How green trade influences pollution emissions in China: A provincial perspective

Jiaman Li, Kangyin Dong (), Xiucheng Dong and Muhammad Shahbaz

Energy Economics, 2022, vol. 115, issue C

Abstract: How green trade affects regional environmental conditions is one of the core issues of sustainable economic growth in China. Based on the distinction of product quality, this study first assesses the level of provincial green trade by utilizing firm-level trade data on 142 green products. Then, based on panel data for the period 2007–2016 in China, this study empirically explores the comprehensive impact of green trade on pollution emissions by employing the SYS-GMM method. Furthermore, this paper explores the heterogeneous analysis, asymmetric analysis, and mediating mechanism analysis of the green trade - pollution emissions nexus. Following are the main conclusions: (1) Green trade can effectively reduce pollution emissions; (2) improved environmental quality can be achieved by increased trade in green medium- and high-technology products; (3) across various provinces, this impact is heterogeneous and asymmetric; and (4) the scale and technique effects are significant mediators in this nexus based on the mediation mechanism, while the composition effect is insignificant. The findings have several policy implications for improving green trade and reducing environmental degradation.

Keywords: Green trade; Pollution emissions; Mediating mechanism; Heterogeneous and asymmetric analysis; China (search for similar items in EconPapers)
JEL-codes: C33 F18 Q55 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:eneeco:v:115:y:2022:i:c:s0140988322004595

DOI: 10.1016/j.eneco.2022.106330

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