We examine the role of firm strategy in the global effort to combat pollution. We find that U.S. plants release less … toxic emissions when their parent firm imports more from low-wage countries (LWCs). Consistent with the Pollution Haven … Hypothesis, goods imported by U.S. firms from LWCs are in more pollution-intensive industries. U.S. plants shift production to …

empirical results, reveal that emissions related to FDI account for 15.2 percent of the world’s total emissions and 58.1 percent … of the world’s GVCs emissions, 39.2 percent of which are emissions related to FDI for foreign demands in 2015. From 2000 …