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Decreasing energy-related carbon inequality in inter-provincial trade: Evidence from carbon emissions embodied in Beijing-Tianjin-Hebei region and its surrounding areas

  • Yongzhe Liu
  • , Haiyan Chen
  • , Yuan Liu
  • , Yang Xie*
  • , Meng Xu*
  • *Corresponding author for this work
  • Peking University
  • State Grid Anhui Electric Power Company Limited
  • Beijing Forestry University

Research output: Contribution to journalArticlepeer-review

Abstract

Global trade reconfigures energy and carbon flows through value chains. As the world's largest trading economy, China exhibits complex energy-carbon linkages, particularly in the Beijing-Tianjin-Hebei (BTH) and its surrounding regions - a nexus of interprovincial energy transfers and carbon-intensive production. This study couples the IMED|CGE model with environmentally extended input-output analysis (EIOA) and the Theil Index to quantify how future carbon- and pollutant-reduction policies will ripple energy use, and economic outputs in BTH and adjacent provinces, as well as embodied carbon emissions through trade networks. Results show that meeting pollution-abatement goals would demand cuts of 68.8% in oil use and 35.2% in electricity consumption, while reaching carbon neutrality by 2060 hinges on slashing coal use by 66.1%. Regionally, Inner Mongolia undergoes the most dramatic shifts with energy consumption falling by 61.7–63.8%, industrial value-added contracting by 35.5–38.9%, and carbon emissions plunging by 71.7–79.9% in 2060. Crucially, energy-intensive and traditional manufacturing provinces emerge as net importers of embodied carbon through trade, and policy implementation narrows the inequality between embodied emissions and economic development levels. By explicitly addressing energy transition and economic development challenges together with tracing how trade flows redistribute carbon burdens among different types of provinces, our research offers new insights for designing equitable, trade-sensitive pathways toward carbon mitigation and pollution alleviation.

Original languageEnglish
Article number109361
JournalEnergy Economics
Volume158
DOIs
StatePublished - Jun 2026

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

  1. SDG 7 - Affordable and Clean Energy
    SDG 7 Affordable and Clean Energy
  2. SDG 8 - Decent Work and Economic Growth
    SDG 8 Decent Work and Economic Growth
  3. SDG 10 - Reduced Inequalities
    SDG 10 Reduced Inequalities

Keywords

  • Carbon neutrality
  • Energy transition
  • Pollution alleviation
  • Theil index
  • Trade-embodied emissions

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