Mandatory environmental, social and governance regulatory requirements are beginning to take shape in mainland China, and global lawyers say their Chinese clients have become increasingly aware of the importance of ESG for attracting both foreign and domestic investment.

With China's ambitious climate goal of reaching peak carbon emissions by 2030 and carbon-neutrality by 2060, it is widely expected that mainland regulators will continue to accelerate the implementation of mandatory environmental disclosures in the future.

The ESG landscape is already transitioning from semi-mandatory rules to mandatory ones. But  lawyers say it is Hong Kong that has played a key role in familiarizing Chinese companies with tightening ESG requirements, and that it will continue to do so.