Lithium production, electricity consumption, and greenhouse gas emissions: An imperious role of economic globalization

ABSTRACT

China has resorted to electric vehicles to tackle the Greenhouse gas emissions engendered through the transport sector. Despite the coronavirus pandemic in 2020, electric vehicle sales in China were 1.3 million, which accounts for an increment of 8% in comparison with 2019. It will attain a peak point in 2030, causing an incredible increase in electricity usage. Hence, this increase has sparked a new debate among energy management and environmental economics scholars, as China produces 65% of its electricity through coal. The on-hand investigation revealed the imperative impact of lithium production, electricity usage, and economic globalization on the carbon footprints calculated in China. Moreover, the environmental Kuznets curve (EKC) is also tested in this framework. The study found the imperious role of electricity usage and economic globalization in Greenhouse gas emissions in China. However, lithium production reported weak and inconsequential findings. Detailed policy inferences and long-term policy implications are discussed in the discussion and conclusion section, respectively.