greenhouse gas emissions.
A new review published in Agricultural Ecology and Environment examines how China's carbon reduction commitments could influence the environmental performance of the global palm oil industry. The researchers conclude that palm oil can support climate goals only when production avoids forests and peatlands and is backed by effective governance, reliable monitoring, and economically practical technologies.
"China is not only a major palm oil market, but also a potentially powerful driver of change across the international supply chain," said corresponding author Zhihua Mu of Qinghai University and Hainan Seed Industry Laboratory. "By improving procurement standards, traceability, carbon accounting, and technology cooperation, China can help encourage palm oil production that is more transparent, resource-efficient, and climate responsible."
China is the world's second-largest palm oil importer, with most supplies coming from Indonesia and Malaysia. The commodity is widely used in China's food industry, particularly in instant noodles, baked products, and fried snacks, as well as in cosmetics and industrial products.
China has committed to reaching peak carbon emissions before 2030 and carbon neutrality before 2060. However, the review finds that current climate policies focus largely on emissions produced within China, while giving less attention to the carbon released overseas during the cultivation and processing of imported commodities.
The researchers identified several barriers to progress. China currently lacks unified mandatory sustainability requirements for imported palm oil. Certification remains limited, supply-chain information can be difficult to verify, and the costs of compliance may prevent smallholders and smaller companies from participating. Carbon accounting methods also frequently exclude emissions associated with overseas land conversion.
The study highlights certification, green procurement, deforestation-free sourcing, and stronger digital traceability as immediate priorities. Technologies combining satellite monitoring, blockchain records, and supply-chain data could help companies and regulators track palm oil from plantations to consumers. However, the authors caution that technology alone cannot guarantee sustainability without consistent standards, independent verification, and effective enforcement.
Palm oil residues also offer opportunities for a circular bioeconomy. Empty fruit bunches, palm kernel shells, fibers, and palm oil mill wastewater can be converted into electricity, biogas, biofuels, biochar, and other valuable materials. Methane capture and biomass recovery are among the most commercially realistic near-term options for reducing emissions.
The review also examines claims that oil palm plantations can act as carbon sinks. Oil palms grow rapidly and store carbon in their trunks, leaves, roots, and soils. However, their climate value depends heavily on what type of land was present before planting. Establishing plantations on degraded land may increase carbon storage, while replacing tropical forest or draining peatland can create a carbon debt that lasts for decades.
The authors propose three main priorities: stronger sustainability and traceability requirements for imported palm oil, carbon accounting that includes emissions embedded in international supply chains, and investment in mature technologies such as methane capture, residue utilization, and practical monitoring systems.
"There is no single solution that can make palm oil sustainable," Mu said. "Meaningful progress will require coordinated action across governments, companies, financial institutions, producers, and consumers."
The review emphasizes that China's Dual Carbon goals could become an important force for improving palm oil production worldwide. Without stronger safeguards and accountability, however, the gap between climate commitments and the environmental realities of global commodity trade will remain.
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Journal Reference: Yang S, Ma Y, Hao S, Wimalasiri EM, Yang Z, et al. 2026. Integrating the palm oil industry into China's Dual Carbon goals: governance and technological pathways. Agricultural Ecology and Environment 2: e012 doi: 10.48130/aee-0026-0011
https://www.maxapress.com/article/doi/10.48130/aee-0026-0011
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About Agricultural Ecology and Environment :
Agricultural Ecology and Environment (e-ISSN 3070-0639) is a multidisciplinary platform for communicating advances in fundamental and applied research on the agroecological environment, focusing on the interactions between agroecosystems and the environment. It is dedicated to advancing the understanding of the complex interactions between agricultural practices and ecological systems. The journal aims to provide a comprehensive and cutting-edge forum for researchers, practitioners, policymakers, and stakeholders from diverse fields such as agronomy, ecology, environmental science, soil science, and sustainable development.
