Tracking embodied carbon flows in the Belt and Road regions

Abstract

In the past few decades, economic globalization has driven rapid growth of cross-border trade and a new international division of labor, leading to increasing inter- country embodied carbon flows. Multi-region input-output (MRIO) analysis is used to identify embodied carbon flows between major world regions, including seven regions along the Belt and Road (BR), and the spatial distribution of production- and consumption-based carbon intensities. The results show that current embodied carbon flows are virtually all from BR regions to developed countries, with more than 95% of world net embodied carbon exports coming from BR regions. Consumption in the United States and European Union countries induce about 30% of the carbon emissions in most BR regions, indicating that the former bear a high proportion of consumers’ responsibility for the carbon emitted in the latter. For this reason, measuring environmental responsibilities from consumption rather than a production- based perspective is more equitable, while developing countries should be given a louder voice in the construction through dialogue and cooperation, in part in the context of the Belt and Road Initiative, of an inclusive global climate governance system.