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The Impact of Trade Liberalization on Industrial Pollution: Empirical Evidence from Vietnam

Author

Listed:
  • Pham Thai Hung

    (National Economics University, 207 Giai Phong, Hai Ba Trung Dist, Hanoi, Vietnam)

  • Bui Anh Tuan

    (National Economics University, 207 Giai Phong, Hai Ba Trung Dist, Hanoi, Vietnam)

  • Nguyen The Chinh

    (National Economics University, 207 Giai Phong, Hai Ba Trung Dist, Hanoi, Vietnam)

Abstract

This study assesses the impact of trade liberalization on the environment in Vietnam. In particular it looks at the link between the amount of pollution produced by the country’s manufacturing industries and the degree to which this is affected by trade liberalization policies. The study was carried out by Pham Thai Hung, Bui Anh Tuan and Nguyen The Chinh, from Vietnam’s National Economics University. It finds that trade liberalization in the country exacerbates industrial pollution at both the firm and industry level. This trade-off is worrying as Vietnam has recently become a WTO member and further trade liberalization commitments are now in the pipeline. In light of their findings, the researchers recommend that the environmental impact of any future trade reforms should be carefully considered and that steps should be taken to mitigate any potential negative effects such reforms might have.They suggest that polluting industries should be given priority in any clean-up programme. They highlight key steps which can be taken to help reduce pollution, including the strict enforcement of environmental regulations support to promoting information technology application and technology advancement in the manufacturing sector.

Suggested Citation

  • Pham Thai Hung & Bui Anh Tuan & Nguyen The Chinh, 2016. "The Impact of Trade Liberalization on Industrial Pollution: Empirical Evidence from Vietnam," EEPSEA Research Report rr2016042, Economy and Environment Program for Southeast Asia (EEPSEA), revised Apr 2016.
    • Handle: RePEc:eep:report:rr2016042
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    File URL: http://www.eepsea.org/pub/rr/2008_RR5.pdf
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    References listed on IDEAS

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    Cited by:

    1. Vincent Linderhof & Marieke Meeske & Vasco Diogo & Anne Sonneveld, 2021. "The Impact of Water-Related Pollution on Food Systems in Transition: The Case of Northern Vietnam," Sustainability, MDPI, vol. 13(4), pages 1-23, February.

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    Keywords

    Trade; impact; vietnam; pollution;
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