Abstract

Economic globalization promotes industrial division and forms a large stream of products between countries all over the world, which leads to serious environmental problems. The purpose of this study is to explore the relationship between green logistics and international trade. Heckman’s two-stage procedure is employed to estimate an augmented gravity model that specifically includes green logistics variables with the data of 113 countries and regions over the period between 2007–2014. The findings show that the logistics performance index (LPI) of exporting and importing countries are positively correlated with trade volume, and that the LPI of exporting countries positively affects trade probability. Taking the entire sample into account, the green logistics performance of exporting countries positively affects export probability and volume. For trade flows between developing–developing countries, developed–developed countries, and developed–developing countries, the green logistics performance of importing countries has a negative impact on the export volume of exporting countries. In terms of trade flow between developing–developed countries, the green logistics performance of importing countries has a negative impact on export probability and a positive impact on export volume. The present research results will assist governments and exporters in understanding the relationship between green logistics and international trade, and help improve their policies and green operations toward sustainable development.

Highlights

  • Since 2005, the total volume of global merchandise and service trade nearly doubled [1], which led to a large stream of goods all over the world

  • In Equation (6), which aims to examine the relationship between the green logistics performance and international trade, the lambda value is not statistically significant, indicating that there is no sample selection bias problem

  • Our results show that the coefficient of LCIi of exporting countries is negative, while the coefficient of the ELPIi of exporting countries is positive, and these coefficients are statistically significant, indicating that the green logistics performance of exporting countries is positively correlated with export volume

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Summary

Introduction

Since 2005, the total volume of global merchandise and service trade nearly doubled [1], which led to a large stream of goods all over the world. The ever-increasing consumer demand, production, storage, and transportation of these goods have resulted in a large negative impact on the environment [2]. The World Economic Forum found that greenhouse gas (GHG) emissions from logistics account for 5.5% of global GHG emissions [8]. Inefficient logistics operations have negative externalities on the environment and human health [9,10], which will lead to many environmental problems including massive greenhouse gas emission, pollution, noise, waste, and substantial fuel consumption. Many researchers have found that effective and efficient green supply chain management and green logistics can positively influence companies’ economic, environmental, operational, and social performance [9,11,12,13,14,15,16,17,18]

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