IDEAS home Printed from https://ideas.repec.org/a/gam/jeners/v16y2023i4p2016-d1072423.html
   My bibliography  Save this article

Does Information and Communication Technology Trade Openness Matter for China’s Energy Transformation and Environmental Quality?

Author

Listed:
  • Yinhui Wang

    (College of Commerce, Jeonbuk National University, Jeonju 54896, Republic of Korea)

  • Yugang He

    (Department of Chinese Trade and Commerce, Sejong University, Seoul 05006, Republic of Korea)

Abstract

Energy transformation and environmental quality are now fundamental components of China’s economic development plans, which are being reorganized to ensure the dependability of the energy supply and protect environmental quality. Nonetheless, technical inefficiency is one of the most significant obstacles to achieving these overall objectives. Therefore, utilizing yearly data from 2000 to 2021 and the autoregressive distributed lag model, this article examines the implications of information and communication technology trade openness on China’s energy transformation and environmental quality. The findings indicate that information and communication technology trade openness has a favorable impact on environmental quality as a consequence of its negative impact on carbon dioxide emissions. Moreover, the findings indicate that information and communication technology trade openness has a beneficial impact on energy transformation due to its positive impact on renewable energy consumption and negative impact on energy intensity. In conclusion, our findings demonstrate the necessity of eliminating obstacles to information and communication technology trade in China in terms of guaranteeing energy transformation and environmental quality. Therefore, it is optimal for China’s government to progressively reduce trade barriers in order to increase cross-border flows of information and communication technology products.

