Resource-Based Industries and CO 2 Emissions Embedded in Value Chains: A Regional Analysis for Selected Countries in Latin America.

This paper analyzes the relative content of CO₂ emissions embedded in regional supply chains in four different countries in Latin America: Brazil, Chile, Colombia, and Mexico. We estimate both the trade in value-added (TiVA) and the CO₂ content embedded in interregional and foreign exports, mapping the relative intensity of CO₂ emission levels on value chains. For that, we applied an inter-regional input-output model to determine the interplay between the CO₂ emission embedded in goods of resource-based industries and their linkages with other economic industries, revealing a map of CO₂ emissions on trade in value-added trade from a subnational dimension. The main result reveals an interregional dependence, indicating a higher level of embedded CO₂ on value-added in each regional economy for resource-based industries, usually intense in CO₂ emissions. This finding has considerable implications for the sustainable development goals of these subnational areas, as the spatial concentration of production leads to an unbalanced regional capacity for promoting reductions in CO₂ emissions along with value chains. [ABSTRACT FROM AUTHOR]