Regional trade agreement burdens global carbon emissions mitigation

Tian, Kailan; Zhang, Yu; Li, Yuze; Ming, Xi; Jiang, Shangrong; Duan, Hongbo; Hewings, Geoffrey J. D.; Wang, Shouyang

doi:10.1038/s41467-022-28004-5

Cited by 78 publications

(31 citation statements)

References 68 publications

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“…At present, environmental regulations and laws in India are still dominated by the polluter-pays principle . However, considering pollution transfer along the supply chains, the Indian government would re-allocate export-related emission responsibility between consumers and producers − to provide a basis for the establishment of intranational air pollution responsibility-sharing and pollution compensation mechanism. Major producing regions like Madhya Pradesh and West Bengal could select more friendly trading partners to avoid sacrificing residents’ health in exchange for economic gains, while consuming regions can provide appropriate environmental compensation payments and best-available technologies for producing regions .…”

Section: Discussionmentioning

confidence: 99%

Exports Widen the Regional Inequality of Health Burdens and Economic Benefits in India

Long

Chen

Wang

et al. 2022

Environ. Sci. Technol.

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Both the ever-complex international and subnational supply chains could relocate health burdens and economic benefits across India, leading to the widening of regional inequality. Here, we simultaneously track the unequal distribution of fine particle matter (PM 2.5 ) pollution, health costs, and value-added embodied in inter-and intranational exports for Indian states in 2015 by integrating a nested multiregional input-output (MRIO) table constructed based on EXIOBASE and an Indian regional MRIO table, Emissions Database for Global Atmospheric Research (EDGAR), the Community Multi-Scale Air Quality (CMAQ) model, and a concentration-response function. The results showed that the annual premature deaths associated with PM 2.5 pollution embodied in inter-and intranational exports were 757,356 and 388,003 throughout India, accounting for 39% and 20% of the total premature deaths caused by PM 2.5 pollution, respectively. Richer south and west coastal states received around half of the national Gross Domestic Product (GDP) induced by exports with a quarter of the health burden, while poorer central and east states bear approximately 60% of the health burden with less than a quarter of national GDP. Our findings highlight the role of exports in driving the regional inequality of health burdens and economic benefits. Therefore, tailored strategies (e.g., air pollution compensation, advanced technology transfer, and export structure optimization) could be formulated.

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Section: Discussionmentioning

confidence: 99%

Exports Widen the Regional Inequality of Health Burdens and Economic Benefits in India

Long

Chen

Wang

et al. 2022

Environ. Sci. Technol.

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“…For example, regional trade agreements, following WTO rules, are committed to employing zero or close to zero tariffs among members. Tian et al (2022) showed that complete tariff elimination among the Regional Comprehensive Economic Partnership (RCEP) members would increase the yearly global CO 2 emissions from fuel combustion by about 3.1 percent, doubling the annual average growth rate of global CO 2 emissions in the last decade. In this sense, inclusive policies such as expanding green product lists and promoting trade facilitation are urgently needed for balancing trade gains and environmental protection.…”

Section: Discussionmentioning

confidence: 99%

Imported intermediates, technology spillover, and green development: Evidence from Chinese firms

Huang

Pei

2022

Front. Environ. Sci.

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Firms are critical stakeholders to achieve sustainable development. Thus, corporate environmental performance is a subject of broad concern. In an era of globalization, the relationship between trade and environment is hotly debated. One of the central questions is—will imported intermediates contribute to pollution abatement? Using Chinese firm-level data from 2000 to 2013, the article measures the technology spillover of imported intermediates and empirically tests the inhibitory effect and influence mechanism on pollution intensity with a fixed effects model and an instrumental variable approach. We find that: 1) the technology spillover directly increases innovation and indirectly affects innovation by importing diversity. Imported intermediates empower firms with insufficient innovation to control pollution. However, the incentive effect declines when innovation gradually improves. 2) The technology spillover diffuses along the industrial chain. Downstream firms benefit from the diffusion and thus have lower pollution intensity than upstream firms. 3) The technology spillover contributes to the end-of-pipe emission reduction. Also, it improves energy efficiency and promotes source governance. Furthermore, the environmental benefits of imported intermediates differ along a number of dimensions including sourcing countries, firm ownership, and location. Thus, we pinpoint a new channel concerning trade-induced technique effect. Meanwhile, our results confirm the rationale of liberalization and facilitation policies for imported intermediates, that is, trade policies have the potential to better contribute to sustainable development goals.

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“…With the reduction in regional tariffs, the CO 2 emissions embodied in the trade of developing countries will surge [19]. Wang and Yang [20] investigated CO 2 emissions embodied in Chinese-Indian trade and proposed that China was a net exporter of CO 2 and a net exporter of trade.…”

Section: Introduction 1backgroundmentioning

confidence: 99%

Estimation of CO2 Emissions Embodied in Domestic Trade and Their Influencing Factors in Japan

Huang

Matsumoto

2022

Sustainability

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CO2 emissions embodied in domestic trade between Japanese prefectures are gradually increasing and becoming an important growth point in the country's CO2 emissions. The primary objective of this study is to evaluate the CO2 emissions embodied in Japan’s domestic imports and exports to visualize the carbon transfer paths between prefectures according to the attributes of production and consumption: also to identify the influencing factors of the carbon flow. This study estimated the CO2 emissions embodied in domestic imports and exports by prefectures using input–output analysis, followed by the log-mean Divisia index decomposition approach, which is used to quantify the influencing factor of net export CO2 emissions across prefectures. The results show substantial regional differences in the CO2 emissions embodied in domestic imports and exports across prefectures. Manufacturing prefectures satisfy most of Japan’s domestic demand for industrial products and are the main net exporters of CO2 emissions. Carbon flow is more obvious in economically advanced regions (such as the Kanto and Kansai regions) and covers more prefectures through carbon transfer. Consumer prefectures import the most CO2 emissions and export large amounts of CO2 emissions to other prefectures. Among the three factors influencing net export CO2 emissions, the technology effect has the most significant impact through the carbon intensity of domestic trade flows. These findings highlight the substantial differences in CO2 emissions embodied in domestic trade and the influencing factors across prefectures in Japan. The responsibility for emission reduction is attributable to both manufacturing and consumer prefectures.

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Regional trade agreement burdens global carbon emissions mitigation

Cited by 78 publications

References 68 publications

Exports Widen the Regional Inequality of Health Burdens and Economic Benefits in India

Exports Widen the Regional Inequality of Health Burdens and Economic Benefits in India

Imported intermediates, technology spillover, and green development: Evidence from Chinese firms

Estimation of CO2 Emissions Embodied in Domestic Trade and Their Influencing Factors in Japan

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