Accurate energy efficiency prediction is crucial for decision-making in large-scale chemical production, especially considering energy management and environmental concerns. The complexity of chemical processes, characterized by strong nonlinearities, dynamics, and uncertainties, challenges traditional prediction methods. This paper introduces KHSM (Kernel-based Hammerstein Subspace Model), which models nonlinear static and linear dynamic processes in series by embedding kernel function-based nonlinear mapping into subspace modeling for energy efficiency estimation. KHSM identifies nonlinear process models without explicit nonlinear mapping functions, constructing dynamic models that encompass both energy input and product output variables. An adaptive KHSM variant dynamically updates the energy efficiency model, improving accuracy by iteratively selecting and excluding samples. Comparative analysis shows KHSM outperforms existing methods, achieving a coefficient of determination (R2) closest to 1 and reducing the root-mean-square error (RMSE) by up to an order of magnitude, with the smallest mean and standard deviation. Additionally, modeling efficiency increases by an order of magnitude. The developed model enables ongoing energy efficiency estimation and proactive identification of efficiency trends. Validation through mathematical and real-world ethylene process cases demonstrates KHSM’s efficacy and applicability. These estimates facilitate informed adjustments to energy management strategies and optimization of production approaches in energy-intensive chemical processes.