BRICS in Global Value Chains: Evaluating Environmental Performance and Economic Incentives for Decarbonization

Objective: This study aims to analyze the environmental performance and economic dynamics of the BRICS countries (Brazil, Russia, India, China, and South Africa) within the context of their participation in global value chains (GVCs). The focus is on the strategies employed by these nations for decarbonization and sustainable development in the face of global warming and environmental degradation. Method: The research methodology encompasses a comprehensive review of existing literature, statistical data analysis, and case studies. Data sources include peer-reviewed scientific literature, governmental reports, industry publications, and international databases. Both qualitative and quantitative methods are employed to evaluate environmental externalities, carbon footprint, energy consumption, and greenhouse gas emissions of the BRICS countries. Results: The findings reveal that the BRICS countries, with the exception of Russia, exhibit higher incentives for the decarbonization of GVCs due to the anticipated significant economic damage from global warming. However, these incentives are adversely affected by their relatively low levels of economic development. The study underscores the disparate contributions of BRICS countries to global emissions and their potential for increasing the adoption of renewable energy sources. Additionally, the environmental risks associated with GVCs, such as disruptions from natural disasters and heightened emissions, are examined. Conclusions: The BRICS countries possess substantial opportunities and incentives to implement greener practices within their GVCs, thereby enhancing their negotiating positions in global climate discussions. The transition to renewable energy and low-carbon technologies is imperative for sustainable development. Collaborative efforts and the exchange of experiences among BRICS nations can lead to improved environmental and economic outcomes.