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The Chinese economy has been recovering slowly from the global financial crisis, but it cannot achieve the same rapid development of the pre-recession period. Instead, the country has entered a new phase of economic development—a'new normal'. We use a structural decomposition analysis and environmental input–output analysis to estimate the determinants of China's carbon emission changes during 2005–2012. China's imports are linked to a global multi-regional input–output model based on the Global Trade and Analysis Project database to calculate the embodied CO 2 emissions in imports. We find that the global financial crisis has affected the drivers of China's carbon emission growth. From 2007 to 2010, the CO 2 emissions induced by China's exports dropped, whereas emissions induced by capital formation grew rapidly. In the'new normal', the strongest factors that offset CO 2 emissions have shifted …