How Does Green Trade Openness Affect Carbon Productivity in Central and Eastern Europe?
Busra AGAN CELIK
https://doi.org/10.18267/pr.2026.vol.2587.1
Abstract: This study investigates the impact of green trade openness on carbon productivity in eight Central and Eastern European (CEE) economies from 2000 to 2024. A novel Green Trade Openness Index (GTOI), based on environmentally related exports and imports relative to GDP, is constructed and analyzed using a panel Quantile Autoregressive Distributed Lag (QARDL) model. The findings reveal substantial distributional heterogeneity. In the long run, green trade openness exerts a statistically significant negative effect across most quantiles, with stronger impacts at higher levels of carbon productivity. This finding is consistent with the persistence of carbon-intensive production structures and limited realization of the technique effect, as suggested in the trade–environment literature. Energy intensity emerges as the most robust determinant across quantiles, while income positively affects middle and upper quantiles. Short-run effects remain limited, indicating gradual structural adjustment. These results suggest that improving energy efficiency and strengthening technological absorption capacity are essential for translating green trade integration into sustainable productivity gains.
Keywords: green trade openness, carbon productivity, energy intensity, quantile ARDL, Central and Eastern Europe
JEL Classification codes: F18, Q56, Q44
Fulltext: PDF
Published by: Prague University of Economics and Business, Oeconomica Publishing House
Year of publication: 2026
Online publication date: 20 May 2026
Copyright: Authors of the papers
ISBN 978-80-245-2587-7
ISSN 2453-6113
Pages 8-21