Abstract:Considering the carbon tax of government , financial subsidies and other factors, this paper build a two-stage supply chain model with a manufacturer and a retailer under low-carbon environment. Solving the optimal pricing and market demand for the manufacturer and retailer based on the principle of profit maximization. On this basis, analyzed the effect of consumer’s low-carbon preferences, carbon tax of the government , tax rebates or consumer subsidies and carbon emissions to pricing and demand of supply chain. Given the relationship between the product pricing and emission reduction strategy, Finally, further analyzed the conclusion through numerical simulation. Provide decision-making reference for product pricing and emission reduction to firm , carbon tax and financial subsidies to government.