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Influence of trade on national CO 2 emissions

Author

Listed:
  • Jesper Munksgaard
  • Lise-Lotte Pade
  • Jan Minx
  • Manfred Lenzen

Abstract

International trade has an impact on national CO2 emissions and consequently on the ability to fulfil national CO2 reduction targets. Through goods and services traded in a globally interdependent world, the consumption in each country is linked to greenhouse gas emissions in other countries. It has been argued that in order to achieve equitable reduction targets, international trade has to be taken into account when assessing nations' responsibility for abating climate change. Especially for open economies such as Denmark, greenhouse gases embodied in internationally traded commodities can have a considerable influence on the national "greenhouse gas responsibility". By using input-output modelling, we analyse the influence from international trade on national CO2 emissions. The aim is to show that trade is the key to define CO2 responsibility on a macroeconomic level and that imports should be founded in a multi-region model approach. Finally, the paper concludes on the need to consider the impact from foreign trade when negotiating reduction targets and base line scenarios.

Suggested Citation

  • Jesper Munksgaard & Lise-Lotte Pade & Jan Minx & Manfred Lenzen, 2005. "Influence of trade on national CO 2 emissions," International Journal of Global Energy Issues, Inderscience Enterprises Ltd, vol. 23(4), pages 324-336.
    • Handle: RePEc:ids:ijgeni:v:23:y:2005:i:4:p:324-336
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    Citations

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    Cited by:

    1. Yang, Jin & Chen, Bin, 2014. "Carbon footprint estimation of Chinese economic sectors based on a three-tier model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 29(C), pages 499-507.
    2. Wang, Jiayu & Ji, Chang-Jing & Liu, Yu & Shan, Yuli & Hubacek, Klaus & Wei, Yi-Ming & Wang, Ke, 2024. "Re-investigating the shared responsibility for trade-embodied carbon emissions," Ecological Economics, Elsevier, vol. 220(C).
    3. Marco Springmann & Da Zhang & Valerie Karplus, 2015. "Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 61(4), pages 615-640, August.
    4. Nouf Alnafisah & Eman Alsmari & Amal Alshehri & Jawaher Binsuwadan, 2024. "Assessing the Impacts of Technological Innovation on Carbon Emissions in MENA Countries: Application of the Innovation Curve Theory," Energies, MDPI, vol. 17(4), pages 1-15, February.
    5. Andersen, Otto & Gössling, Stefan & Simonsen, Morten & Walnum, Hans Jakob & Peeters, Paul & Neiberger, Cordula, 2010. "CO2 emissions from the transport of China's exported goods," Energy Policy, Elsevier, vol. 38(10), pages 5790-5798, October.
    6. Wiedmann, Thomas, 2009. "A first empirical comparison of energy Footprints embodied in trade -- MRIO versus PLUM," Ecological Economics, Elsevier, vol. 68(7), pages 1975-1990, May.
    7. Qi, Wei & Li, Guangdong, 2020. "Residential carbon emission embedded in China's inter-provincial population migration," Energy Policy, Elsevier, vol. 136(C).
    8. Guo, Ju’e & Zhang, Zengkai & Meng, Lei, 2012. "China’s provincial CO2 emissions embodied in international and interprovincial trade," Energy Policy, Elsevier, vol. 42(C), pages 486-497.
    9. Fan, Jing-Li & Hou, Yun-Bing & Wang, Qian & Wang, Ce & Wei, Yi-Ming, 2016. "Exploring the characteristics of production-based and consumption-based carbon emissions of major economies: A multiple-dimension comparison," Applied Energy, Elsevier, vol. 184(C), pages 790-799.
    10. Springmann, Marco & Zhang, Da & Xiliang, Zhang & Karplus, Valerie J., 2013. "Incorporating consumption-based emissions accounting into climate policy in China: Provincial target setting and ETS baseline allocations," Conference papers 332341, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    11. Jing-Li Fan & Qian Wang & Shiwei Yu & Yun-Bing Hou & Yi-Ming Wei, 2017. "The evolution of CO2 emissions in international trade for major economies: a perspective from the global supply chain," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 22(8), pages 1229-1248, December.
    12. Tao Ding & Yadong Ning & Yan Zhang, 2017. "The Contribution of China’s Outward Foreign Direct Investment (OFDI) to the Reduction of Global CO 2 Emissions," Sustainability, MDPI, vol. 9(5), pages 1-15, May.
    13. Sinha, Avik & Sen, Sudipta, 2016. "Atmospheric consequences of trade and human development: A case of BRIC countries," MPRA Paper 100011, University Library of Munich, Germany.
    14. Leying Wu & Zhangqi Zhong & Changxin Liu & Zheng Wang, 2017. "Examining PM 2.5 Emissions Embodied in China’s Supply Chain Using a Multiregional Input-Output Analysis," Sustainability, MDPI, vol. 9(5), pages 1-15, May.
    15. Grzegorz Mentel & Waldemar Tarczyński & Marek Dylewski & Raufhon Salahodjaev, 2022. "Does Renewable Energy Sector Affect Industrialization-CO 2 Emissions Nexus in Europe and Central Asia?," Energies, MDPI, vol. 15(16), pages 1-12, August.
    16. Liu, Hongguang & Liu, Weidong & Fan, Xiaomei & Zou, Wei, 2015. "Carbon emissions embodied in demand–supply chains in China," Energy Economics, Elsevier, vol. 50(C), pages 294-305.
    17. Hongguang Liu & Xiaomei Fan, 2017. "Value-Added-Based Accounting of CO 2 Emissions: A Multi-Regional Input-Output Approach," Sustainability, MDPI, vol. 9(12), pages 1-18, December.
    18. Liu, Xianbing & Ishikawa, Masanobu & Wang, Can & Dong, Yanli & Liu, Wenling, 2010. "Analyses of CO2 emissions embodied in Japan-China trade," Energy Policy, Elsevier, vol. 38(3), pages 1510-1518, March.

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