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Measuring greenhouse gas footprints in global production networks: New perspectives on emissions embodied in production chains and final demand patterns

Author

Listed:
  • Norihiko Yamano
  • Michel Lioussis
  • Agnès Cimper

Abstract

This study builds on previous comparisons of production- and demand-based carbon dioxide (CO2) emissions by introducing new greenhouse gas (GHG) footprints indicators for 76 economies, based on global production networks. The extended indicators include: i) measures that, beyond CO2 emissions from fuel combustion, account for CO2 from industrial processes and other GHGs such as methane, nitrous oxide and fluorinated gases; ii) evaluation of demand-based emissions by category; and iii) combination of direct production-based emissions (System of Environmental-Economic Accounting residence principle) with upstream and downstream indirect emissions to estimate “Scope 3 emissions” by industry. Total GHG footprint indicators, compared to CO2-only footprints, show smaller differences in emissions intensities between OECD and non-OECD economies, due to the inclusion of non-CO2 emissions from Agriculture, Mining and Waste management. These indicators support policy analyses for decarbonising manufacturing, transitioning to renewable energy sources, and adjusting cross-border trade for high-carbon products.

Suggested Citation

  • Norihiko Yamano & Michel Lioussis & Agnès Cimper, 2024. "Measuring greenhouse gas footprints in global production networks: New perspectives on emissions embodied in production chains and final demand patterns," OECD Science, Technology and Industry Working Papers 2024/12, OECD Publishing.
  • Handle: RePEc:oec:stiaaa:2024/12-en
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    More about this item

    Keywords

    Final expenditure categories; Greenhouse gas footprints; Inter-Country Input Output (ICIO) tables; International trade; Production- and Demand- (or Consumption-) based Greenhouse Gas accounting;
    All these keywords.

    JEL classification:

    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • F18 - International Economics - - Trade - - - Trade and Environment
    • F64 - International Economics - - Economic Impacts of Globalization - - - Environment
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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