Research On The Relationship Between FDI And Carbon Dioxide Emissions In China

Economic globalization has swept the whole world and the world economy has started an in-depth integration since 1990s. Foreign direct investment (FDI) has played an important role in globalization, and it has become a major characteristic of globalization. However, environmental problems such as climatic anomalies, global warming have become more and more serious when FDI volume is continuously rising, which threats to human survival and development of material basis directly, and received extensive attention from various countries all over the world.China has attracted worldwide substantial inflows of foreign capital owing to China’s huge market scale since China began to implement policy of opening and reform. There is no doubt that China has become the main FDI inflow country in the world regarding the FDI scale, which may make our natural environment get worse. The main reason is that there is a considerable scale of funds invested in the "Three High" (high pollution, high energy consumption, high emissions) industries when foreign investment flows into China, a large number of fossil fuels used by "Three High" industries would cause a series of environmental problems, especially the emission of CO2.Additionally, FDI have great differences in objective and orientation, domain and structure, technology and energy efficiency, so influences on CO2 are different.Based on the theory of the relationship between FDI and environment, empirical analysis has been conducted on the relationship between FDI and our country’s CO2 emission in terms of FDI’s location characteristic, industrial distribution differences, thus strategic thoughts for our country to realize sustainable development could be put forward.