The Kyoto Protocol established a Joint Implementation (Jl) regime for trade among states that had emissions caps, and a Clean Development Mechanism (CDM) to allow states with emissions caps to offset these by purchasing emissions reductions from non-capped states. Jl and CDM led to a large volume of Europe-dominated and project-based emissions trading, with the CDM credit supply largely captured by China, to the exclusion of least developed countries (LDCs) unable to compete with China's efficient, low-cost project pipeline. Such domestic policies may include national or subnational emissions trading programmes.