The importance of multiregional accounting for corporate carbon emissions

Steven J. Davis, Andrew Dumit, Mo Li, Yohanna Maldonado, Michael Steffen, Martha Stevenson, Tatiana Boldyreva, Sangwon Suh · 2025

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Description

Eight researchers show that company carbon reports miss a large slice of emissions when they use single-country models, in a 2025 paper. Firms estimate supply-chain emissions with input-output models, but the popular ones assume every supply chain behaves like that of one country, usually the United States or Britain.

The team ran a detailed multiregional model that tracks trade and industry across many countries. For companies reporting to the CDP disclosure system, the fuller model found about two gigatons more upstream emissions, roughly ten percent higher. The biggest misses sat in mid-intensity manufacturing sectors. The authors argue that multiregional accounting would sharpen company inventories. It would also steer cleanup effort toward the energy-heavy industries of industrializing nations, where much of the hidden tonnage sits.

Catalog record

CREATORSteven J. Davis, Andrew Dumit, Mo Li, Yohanna Maldonado, Michael Steffen, Martha Stevenson, Tatiana Boldyreva, Sangwon Suh
YEAR2025
COLLECTIONPAPERS
FORMATTXT
FILE SIZE40 KB
VERSION1.0
LICENSECC BY 4.0
RIGHTSCC BY
SOURCEEurope PMC

Source: https://europepmc.org/articles/PMC12847884

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