The Asian Economic Integration Report (AEIR) 2024 examines the impact of economic factors on the movement of goods, services, and people across borders. It analyzes how regional economies in Asia and the Pacific respond to economic and geopolitical challenges by deepening economic inter-relationships.
This year’s AEIR theme chapter focuses on the pressing issue of decarbonizing global value chains (GVCs). The chapter delves into the carbon emissions generated at various stages of GVCs and emphasizes the need for policymakers to address this environmental challenge while maximizing the economic advantages of globalization and global production networks. It evaluates the impact of initiatives like the EU's Carbon Border Adjustment Mechanism for Asian subregions, suggesting strategies such as carbon pricing, emission accounting, enhanced trade cooperation, technology upgrades, and international collaboration for technology transfer to mitigate carbon emissions.