Suggested Citation

  • Yinhui Wang & Yugang He, 2023. "Does Information and Communication Technology Trade Openness Matter for China’s Energy Transformation and Environmental Quality?," Energies, MDPI, vol. 16(4), pages 1-16, February.
    • Handle: RePEc:gam:jeners:v:16:y:2023:i:4:p:2016-:d:1072423
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1996-1073/16/4/2016/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1996-1073/16/4/2016/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chen, Yulong & Wang, Zheng & Zhong, Zhangqi, 2019. "CO2 emissions, economic growth, renewable and non-renewable energy production and foreign trade in China," Renewable Energy, Elsevier, vol. 131(C), pages 208-216.
    2. Solomon E. Uhunamure & Karabo Shale, 2021. "A SWOT Analysis Approach for a Sustainable Transition to Renewable Energy in South Africa," Sustainability, MDPI, vol. 13(7), pages 1-18, April.
    3. Simpson, Nicholas Philip & Rabenold, Colton James & Sowman, Merle & Shearing, Clifford D., 2021. "Adoption rationales and effects of off-grid renewable energy access for African youth: A case study from Tanzania," Renewable and Sustainable Energy Reviews, Elsevier, vol. 141(C).
    4. Chen, Xia & Rahaman, Md Atikur & Murshed, Muntasir & Mahmood, Haider & Hossain, Md Afzal, 2023. "Causality analysis of the impacts of petroleum use, economic growth, and technological innovation on carbon emissions in Bangladesh," Energy, Elsevier, vol. 267(C).
    5. Tan, Hua & Iqbal, Nadeem & Wu, Zhengzhong, 2022. "Evaluating the impact of stakeholder engagement for renewable energy sources and economic growth for CO2 emission," Renewable Energy, Elsevier, vol. 198(C), pages 999-1007.
    6. Yugang He & Xiang Li & Panpan Huang & Jingnan Wang, 2022. "Exploring the Road toward Environmental Sustainability: Natural Resources, Renewable Energy Consumption, Economic Growth, and Greenhouse Gas Emissions," Sustainability, MDPI, vol. 14(3), pages 1-16, January.
    7. M. Hashem Pesaran & Yongcheol Shin & Richard J. Smith, 2001. "Bounds testing approaches to the analysis of level relationships," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 16(3), pages 289-326.
    8. Gagnon, Luc & Belanger, Camille & Uchiyama, Yohji, 2002. "Life-cycle assessment of electricity generation options: The status of research in year 2001," Energy Policy, Elsevier, vol. 30(14), pages 1267-1278, November.
    9. Shahbaz, Muhammad & Balsalobre-Lorente, Daniel & Sinha, Avik, 2019. "Foreign Direct Investment–CO2 Emissions Nexus in Middle East and North African countries: Importance of Biomass Energy Consumption," MPRA Paper 91729, University Library of Munich, Germany, revised 19 Jan 2019.
    10. Zhang, Chuanguo & Zhou, Xiangxue, 2016. "Does foreign direct investment lead to lower CO2 emissions? Evidence from a regional analysis in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 943-951.
    11. Bosede Ngozi Adeleye & Festus Adedoyin & Solomon Nathaniel, 2021. "The criticality of ICT-trade nexus on economic and inclusive growth," Information Technology for Development, Taylor & Francis Journals, vol. 27(2), pages 293-313, April.
    12. Udemba, Edmund Ntom & Tosun, Merve, 2022. "Energy transition and diversification: A pathway to achieve sustainable development goals (SDGs) in Brazil," Energy, Elsevier, vol. 239(PC).
    13. Ma, Qiang & Tariq, Muhammad & Mahmood, Haider & Khan, Zeeshan, 2022. "The nexus between digital economy and carbon dioxide emissions in China: The moderating role of investments in research and development," Technology in Society, Elsevier, vol. 68(C).
    14. Yugang He & Panpan Huang, 2022. "Exploring the Forms of the Economic Effects of Renewable Energy Consumption: Evidence from China," Sustainability, MDPI, vol. 14(13), pages 1-16, July.
    15. Evans, Olaniyi & Mesagan, Ekundayo Peter, 2022. "ICT-trade and pollution in Africa: Do governance and regulation matter?," Journal of Policy Modeling, Elsevier, vol. 44(3), pages 511-531.
    16. Ehsan Rasoulinezhad & Farhad Taghizadeh-Hesary & Jinsok Sung & Nisit Panthamit, 2020. "Geopolitical Risk and Energy Transition in Russia: Evidence from ARDL Bounds Testing Method," Sustainability, MDPI, vol. 12(7), pages 1-17, March.
    17. Usman, Ahmed & Ozturk, Ilhan & Ullah, Sana & Hassan, Ali, 2021. "Does ICT have symmetric or asymmetric effects on CO2 emissions? Evidence from selected Asian economies," Technology in Society, Elsevier, vol. 67(C).
    18. Nath, Hiranya K. & Liu, Lirong, 2017. "Information and communications technology (ICT) and services trade," Information Economics and Policy, Elsevier, vol. 41(C), pages 81-87.
    19. Shahzad, Khuram & Jianqiu, Zeng & Hashim, Muhammad & Nazam, Muhammad & Wang, Lei, 2020. "Impact of using information and communication technology and renewable energy on health expenditure: A case study from Pakistan," Energy, Elsevier, vol. 204(C).
    20. Lee, Chien-Chiang & He, Zhi-Wen & Xiao, Fu, 2022. "How does information and communication technology affect renewable energy technology innovation? International evidence," Renewable Energy, Elsevier, vol. 200(C), pages 546-557.
    21. Lee, Chien-Chiang & Yuan, Zihao & Wang, Qiaoru, 2022. "How does information and communication technology affect energy security? International evidence," Energy Economics, Elsevier, vol. 109(C).
    22. Tyagi, V.V. & Rahim, Nurul A.A. & Rahim, N.A. & Selvaraj, Jeyraj A./L., 2013. "Progress in solar PV technology: Research and achievement," Renewable and Sustainable Energy Reviews, Elsevier, vol. 20(C), pages 443-461.
    23. Nejati, Mehdi & Shah, Muhammad Ibrahim, 2023. "How does ICT trade shape environmental impacts across the north-south regions? Intra-regional and Inter-regional perspective from dynamic CGE model," Technological Forecasting and Social Change, Elsevier, vol. 186(PB).
    24. Tian, Jinfang & Yu, Longguang & Xue, Rui & Zhuang, Shan & Shan, Yuli, 2022. "Global low-carbon energy transition in the post-COVID-19 era," Applied Energy, Elsevier, vol. 307(C).
