Indirect import and enterprise pollution emissions: A perspective from industrial linkage

Lufeng Tai, Linnan Yan, Minjie Pan and Xinlei Qian

Energy Economics, 2025, vol. 147, issue C

Abstract: This study investigates the influence of import intermediate goods by upstream enterprises (indirect import) on the SO2 emissions of downstream enterprises. Through a benchmark regression analysis of industrial enterprise data from China, we determine an inverse correlation between indirect imports and downstream enterprises' SO2 emissions. This adverse impact is particularly pronounced when imported goods originate from developed countries, downstream enterprises are highly polluting industries, enterprises have strong technological absorption capability, or local environmental regulations are strict. Additionally, our findings indicate that energy efficiency enhancement, technological spillovers, and improvements in energy consumption structure resulting from indirect imports serve as intermediary factors affecting downstream enterprises' SO2 emissions. Further investigation suggests that the primary driver behind the reduction in pollution by downstream enterprises is clean production rather than end-of-pipe treatment.

Keywords: Indirect import; Intermediate goods; SO2 emissions; Industrial linkage (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:eneeco:v:147:y:2025:i:c:s0140988325004116

DOI: 10.1016/j.eneco.2025.108587

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