The capacity of agricultural cultivation for carbon sequestration and emission reduction plays a key role in advancing the green and sustainable development of agriculture and achieving both emission reduction and carbon sink objectives. This study constructs an index for agricultural carbon sequestration and emission reduction capacity using spatial autocorrelation analysis, Theil index, and kernel density estimation, to thoroughly explore spatiotemporal changes and regional differences in carbon sequestration and emission reduction capacity across China and its different grain functional areas. Major findings include: (1) From 2000 to 2020, China’s agricultural carbon sequestration and emission reduction capacity exhibited a fluctuating upward trend, consistent in grain main production areas, while production–consumption and main marketing areas showed a fluctuating decline. (2) From 2000 to 2020, positive spatial correlation in carbon sequestration and emission reduction capacity increased at both national and regional levels, particularly in the main production and production–consumption areas, while the main consumption areas demonstrated a trend toward negative correlation. (3) The Theil index of China’s agricultural carbon sequestration and emission reduction capacity showed an overall fluctuating increase, with interregional differences contributing over 54%, significantly surpassing intra-regional contributions. Moreover, the main producing regions are the main source of the overall national variance. (4) Kernel density analysis highlights that there are significant differences in the distribution and evolution of carbon sequestration and emission reduction capacity among different grain functional areas, and the overall development is unbalanced. Therefore, each region needs to formulate tailored measures to improve agricultural carbon sequestration efficiency, promote regional sustainable development, and achieve carbon reduction goals.
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