Reducing pollution by adjusting China’s trade mix -A case study using SO2emissions

SHEN Lisheng ( 沈利生 ) 1,2 andTANG Zhi ( 唐志 ) 3
1Institute of Quantitative Economics, Huaqiao University
2Institute of Quantitative & Technical Economics, CASS
3Doctorate Candidate of the Business School of Huaqiao University
Abstract:
This paper investigates the impact of foreign trade on China’s pollution emissions using an input-output model.
Generally speaking, as exports are more pollution-intensive than imports, foreign trade helps reduce China’s emissions.Given the huge surplus of trade in goods and declines in the ratio of import/export emission intensities, an emission deficit emerged in China’s foreign trade. The fundamental cause is the worsening product mix of foreign trade. With technical progress outpaced by foreign trade growth, however, total emissions of export goods have been on the rise.
Key words:
foreign trade, environmental protection, pollution emission, input-output

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