IDEAS home Printed from https://ideas.repec.org/a/eee/eneeco/v143y2025ics014098832500009x.html
   My bibliography  Save this article

How do green supply chain management and renewable energy consumption influence carbon emissions in China and India? A comparative analysis

Author

Listed:
  • Wen, Chen
  • Xing, Yuhang
  • Wang, Tao
  • Liao, Sheng
  • Gao, Ke

Abstract

Green supply chain management involves integrating eco-friendly practices into supply chain operations to curb carbon emissions and promote sustainability. This study explores the impact of green supply chain management and renewable energy on carbon emissions while also considering financial development and foreign direct investment roles. It presents a comparative analysis of China and India using data from 1990 to 2022. Due to the data's non-stationarity, nonlinearity, and non-normal distribution, the study employs the Kernel Regularized Least Squares approach. The results show that rather than decreasing emissions, green supply chain management has contributed to increased emissions in both nations. Additionally, economic growth and renewable energy have led to higher emission levels in both countries. Financial development increases emissions in China, while no significant association is found for India. Based on these findings, the study suggests that policymakers in China and India should implement economic policies emphasizing strict ecological standards.

Suggested Citation

  • Wen, Chen & Xing, Yuhang & Wang, Tao & Liao, Sheng & Gao, Ke, 2025. "How do green supply chain management and renewable energy consumption influence carbon emissions in China and India? A comparative analysis," Energy Economics, Elsevier, vol. 143(C).
    • Handle: RePEc:eee:eneeco:v:143:y:2025:i:c:s014098832500009x
    DOI: 10.1016/j.eneco.2025.108186
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S014098832500009X
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.eneco.2025.108186?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Chen, Yulong & Wang, Zheng & Zhong, Zhangqi, 2019. "CO2 emissions, economic growth, renewable and non-renewable energy production and foreign trade in China," Renewable Energy, Elsevier, vol. 131(C), pages 208-216.
    2. Bennæs, Anders & Skogset, Martin & Svorkdal, Tormod & Fagerholt, Kjetil & Herlicka, Lisa & Meisel, Frank & Rickels, Wilfried, 2024. "Modeling a supply chain for carbon capture and offshore storage—A German–Norwegian case study," Open Access Publications from Kiel Institute for the World Economy 295104, Kiel Institute for the World Economy (IfW Kiel).
    3. Andrew Adewale Alola & Seyi Saint Akadiri & Ojonugwa Usman, 2021. "Domestic material consumption and greenhouse gas emissions in the EU‐28 countries: Implications for environmental sustainability targets," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(2), pages 388-397, March.
    4. Shahbaz, Muhammad & Loganathan, Nanthakumar & Muzaffar, Ahmed Taneem & Ahmed, Khalid & Ali Jabran, Muhammad, 2016. "How urbanization affects CO2 emissions in Malaysia? The application of STIRPAT model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 57(C), pages 83-93.
    5. Ying Guo & LiFang Wang & Yanyu Chen, 2020. "Green Entrepreneurial Orientation and Green Innovation: The Mediating Effect of Supply Chain Learning," SAGE Open, , vol. 10(1), pages 21582440198, January.
    6. Hasan, Mohammad Maruf & Nan, Su & Waris, Umra, 2024. "Assessing the dynamics among oil consumption, ecological footprint, and renewable energy: Role of institutional quality in major oil-consuming countries," Resources Policy, Elsevier, vol. 90(C).
    7. Can Zhang & Umra Waris & Leren Qian & Muhammad Irfan & Mubeen Abdur Rehman, 2024. "Unleashing the dynamic linkages among natural resources, economic complexity, and sustainable economic growth: Evidence from G‐20 countries," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(4), pages 3736-3752, August.
    8. Lee, Chien-Chiang & Zhao, Ya-Nan, 2023. "Heterogeneity analysis of factors influencing CO2 emissions: The role of human capital, urbanization, and FDI," Renewable and Sustainable Energy Reviews, Elsevier, vol. 185(C).
    9. Ozkan, Oktay & Haruna, Roselyn Afor & ALOLA, Andrew Adewale & Ghardallou, Wafa & Usman, Ojonugwa, 2023. "Investigating the nexus between economic complexity and energy-related environmental risks in the USA: Empirical evidence from a novel multivariate quantile-on-quantile regression," Structural Change and Economic Dynamics, Elsevier, vol. 65(C), pages 382-392.
    10. Khan, Anwar & Chenggang, Yang & Hussain, Jamal & Kui, Zhou, 2021. "Impact of technological innovation, financial development and foreign direct investment on renewable energy, non-renewable energy and the environment in belt & Road Initiative countries," Renewable Energy, Elsevier, vol. 171(C), pages 479-491.
    11. Dmitry Burakov & Max Freidin, 2017. "Financial Development, Economic Growth and Renewable Energy Consumption in Russia: A Vector Error Correction Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 7(6), pages 39-47.
