Export globalization and pollution localization: Multivariate heterogeneous data based on Chinese enterprises

Abstract

The foreign trade of China has rapidly increased since it acceded to the World Trade Organization. Simultaneously, the environmental pollution problem of China has become increasingly prominent, thereby seriously restricting the sustainable development of its economy. Based on enterprise-level multivariate heterogeneous data in China, this study explores the influence and mechanism of enterprise export behavior on pollution emissions from a micro perspective. Findings show that pollution emissions increase with enterprise export intensity. The robustness and endogeneity analyses support the cited conclusions. Influence mechanism analysis shows that exports of enterprises may increase pollution emissions by raising energy consumption and export product categories and decrease pollution emissions by promoting green productivity. In addition, expansion analysis found that the influence of export behavior on pollution emissions is heterogeneous owing to trade characteristics. This study deconstructs the influence of China’s foreign trade on domestic environmental pollution from a micro perspective. Moreover, this study provides an objective basis that the relevant Chinese government departments can optimize the structure and improve the quality of foreign trade and achieve coordinated development between foreign trade and environmental protection.