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Is export quality a viable option for sustainable development paths of Asian countries?

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Abstract

This paper investigates the role of export quality in climate action goal of the sustainable development goals in emerging Asian countries. For this purpose, the empirical model that observes the impact of real GDP, energy use and export quality index on carbon emissions is constructed and is analyzed by ARDL bounds testing approach for the period from 1970 to 2014. We also include the square of real GDP as independent variable to observe the existence of environmental Kuznets curve (EKC) hypothesis which implies the parabolic relationship between economic growth and environmental degradation. The findings show that increase in export quality leads to a fall in CO2 emissions for China and India. In contrast, the effect of increasing export quality increases CO2 emissions in Thailand and the Philippines. Lastly, our asymmetric causality results show that the positive shocks of export quality causes positive shocks of CO2 emissions in Thailand and Indonesia. Furthermore, we found that positive export quality shocks cause negative CO2 emissions shocks in India while negative export quality shocks cause positive CO2 emissions shocks in China. We also confirm the inverted U-shaped EKC hypothesis in China and Thailand.

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Fig. 1

Source: World Bank (2022), IMF (2022). Note: The export quality index is shown at the left axis; CO2 emissions per capita is shown at the right axis

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Müge Manga: Data curation, resources, methodology, investigation, formal analysis. Orhan Cengiz: Data curation, resources, writing original draft. Mehmet Akif Destek: Writing original draft, review and editing.

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Correspondence to Mehmet Akif Destek.

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Manga, M., Cengiz, O. & Destek, M.A. Is export quality a viable option for sustainable development paths of Asian countries?. Environ Sci Pollut Res 30, 50022–50045 (2023). https://doi.org/10.1007/s11356-023-25784-1

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  • DOI: https://doi.org/10.1007/s11356-023-25784-1

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