    12. Alola, Andrew Adewale & Olanipekun, Ifedolapo Olabisi & Shah, Muhammad Ibrahim, 2023. "Examining the drivers of alternative energy in leading energy sustainable economies: The trilemma of energy efficiency, energy intensity and renewables expenses," Renewable Energy, Elsevier, vol. 202(C), pages 1190-1197.
    13. Abbasi, Faiza & Riaz, Khalid, 2016. "CO2 emissions and financial development in an emerging economy: An augmented VAR approach," Energy Policy, Elsevier, vol. 90(C), pages 102-114.
    14. Acheampong, Alex O., 2018. "Economic growth, CO2 emissions and energy consumption: What causes what and where?," Energy Economics, Elsevier, vol. 74(C), pages 677-692.
    15. Danish I. Godil & Zhang Yu & Arshian Sharif & Rimsha Usman & Syed Abdul Rehman Khan, 2021. "Investigate the role of technology innovation and renewable energy in reducing transport sector CO2 emission in China: A path toward sustainable development," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(4), pages 694-707, July.
    16. Anton, Sorin Gabriel & Afloarei Nucu, Anca Elena, 2020. "The effect of financial development on renewable energy consumption. A panel data approach," Renewable Energy, Elsevier, vol. 147(P1), pages 330-338.
    17. Hainmueller, Jens & Hazlett, Chad, 2014. "Kernel Regularized Least Squares: Reducing Misspecification Bias with a Flexible and Interpretable Machine Learning Approach," Political Analysis, Cambridge University Press, vol. 22(2), pages 143-168, April.
    18. Abbasi, Kashif Raza & Shahbaz, Muhammad & Zhang, Jinjun & Irfan, Muhammad & Alvarado, Rafael, 2022. "Analyze the environmental sustainability factors of China: The role of fossil fuel energy and renewable energy," Renewable Energy, Elsevier, vol. 187(C), pages 390-402.
    19. Chiu, Yi-Bin & Lee, Chien-Chiang, 2020. "Effects of financial development on energy consumption: The role of country risks," Energy Economics, Elsevier, vol. 90(C).
    20. Salahuddin, Mohammad & Alam, Khorshed & Ozturk, Ilhan & Sohag, Kazi, 2018. "The effects of electricity consumption, economic growth, financial development and foreign direct investment on CO2 emissions in Kuwait," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2002-2010.
    21. Adedoyin, Festus Fatai & Ozturk, Ilhan & Agboola, Mary Oluwatoyin & Agboola, Phillips O. & Bekun, Festus Victor, 2021. "The implications of renewable and non-renewable energy generating in Sub-Saharan Africa: The role of economic policy uncertainties," Energy Policy, Elsevier, vol. 150(C).
    22. Samuel Adams & Hervé Kaffo Fotio, 2024. "Economic integration and environmental quality: accounting for the roles of financial development, industrialization, urbanization and renewable energy," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 67(3), pages 688-713, February.
    23. Balcilar, Mehmet & Gabauer, David & Umar, Zaghum, 2021. "Crude Oil futures contracts and commodity markets: New evidence from a TVP-VAR extended joint connectedness approach," Resources Policy, Elsevier, vol. 73(C).
    24. Zhang, Xuan & Hasan, Mohammad Maruf & Waris, Umra, 2024. "Assessing the nexus between natural resources and government effectiveness: Role of green innovation in shaping environmental sustainability of BRICS nations," Resources Policy, Elsevier, vol. 93(C).
    25. Dervis Kirikkaleli & Hasan Güngör & Tomiwa Sunday Adebayo, 2022. "Consumption‐based carbon emissions, renewable energy consumption, financial development and economic growth in Chile," Business Strategy and the Environment, Wiley Blackwell, vol. 31(3), pages 1123-1137, March.
    26. Umra Waris & Pallavi Sri, 2024. "Assessing the long-term impact of macroeconomic and environment dynamics: Does sustainable energy production shape the environmental landscape of south ASIAN nations?," Energy Technologies and Environment, Anser Press, vol. 2(1), pages 14-31, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Fatema Fauze Moh Ben Abd Alah & Opeoluwa Seun Ojekemi, 2025. "Quantile Analysis of Economic Growth, Foreign Direct Investment, and Renewable Energy on CO 2 Emissions in Brazil: Insights for Sustainable Development," Energies, MDPI, vol. 18(9), pages 1-18, April.
    2. Dilber Doğan & Yakup Söylemez & Şenol Doğan & Neslihan Akça, 2025. "The Impact of Financial Development on Renewable Energy Consumption: Evidence from RECAI Countries," Sustainability, MDPI, vol. 17(14), pages 1-18, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cai, Helen Huifen & Yuan, Qiong & Tang, Shirley & Nguyen, Quang & Dai, Jie & Zheng, Wenxiu, 2025. "The moderating role of green innovation and ecofriendly goods in growth-greenhouse gas Nexus: A new policy dimension," Energy Economics, Elsevier, vol. 142(C).
    2. Huang, Shuai & Tan, Huizhu, 2025. "Evaluating the effects of green supply chain, digital technologies, and energy prices on renewable energy innovations: A way forward for an emerging economy," Energy Economics, Elsevier, vol. 141(C).
