A Study On Seepage Of Cross-national Pollution Transfer And Its Abatement In China

Foreign capital has played an important role in promoting China's exports, economic growth and industrial upgrading. In the meantime, waste imports have also helped to solve shortages of energy and raw material in some regions and industries. However, if we regard the environmental capacity as a production factor and incorporate the environment resources into the H-O model, we would find that the present international pollution transfer has affected China's sustainable development, the feature has turn from North-South one-way seepage to both North-South and East-East two-way seepage other than direct seepage, from the concomitant seepage in the traditional manufacturing industries to the hidden and lagging seepage in the high technology industries. However literature has not given sound explanation to this phenomenon and its effect on the comparative advantage distortion of pollution seepage brought by the factor international flowing. Based on international pollution transfer situation, this article in this paper embarks from the seepage characteristic of international pollution transfer to China and the special and historical evolution, making the theory and the empirical analysis through trade and invest. Since the main forming of characteristics of international pollution transfer penetration is information obstacle, it is the key methods to control the international pollution transfer by the institutional arrangement to solve information obstacle, which can achieve opening to the world and environmental protection simultaneously through correcting the information distortion then the benefit distortion.The international pollution transfer to China could be attributed to three characteristics:the concomitance, the hidden and lagging quality and the pollution of industrial chain.Concomitance. The international pollution transfer shows North-South one-way seepage from the developed country to the developing country in the world and East-West one-way seepage from the east coastal areas to the mid-west area in China accompanied by the Chinese economic growth. The concomitant seepage pollution of waste import mainly displays in banning import toxic waste in the name of automatic kind or the limit class solid waste, which bring about seepage pollution by smuggling or deceit The seepage pollution followed by the foreign capital admittance system and the technology import mainly displays in the pollution-intensive industries and the foreign capital monopoly industries, while part of the high technology industries also show the seepage characteristic.Hidden and lagging quality. The hidden and lagging seepage pollution occur when smuggling toxic waste in the name of recycling waste and stack, reprocess and consumption of recycling waste. Since the high technology industries have covered some potential damage of environmental protection, it is not only serious but also difficult to measure the harm and irreversible that FDI brings about the hidden and lagging seepage pollution when FDI enters high technology industries.Industrial pollution chain. It concerns not only traditional manufacturing industries, labor-intensive processing trade sector but also the high technology industries, especially the pollution of industrial chain caused by the outsourcing of IT product including the entire process from the production to the final abandonment. The processing industries of renewable and non-renewable resources also perform the pollution of industrial chain.This article has tried to achieve innovation in the following aspects:Firstly, this article innovates in the research perspective and method. We discuss the characteristics of international pollution transfer penetration to China from the international flowing of essential factor and time evolution, analyze the forming mechanism of international pollution transfer penetration to China from the information distortion and come up with the institutional arrangement to solve information obstacle, which make sense no matter in theory or from practical point of view. Because of the lack of statistical data about the hidden and lagging pollution and industrial chain pollution, so in this paper not only the theoretical analysis and certain quantitative analysis are used, but also the massive illustrative cases which analysis international pollution transfer penetration to China appear.Secondly, we analyze the characteristics of international pollution transfer penetration to China from trade and investment. On one hand, the waste import shows the concomitance, the hidden and lagging quality and the pollution of industrial chain, meanwhile the seepage pollution of the legitimately import of recycling waste seems more hidden and lagging to China. On the other hand, the international pollution transfer penetration to China shows concomitant and accumulative in the traditional manufacturing industries, while hidden and lagging in the high technology industries and the pollution of industry chain in processing trade and resources-processing industries. In the meantime, the soil pollution caused by FDI in China's IT industries illustrates that the investment is the main way through which international pollution transfer penetrates to China, testified that the soil pollution is the main environment problem which China faces at present.Thirdly, this paper revealed that the benefit distortion caused by information distortion is the forming mechanism of international pollution transfer penetration to China. So we should regulate the international pollution transfer through solving information obstacle and finally coordinating the interest relations among the interest groups of international pollution transfer.