IDEAS home Printed from https://ideas.repec.org/a/lpe/efijnl/202310.html

Could Renewable Energy Use Boost Goods Export Performance in ASEAN?

Author

Listed:
  • Sherina Rafidah Khairunnisa
  • Siskarossa Ika Oktora

    (Politeknik Statistika STIS, Jakarta, Indonesia)

Abstract

ASEAN economic integration has expanded trade opportunities but also contributed to rising carbon emissions, especially from goods exports. ASEAN needs to switch to renewable energy to improve the performance of goods exports. This study analyzes the impact of renewable energy use on goods exports in ASEAN from 2010 to 2020. The findings reveal that renewable energy positively impacts goods export performance. Consequently, it is recommended that governments in ASEAN countries strengthen policies and regulations that incentivize renewable energy use among producers and exporters.

Suggested Citation

  • Sherina Rafidah Khairunnisa & Siskarossa Ika Oktora, 2023. "Could Renewable Energy Use Boost Goods Export Performance in ASEAN?," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, vol. 69, pages 146-162, December.
    • Handle: RePEc:lpe:efijnl:202310
    as

    Download full text from publisher

    File URL: https://lpem.org/repec/lpe/efijnl/202310.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bhanupong Nidhiprabha, 2017. "The Rise and Fall of Thailand's Export-Oriented Industries," Asian Economic Papers, MIT Press, vol. 16(3), pages 128-150, Fall.
    2. Torfinn Harding & Beata S. Javorcik, 2011. "Roll Out the Red Carpet and They Will Come: Investment Promotion and FDI Inflows," Economic Journal, Royal Economic Society, vol. 121(557), pages 1445-1476, December.
    3. Costantini, Valeria & Mazzanti, Massimiliano, 2012. "On the green and innovative side of trade competitiveness? The impact of environmental policies and innovation on EU exports," Research Policy, Elsevier, vol. 41(1), pages 132-153.
    4. Nesta, Lionel & Vona, Francesco & Nicolli, Francesco, 2014. "Environmental policies, competition and innovation in renewable energy," Journal of Environmental Economics and Management, Elsevier, vol. 67(3), pages 396-411.
    5. Zsolt Darvas, 2021. "Timely measurement of real effective exchange rates," Bruegel Working Papers 46497, Bruegel.
    6. Rudy Rahmaddi & Masaru Ichihashi, 2013. "The role of foreign direct investment in Indonesia's manufacturing exports," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 49(3), pages 329-354, December.
    7. Das, Khanindra Ch. & Mahalik, Mantu Kumar, 2023. "Renewable energy use and export performance of manufacturing firms: Panel evidence from six industries in India," Energy Economics, Elsevier, vol. 125(C).
    8. Sahoo, Pravakar & Dash, Ranjan Kumar, 2022. "Does FDI have differential impacts on exports? Evidence from developing countries," International Economics, Elsevier, vol. 172(C), pages 227-237.
    9. Manuel Fernandez & Mariam Mohamed Almaazmi & Robinson Joseph, 2020. "Foreign Direct Investment in Indonesia: An Analysis from Investors Perspective," International Journal of Economics and Financial Issues, Econjournals, vol. 10(5), pages 102-112.
    10. Helpman, Elhanan, 1984. "A Simple Theory of International Trade with Multinational Corporations," Journal of Political Economy, University of Chicago Press, vol. 92(3), pages 451-471, June.
    11. Pravakar Sahoo & Ranjan Kumar Dash, 2022. "Does FDI have differential impacts on exports? Evidence from developing countries," International Economics, CEPII research center, issue 172, pages 227-237.
    12. Keček, Damira & Mikulić, Davor & Lovrinčević, Željko, 2019. "Deployment of renewable energy: Economic effects on the Croatian economy," Energy Policy, Elsevier, vol. 126(C), pages 402-410.
    13. Deasy D. Pane & Arianto A. Patunru, 2023. "The role of imported inputs in firms’ productivity and exports: evidence from Indonesia," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 159(3), pages 629-672, August.
    14. Fayyaz Ahmad & Muhammad Umar Draz & Su-Chang Yang, 2018. "Causality nexus of exports, FDI and economic growth of the ASEAN5 economies: evidence from panel data analysis," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 27(6), pages 685-700, August.
    15. Zengkai Zhang & Dabo Guan & Ran Wang & Jing Meng & Heran Zheng & Kunfu Zhu & Huibin Du, 2020. "Embodied carbon emissions in the supply chains of multinational enterprises," Nature Climate Change, Nature, vol. 10(12), pages 1096-1101, December.
    16. Amador, João, 2012. "Energy content in manufacturing exports: A cross-country analysis," Energy Economics, Elsevier, vol. 34(4), pages 1074-1081.
    17. Opeyemi, Akinyemi & Uchenna, Efobi & Simplice, Asongu & Evans, Osabuohein, 2019. "Renewable energy, trade performance and the conditional role of finance and institutional capacity in sub-Sahara African countries," Energy Policy, Elsevier, vol. 132(C), pages 490-498.
    18. Zhang, Hongwei & Wang, Ying & Yang, Cai & Guo, Yaoqi, 2021. "The impact of country risk on energy trade patterns based on complex network and panel regression analyses," Energy, Elsevier, vol. 222(C).
    19. Ho Hoang Gia Bao & Hoang Phong Le, 2022. "The Roles of Vehicle Currency and Real Effective Exchange Rates in the Trade of Every ASEAN Member With the EU-28," SAGE Open, , vol. 12(2), pages 21582440221, April.
    20. World Bank, "undated". "World Bank East Asia and Pacific Economic Update, October 2015," World Bank Publications - Reports 22710, The World Bank Group.
    21. Chiara Lodi & Silvia Bertarelli, 2023. "Eco-innovation and exports in heterogeneous firms: pollution haven effect and Porter hypothesis as competing theories," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 32(7), pages 923-952, October.
    22. Ho Hoang Gia Bao & Thi Hai Ly Tran & Hoang Phong Le, 2022. "The roles of vehicle currency and real effective exchange rate in China’s trade with the whole EU," Cogent Economics & Finance, Taylor & Francis Journals, vol. 10(1), pages 2028974-202, December.
    Full references (including those not matched with items on IDEAS)

