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Nexus of Energy Transition and Climate Change: Novel Evidence From Electric Vehicles

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  • Tianying Jiang
  • Meng Qin
  • Yun Hsuan Su
  • Emilia Vasile
  • Yiting Xu

Abstract

Delving into the energy transition that green travel embodies is key to addressing climate change risks. This study applies full and sub-sample methodologies to uncover the relationship between climate change risks and the sale of new energy vehicles (NEV) in China. Quantitative analysis confirms that the Southern Oscillation Index (SOI) has both favorable and adverse impacts on NEV. Specifically, favorable impacts are associated with La Nina events, while adverse impacts are linked to El Nino phenomena. This underscores the potential of climate change risks to catalyze the energy transition toward green travel in China. Conversely, the positive and negative feedback loops between NEV and SOI, associated with El Nino and La Nina, underscore the benefits of promoting new energy vehicles and green travel in mitigating climate change risks. Amidst the escalating climate crisis, this research provides crucial insights for China’s government, enterprises, and the public on mitigating climate change risks by adopting new energy vehicles and fostering green travel practices.

Suggested Citation

  • Tianying Jiang & Meng Qin & Yun Hsuan Su & Emilia Vasile & Yiting Xu, 2025. "Nexus of Energy Transition and Climate Change: Novel Evidence From Electric Vehicles," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 61(12), pages 3724-3741, September.
    • Handle: RePEc:mes:emfitr:v:61:y:2025:i:12:p:3724-3741
    DOI: 10.1080/1540496X.2025.2489000
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