    3. Waris, Umra & Cui, Lixin & Abbas, Shujaat & Shoaib, Muhammad, 2025. "How has climate change been affected by electricity digitalization, supply chain digitalization, and green technologies? Building a path to environmentally sustainable development in E7 nations," Energy Economics, Elsevier, vol. 145(C).
    4. Xiu, Guangli, 2025. "Analyzing the impact of supply chain and digitalization in the Chinese economy: What is the role of energy consumption, government expenditure, and industrialization in environmental pollution?," Energy Economics, Elsevier, vol. 145(C).
    5. Han, Qiujie & Wang, Fei & Wang, Yushi & Guo, Feng, 2025. "How supply chain and digitalization are significant contributors to international trade? The role of renewable and energy intensity in global trade powerhouses' economies," Energy Economics, Elsevier, vol. 145(C).
    6. Wang, Lingkang & Yang, Yiqu & Yang, Dongping & Zhou, Yaying, 2024. "Role of supply chain disruptions and digitalization on renewable energy innovation: Evidence from G7 nations," Energy Economics, Elsevier, vol. 140(C).
    7. Ding, Hongjie & Feng, Muzi & Chen, Qian, 2025. "How supply chain disruptions, renewable energy consumption, and eco-innovation mitigate environmental degradation? A path towards sustainable development in France," Energy Economics, Elsevier, vol. 145(C).
    8. Zhang, Mindan & Ma, Xiang & Mai, Shunhao & Qing, Lingli, 2025. "Drivers of supply chain, environmental innovation, and digital population: The role of inflation and renewable energy on GHG emission in Indonesia," Energy Economics, Elsevier, vol. 145(C).
    9. Liu, Xiaoxi & Zhan, Yunqiu & Si, Dingwen & Wang, Zhen, 2025. "Navigating renewable technological innovations and green supply chain management: Crafting a novel framework for boosting ecological quality in China," Energy Economics, Elsevier, vol. 142(C).
    10. Wu, Wei & Bi, Shuochen & Zhan, Yunqiu & Gu, Xiao, 2025. "Supply chain digitalization and energy efficiency (gas and oil): How do they contribute to achieving carbon neutrality targets?," Energy Economics, Elsevier, vol. 142(C).
    11. Armeanu, Daniel Stefan & Joldes, Camelia Catalina & Gherghina, Stefan Cristian & Andrei, Jean Vasile, 2021. "Understanding the multidimensional linkages among renewable energy, pollution, economic growth and urbanization in contemporary economies: Quantitative assessments across different income countries’ g," Renewable and Sustainable Energy Reviews, Elsevier, vol. 142(C).
    12. Lahiani, Amine & Mefteh-Wali, Salma & Shahbaz, Muhammad & Vo, Xuan Vinh, 2021. "Does financial development influence renewable energy consumption to achieve carbon neutrality in the USA?," Energy Policy, Elsevier, vol. 158(C).
    13. Xiaowei Song & Muhammad Irfan & Ibrahim Alnafrah & Yu Hao, 2024. "Economic policy uncertainty and carbon neutrality in China: Do sustainable energy and eco‐innovation make a difference?," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(4), pages 4057-4070, August.
    14. Manu, Emmanuel Kwaku & Chen, George S. & Asante, Dennis, 2022. "Regional heterogeneities in the absorptive capacity of renewable energy deployment in Africa," Renewable Energy, Elsevier, vol. 193(C), pages 554-564.
    15. Wei, Zhanjun & Nie, Chen, 2024. "The dynamics of natural resources, renewable energy, and financial development on achieving ecological sustainability," Resources Policy, Elsevier, vol. 95(C).
    16. Li, Zhouzhi & Liu, Jiaguo, 2025. "Impact of supply chain digitalization, business enterprise R&D expenditure and government budget allocations for R&D: A roadmap towards carbon neutrality," Energy Economics, Elsevier, vol. 141(C).
    17. Chen, Jingping & Zhao, Chunzi & Liu, Shuang & Li, Yuchen, 2025. "How do digitalizing ICT and supply chain globalization affect renewable energy in ASEAN nations? The mediating role of sustainable environmental practices using the MMQR and PCSEs model," Energy Economics, Elsevier, vol. 142(C).
    18. Du, Xu & Fang, Shuanxi, 2025. "Does the lack of energy resilience a serious problem at the forefront of policy analysts? Role of supply chain digitalization and environmental law in OECD countries," Energy Economics, Elsevier, vol. 141(C).
    19. Yinhui Wang & Yugang He & Xiaodan Gao, 2025. "Synergizing Renewable Energy and Circular Economy Strategies: Pioneering Pathways to Environmental Sustainability," Sustainability, MDPI, vol. 17(5), pages 1-22, February.
    20. Tomiwa Sunday Adebayo & Sami Ullah, 2024. "Towards a sustainable future: The role of energy efficiency, renewable energy, and urbanization in limiting CO2 emissions in Sweden," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(1), pages 244-259, February.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eneeco:v:143:y:2025:i:c:s014098832500009x. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eneco .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.