    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. Bishwanath Goldar & Yashobanta Parida & Anindita Goldar, 2024. "Complementarity Versus Substitution Relationship between Outward FDI and Exports: Evidence from India," Journal of Asian Economic Integration, , vol. 6(1), pages 90-117, April.
    2. Radovan Kastratović, 2023. "Exporting decision of agricultural firms: The role of foreign direct investment," Agribusiness, John Wiley & Sons, Ltd., vol. 39(4), pages 960-984, October.
    3. Radovan Kastratović, 2020. "The impact of foreign direct investment on host country exports: A meta‐analysis," The World Economy, Wiley Blackwell, vol. 43(12), pages 3142-3183, December.
    4. Nouira, Ridha & Ben Salem, Leila & Saafi, Sami & Rault, Christophe, 2025. "Renewable energy consumption and international trade: Does climate policy stringency matter?," Energy Policy, Elsevier, vol. 206(C).
    5. Francesco Crespi & Claudia Ghisetti & Francesco Quatraro, 2015. "Environmental and innovation policies for the evolution of green technologies: a survey and a test," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 5(2), pages 343-370, December.
    6. Fozia Latif Gill & K Kuperan Viswanathan & Mohd Zaini Abdul Karim, 2018. "The Critical Review of the Pollution Haven Hypothesis (PHH)," International Journal of Energy Economics and Policy, Econjournals, vol. 8(1), pages 167-174.
    7. Amenu Leta Duguma & Xiuguang Bai & Agerie Nega Wassihun & Bacha Gebissa Negeri, 2025. "On the mediating effect of foreign direct investment in the relationship between governance and economic growth: evidence from selected African countries," Economics of Governance, Springer, vol. 26(2), pages 211-242, June.
    8. David Aboagye Danquah & Emmanuel Mensah & Charles Barnor, 2025. "Optimizing foreign direct investment for sustainable trade balance improvement: the case of a developing economy," SN Business & Economics, Springer, vol. 5(3), pages 1-26, March.
    9. Himanshu Sekhar Panda & Mantu Kumar Mahalik & Kashif Nesar Rather, 2025. "Do Financial Globalization and Government Spending Mitigate the Detrimental Impact of Renewable Energy Use on Export Performance in Emerging Economies?," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 67(4), pages 827-866, December.
    10. Chatchai Khiewngamdee & Somsak Chanaim, 2025. "The Role of Institutional and Innovation Ecosystem in Moderating the Impact of Green Practices on Export Performance: Evidence from European Countries," Sustainability, MDPI, vol. 17(20), pages 1-29, October.
    11. Deng, Lina & Su, Jiaren & Tan, Haoyu, 2025. "Do the establishment of overseas branch campuses and financial collaboration promote human capital spillovers in host countries?," Finance Research Letters, Elsevier, vol. 85(PD).
    12. Antonio Musolesi & Davide Golinelli & Massimiliano Mazzanti, 2025. "Modelling green knowledge production and environmental policies with semiparametric panel data regression models," Empirical Economics, Springer, vol. 68(1), pages 327-352, January.
    13. Song, Wenfei & Han, Xianfeng & Liu, Qiange, 2024. "Patterns of environmental regulation and green innovation in China," Structural Change and Economic Dynamics, Elsevier, vol. 71(C), pages 176-192.
    14. Wanner,Joschka & WATABE,Yuta, 2025. "Multinational Production, Trade, and Carbon Emissions," IDE Discussion Papers 965, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    15. Massimiliano Mazzanti & Giovanni Marin & Susanna Mancinelli & Francesco Nicolli, 2015. "Carbon dioxide reducing environmental innovations, sector upstream/downstream integration and policy: evidence from the EU," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 42(4), pages 709-735, November.
    16. Alessandro Marra & Emiliano Colantonio & Marco Cucculelli, 2025. "Catalyzing solar and wind technology exports: the «Flywheel Effect» of demand-side factors," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 52(2), pages 415-449, June.
    17. Ariel Herbert Fambeu, 2024. "Export Performance Under Imperfect Competition: Evidence from Manufacturing Firms in Cameroon," Journal of Industry, Competition and Trade, Springer, vol. 24(1), pages 1-18, December.
    18. Dorożyński Tomasz & Urbaniak Wojciech & Świerkocki Janusz, 2015. "The Location Premises Of FDI In Poland. The Case Of The Lodz Province / Przesłanki Lokalizacji Biz w Polsce. Przykład Regionu Łódzkiego," Comparative Economic Research, Sciendo, vol. 18(4), pages 157-178, December.
    19. Perruchas, François & Consoli, Davide & Barbieri, Nicolò, 2020. "Specialisation, diversification and the ladder of green technology development," Research Policy, Elsevier, vol. 49(3).
    20. Khalil, Makram & Osten, David & Strobel, Felix, 2025. "Trade dynamics under geopolitical risk," Discussion Papers 03/2025, Deutsche Bundesbank.

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • Q27 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Issues in International Trade

    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:lpe:efijnl:202310. 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: Muhammad Halley Yudhistira The email address of this maintainer does not seem to be valid anymore. Please ask Muhammad Halley Yudhistira to update the entry or send us the correct address (email available below). General contact details of provider: https://edirc.repec.org/data/feuinid.html .

    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.