Global value chains, governance, and co2 emissions: pathways to sustainable climate action and ecosystem resilience

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Hayat Khan

Guangdong University of Foreign Studies, China

: J Biodivers Manage Forestry

Abstract

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Global value chains are pivotal in international trade and economic growth, yet their environmental impact, particularly concerning CO2 emissions, remains a pressing issue. This study investigates the relationship between GVC participation and CO2 emissions, considering the roles of digital connectivity, technological assimilation, environmental policy frameworks, and governance quality. Using a two-step system GMM model, the research examines multiple GVC dimensions, including GVC position, backward and forward participation, and GVC depth and complexity. The results reveal that deeper integration into GVCs, especially through backward linkages and complex chain activities, significantly increases emissions. However, institutional quality measured through factors such as government effectiveness and regulatory quality can mitigate these emissions, underscoring the critical role of robust governance. The study recommends that policymakers enhance regulatory systems, promote sustainable technologies, and foster international cooperation to manage emissions. Limitations include the reliance on proxy measures for institutional quality and data constraints, suggesting that future research should consider broader environmental indicators and explore sector-specific policy impacts.

Biography

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Hayat Khan is an academic affiliated with Guangdong University of Foreign Studies in China. With a keen interest in international education and cross-cultural communication, he actively engages in research and academic development in a globally diverse environment. Hayat brings a multicultural perspective to his work, contributing to the academic community through research, collaboration, and teaching. His involvement at Guangdong University of Foreign Studies reflects his dedication to fostering intercultural understanding and academic excellence.