We decompose the changes Of CO2 emissions in APEC countries over time as well as the differences Of CO2 emissions among three income groups of APEC countries at a given period of time based on the logarithmic mean Divisia decomposition approach. Among the major findings of the paper the growth in per capita GDP and population are the two dominant contributors to the increase in CO2 emissions in most cases. Furthermore, energy efficiency and fuel switching are found to be the two most promising fields for possible cooperation between APEC member countries. (c) 2005 Elsevier Ltd. All rights reserved.