The Estimation Of CO₂Emissions Embodied In Foreign Trade Between China&Australia And SDA Analysis

In the paper，the carbon emission coefficients of the trade commodities were respectivelyestimated by both the Sino-Australian bilateral input-output tables and single Chineseinput-output tables of2002,2005,2007.Meanwhile,carbon emission coefficients were revisedby energy intensity and trade data were revised by CPI to eliminate the effects of inflation.This paper developed a model to quantify the embodied CO2in the Sino-Australian tradeusing the method of input-output analysis.Then together with the import and export data inrecent years, the levels of carbon emissions embodied in the Sino-Australian trade werecalculated.The results show while using the respective carbon emission coefficients, China has beena net exporter of carbon embodied emissions in the bilateral trade with Australia. When justusing carbon emission coefficients of China to calculate the carbon emissions embodied in thetrade of China’s exports to Australia and trade of Australia’s exports to China, We found that,from2000to2007, trade between China and Australia led to an increase in the carbonemissions of China, which meant international trade resulted in carbon leakage. Oppositely, in2008to2010, the bilateral increased the carbon emissions of Australia. This indicates thatChina has shifted out its carbon emission through the bilateral trade, which is beneficial forChina’s transition into a low carbon economy.We analyse the imbalance of the carbon emissions embodied in the bilateral trade andthen use SDA analysis to decompose the carbon emissions. The results reveal that the scaleeffect is the main factor which promotes the increase of carbon emissions of China, the effectof efficiency is just opposite to scale effect, which is the countervailing power. Theintermediate technical effect plays different roles in the carbon emissions of China’export indifferent years.Finally, we draw conclusions from the above researches and make somerecommendations so as to make the development of the trade between China and Australiahealthy, low-carbon and sustainable.