Advancing China's Sustainable Blue Economy 2025

6Sustainable development is a global issue that directly impacts social progress and human well-being. In the context of intensifying climate change, exacerbated by pollution and other development activities, both biodiversity and livelihoods are exposed to increasing risks. The transformation of marine economic sectors towards an SBE is imperative, as these sectors can pose threats to the ocean if their practices are not properly regulated or sustainably managed. Conversely, they can be part of the solution to address climate change and biodiversity loss if strategic policies are implemented. As a major maritime nation, China’s ocean economy holds a significant position in the national economy; however, the traditional development model can no longer meet the demands of the new era. It is now imperative to promote necessary policy reforms and accelerate sustainable ocean management. Accelerating the establishment of an SBE system is crucial for promoting high-quality economic development, safeguarding national maritime interests, and achieving harmonious coexistence between humanity and nature. This report focuses on establishing of the foundation for China’s SBE. It reviews the global and domestic context of SBE development, analyzes the key opportunities and challenges, and provides a systematic analysis of policy frameworks, ocean accounting, and blue finance tools. The main findings are as follows: 1. The importance of the SBE is increasingly prominent. The ocean not only supports 80% of global trade and provides critical blue food security, but also fosters emerging industries such as offshore wind power and blue biotechnology. China’s gross ocean product has continued to grow, accounting for approximately 8% of the national GDP in 2024. The ocean economy is playing an increasingly vital role in promoting employment, ensuring food security, and supporting the sustainable development of coastal regions. 2. The development of an SBE faces complex challenges. Although China has made progress in optimizing the structure of its ocean economy, ecological protection, and technological innovation, it still faces issues such as declining environmental carrying capacity of marine resources, fragmented management systems, insufficient social inclusiveness, and a lack of relevant standards and policy tools. Additionally, climate change–induced sea level rise and the increasing frequency of extreme weather events have further exacerbated the vulnerability of coastal economies.3. The ocean accounting system needs improvement to support SBE development. To achieve sound governance and informed policy-making, it is essential to establish a ocean accounting system that incorporate ecosystem services and non- market values, and promote data sharing and standardized statistics. These measures will enhance the scientific basis and transparency of ocean governance and performance monitoring. 4. Blue finance still needs to be further activated. While blue financial instruments and standards have begun to show results, there remain significant gaps compared to the existing green finance in terms of dedicated financing, financial standards, incentive mechanisms, and information disclosure. Local pilot innovations have provided valuable experience for national implementation, making it urgent to improve national standards for blue finance. 5. Based on the above findings, this report proposes development pathways and policy recommendations for advancing the SBE in China, To achieve a more ambitious transformation, the concept of an SBE should be integrated into the top-level policy frameworks with clear definitions and guiding principles, as well as incorporated into the 15th FYP and the subsequent policies to drive the necessary changes. It is also essential to establish inter-ministerial coordination mechanisms; encourage local pilot initiatives; improve comprehensive ocean accounting systems and blue finance incentive standards; strengthen social inclusion and gender equality; and support international cooperation and knowledge exchange. Through systematic policy advancement and institutional innovation, China can play a leading role in the international SBE and ocean governance agenda, achieving synergies among business development, ecological protection, and social well-being, and contributing to the building of a strong maritime nation and a Beautiful China.Executive summary