    25. Irfan, Muhammad & Chen, Zhenling & Adebayo, Tomiwa Sunday & Al-Faryan, Mamdouh Abdulaziz Saleh, 2022. "Socio-economic and technological drivers of sustainability and resources management: Demonstrating the role of information and communications technology and financial development using advanced wavele," Resources Policy, Elsevier, vol. 79(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Xi Liu & Yugang He & Renhong Wu, 2024. "Revolutionizing Environmental Sustainability: The Role of Renewable Energy Consumption and Environmental Technologies in OECD Countries," Energies, MDPI, vol. 17(2), pages 1-21, January.
    2. Lin Wang & Yugang He & Renhong Wu, 2024. "Digitization Meets Energy Transition: Shaping the Future of Environmental Sustainability," Energies, MDPI, vol. 17(4), pages 1-25, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zameer, Hashim & Yasmeen, Humaira & Zafar, Muhammad Wasif & Waheed, Abdul & Sinha, Avik, 2020. "Analyzing the association between Innovation, Economic Growth, and Environment: Divulging the Importance of FDI and Trade Openness in India," MPRA Paper 101323, University Library of Munich, Germany, revised 2020.
    2. Aamir Javed & José Alberto Fuinhas & Agnese Rapposelli, 2023. "Asymmetric Nexus between Green Technology Innovations, Economic Policy Uncertainty, and Environmental Sustainability: Evidence from Italy," Energies, MDPI, vol. 16(8), pages 1-20, April.
    3. Lin, Boqiang & Ullah, Sami, 2023. "Towards the goal of going green: Do green growth and innovation matter for environmental sustainability in Pakistan," Energy, Elsevier, vol. 285(C).
    4. Muntasir Murshed & Mohamed Elheddad & Rizwan Ahmed & Mohga Bassim & Ei Thuzar Than, 2022. "Foreign Direct Investments, Renewable Electricity Output, and Ecological Footprints: Do Financial Globalization Facilitate Renewable Energy Transition and Environmental Welfare in Bangladesh?," Asia-Pacific Financial Markets, Springer;Japanese Association of Financial Economics and Engineering, vol. 29(1), pages 33-78, March.
    5. Kangni Lyu & Shuwang Yang & Kun Zheng & Yao Zhang, 2023. "How Does the Digital Economy Affect Carbon Emission Efficiency? Evidence from Energy Consumption and Industrial Value Chain," Energies, MDPI, vol. 16(2), pages 1-20, January.
    6. Li, Yang & Zhang, Xiaoyan & Stan, Sebastian-Emanuel & Chang, Tsangyao, 2023. "The impact of natural resources on sustainable development in China: A critical analysis of globalization and renewable energy," Resources Policy, Elsevier, vol. 86(PA).
    7. Marques, António Cardoso & Caetano, Rafaela, 2020. "The impact of foreign direct investment on emission reduction targets: Evidence from high- and middle-income countries," Structural Change and Economic Dynamics, Elsevier, vol. 55(C), pages 107-118.
    8. Zhuoqi Teng & Yugang He & Zhi Qiao, 2023. "Exploring the Synergistic Effects of Digitalization and Economic Uncertainty on Environmental Sustainability: An Investigation from China," Sustainability, MDPI, vol. 15(15), pages 1-24, August.
    9. Marques, António Cardoso & Caetano, Rafaela Vital, 2022. "Do greater amounts of FDI cause higher pollution levels? Evidence from OECD countries," Journal of Policy Modeling, Elsevier, vol. 44(1), pages 147-162.
    10. Liao, Haojie & Chen, Yuqiang & Tan, RongYong & Chen, Yuling & Wei, Xiaoyu & Yang, Hongmei, 2023. "Can natural resource rent, technological innovation, renewable energy, and financial development ease China's environmental pollution burden? New evidence from the nonlinear-autoregressive distributiv," Resources Policy, Elsevier, vol. 84(C).
    11. Lee, Chien-Chiang & Wang, Fuhao & Lou, Runchi, 2022. "Digital financial inclusion and carbon neutrality: Evidence from non-linear analysis," Resources Policy, Elsevier, vol. 79(C).
    12. Charfeddine, Lanouar & Umlai, Mohamed, 2023. "ICT sector, digitization and environmental sustainability: A systematic review of the literature from 2000 to 2022," Renewable and Sustainable Energy Reviews, Elsevier, vol. 184(C).
    13. Shunbin Zhong & Huafu Shen & Ziheng Niu & Yang Yu & Lin Pan & Yaojun Fan & Atif Jahanger, 2022. "Moving towards Environmental Sustainability: Can Digital Economy Reduce Environmental Degradation in China?," IJERPH, MDPI, vol. 19(23), pages 1-23, November.
    14. Ajayi, Patricia & Ogunrinola, Adedeji, 2020. "Growth, Trade Openness and Environmental Degradation in Nigeria," MPRA Paper 100713, University Library of Munich, Germany.
    15. Yugang He, 2022. "Renewable and Non-Renewable Energy Consumption and Trade Policy: Do They Matter for Environmental Sustainability?," Energies, MDPI, vol. 15(10), pages 1-17, May.
    16. Francisco García-Lillo & Eduardo Sánchez-García & Bartolomé Marco-Lajara & Pedro Seva-Larrosa, 2023. "Renewable Energies and Sustainable Development: A Bibliometric Overview," Energies, MDPI, vol. 16(3), pages 1-22, January.
    17. Karaaslan, Abdulkerim & Çamkaya, Serhat, 2022. "The relationship between CO2 emissions, economic growth, health expenditure, and renewable and non-renewable energy consumption: Empirical evidence from Turkey," Renewable Energy, Elsevier, vol. 190(C), pages 457-466.
    18. Yugang He & Ziqian Zhang, 2022. "Energy and Economic Effects of the COVID-19 Pandemic: Evidence from OECD Countries," Sustainability, MDPI, vol. 14(19), pages 1-13, September.
    19. Chien, FengSheng, 2022. "How renewable energy and non-renewable energy affect environmental excellence in N-11 economies?," Renewable Energy, Elsevier, vol. 196(C), pages 526-534.
    20. Marques, António Cardoso & Junqueira, Thibaut Manuel, 2022. "European energy transition: Decomposing the performance of nuclear power," Energy, Elsevier, vol. 245(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jeners:v:16:y:2023:i:4:p:2016-:d:1072423. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.