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Global primary energy use associated with production, consumption and international trade

X.F. Wu and G.Q. Chen

Energy Policy, 2017, vol. 111, issue C, 85-94

Abstract: Presented in this study is a comprehensive analysis for energy use of different economic entities in global supply chains, including the exploiter, producer, consumer, intermediate trader and final trader. The systems input-output analysis method is adopted to trace the direct and indirect energy use associated with both intermediate production and final consumption activities in the economic system. In the world economy, 15% of the energy use embodied in trade turns out to be induced by final consumption, and 85% is attributed to intermediate production. Different trading patterns for different economies are identified with the separation between energy trade for intermediate production and that for final consumption. For Japan with a production-oriented trading pattern, intermediate trade should be a top priority in local trade structure adjustment, while final trade needs more attention for the government in the United States as the country is in a consumption-oriented trade pattern. This analysis aims to provide an in-depth insight into energy sustainability, as well as a sound scientific reference for policy making at the regional, national and global scale.

Keywords: Energy; Input-output analysis; Production; Consumption; Trade imbalance (search for similar items in EconPapers)
Date: 2017
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Handle: RePEc:eee:enepol:v:111:y:2017:i:c:p:85-94