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Energy use and exporting: an analysis of Chinese firms

Author

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  • Isabel-Maria Bodas Freitas

    (Grenoble Ecole de Management)

  • Jojo Jacob

    (Grenoble Ecole de Management)

  • Lili Wang

    (UNU-MERIT, Maastricht University)

  • Zibiao Li

    (Hebei University of Technology)

Abstract

As global emissions increase with global trade, there is a critical need to understand the importance of energy use in export-oriented manufacturing activities in emerging economies. We investigate this issue by examining whether the extent of firms’ involvement in exporting is associated with the energy-intensiveness of their production activities. We use data from a survey of Chinese firms, officially classified as users of ‘advanced’ technologies. Although in recent years China has been attempting to discourage exports of energy- and pollution-intensive products, our results show a positive association between firms’ energy-use intensity and their exporting. This relationship exists across industries with different levels of technological sophistication, but is particularly salient in industries characterized by high energy-use intensity. We discuss the theoretical and policy implications of these findings.

Suggested Citation

  • Isabel-Maria Bodas Freitas & Jojo Jacob & Lili Wang & Zibiao Li, 2023. "Energy use and exporting: an analysis of Chinese firms," Journal of Evolutionary Economics, Springer, vol. 33(1), pages 179-207, January.
    • Handle: RePEc:spr:joevec:v:33:y:2023:i:1:d:10.1007_s00191-022-00796-1
    DOI: 10.1007/s00191-022-00796-1
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