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<p>Despite decades of sustainability policy discussions, OECD nations continue to demonstrate&#xa0;a significant dependence on fossil fuels, revealing the limited effectiveness of current environmental strategies. While existing research has thoroughly investigated conventional policy instruments like taxation, environmental innovation, and&#xa0;carbon pricing mechanisms, it has largely neglected two crucial decarbonization drivers: the international trade in low-carbon technologies and the modernization of industrial production systems. Addressing this research gap, this study analyzes renewable energy transitions across 37 OECD countries&#xa0;from 1995 to 2023 using an innovative framework that incorporates environmental technology diffusion, environmental policy stringency, industrial R&amp;D investments, and low-carbon technology trade flows. Applying an advanced panel Quantile via Moments regression approach, the study finds that both cross-border trade of green technologies and modernization of industrial production systems significantly accelerate renewable energy adoption. The findings further confirm that traditional policy approaches, including stringent environmental regulations and technology diffusion programs, remain statistically significant in promoting clean energy transitions. These findings suggest policymakers should pursue an integrated strategy that simultaneously promotes industrial technology transformation and facilitates global low-carbon technology trade to foster energy transition.</p>

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Toward a Sustainable Green Energy Transition: The Role of Low-Carbon Technology Trade and Investment in Industrial Production Technologies

  • 期刊论文

  • 发表日期：

    2025年9月2日

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  • Shujaat Abbas

摘要

Despite decades of sustainability policy discussions, OECD nations continue to demonstrate a significant dependence on fossil fuels, revealing the limited effectiveness of current environmental strategies. While existing research has thoroughly investigated conventional policy instruments like taxation, environmental innovation, and carbon pricing mechanisms, it has largely neglected two crucial decarbonization drivers: the international trade in low-carbon technologies and the modernization of industrial production systems. Addressing this research gap, this study analyzes renewable energy transitions across 37 OECD countries from 1995 to 2023 using an innovative framework that incorporates environmental technology diffusion, environmental policy stringency, industrial R&D investments, and low-carbon technology trade flows. Applying an advanced panel Quantile via Moments regression approach, the study finds that both cross-border trade of green technologies and modernization of industrial production systems significantly accelerate renewable energy adoption. The findings further confirm that traditional policy approaches, including stringent environmental regulations and technology diffusion programs, remain statistically significant in promoting clean energy transitions. These findings suggest policymakers should pursue an integrated strategy that simultaneously promotes industrial technology transformation and facilitates global low-carbon technology trade to foster energy transition.