Understanding the relationships between the development of the construction sector, carbon emissions, and economic growth in China: Supply-chain level analysis based on the structural production layer difference approach

Identifying the inter-sectoral relationships between the construction sector and other related sectors is crucial to reducing carbon emissions and promoting economic development. Non-competitive input–output models at comparable prices in 1992, 1997, 2002, 2007, 2012, and 2017 were used to conduct this study. The structural production layer difference (SPLD) method was employed in this study and complemented with the results of structural decomposition analysis to identify significant sectors affecting economic growth and carbon emissions in the construction sector. Please check editor name in valid PIT's and styled as title-footnote or misc-text according to JSS Overall, the carbon emissions and economic growth of China's construction sector in 2017 increased by 2.4 billion tonnes and 10,512.4 billion yuan, respectively, compared to 1992 at the 2000 price level. Important sectors influencing economic growth and carbon emissions in the construction sector are identified. Wholesale and retail trade sector (s31) and finance sector (s33) increased the economic growth of the construction sector without the additional emission of CO₂, which is economically and environmentally sustainable. Smelting and processing of the metals (s15) and transport and storage (s29) sectors simultaneously restrained economic growth and inhibited carbon emissions in the construction sector. The production and distribution of the electric and heat power sector (s25) stimulates the growth of carbon emissions in the sector of smelting and processing of the metals (s15), reducing the carbon reduction effect of smelting and processing of the metals (s15) on the construction sector. The SPLD results revealed that the direct impact of other services sector (s35) and transport and storage (s29) on carbon emissions in the construction sector has not been highlighted by the structural decomposition analysis (SDA). In terms of economic added value, processing of petroleum coking and the nuclear fuel sector (s12) is a pivotal sector in the supply chain influencing the added value from the extraction of petroleum and natural gas sector (s3) to the construction sector according to the results of SPLD.