【Abstract】China is the largest cement producer and consumer in the world. The cement industry’s rapidgrowth has led to a large demand of energy. This study reviews China’s cement industry in terms of energyintensity and examines the effects of technological progress on energy intensity. It also discusses thefeasibility of achieving China’s energy reduction targets. We employ the Granger causality test and findthat the total factor productivity or technological progress causes the energy intensity of the cementindustry. Impulse responses analysis also proves that in the long run the technological change contributesto the decline in energy intensity of cement production.
【Keywords】cement industry；China；energy consumption；energy intensity；total factor productivity