What is the impact of trade on the environment?

International trade has a great impact on the environment. This is because global trade creates a larger market for goods, meaning more of them must be produced and transported, creating more pollution and using up natural resources. Trade can also affect the environment when countries use environmentally damaging practices, such as illegally harvesting timber or polluting waterways, to gain a competitive edge in global trade. In addition, countries may use lax environmental regulations to attract international investment. In California, a state deeply dependent on international trade, we have seen the environmental effects of global trade firsthand. Air pollution, caused mainly by burning fossil fuels to power ships, airplanes, and trucks that move goods around the world, has increased. This has in turn caused increases in greenhouse gas emissions, resulting in climate change. Unregulated and illegal fishing activities by foreign vessels have depleted fish stocks in California waters and have caused damage to the seabed. International trade can also cause environmental damage through the introduction of invasive species. With increased trade, new species of plants and animals can be transported between countries, and these introductions can cause harm to communities, marine environments, and food production. Ultimately, despite the economic benefits of global trade, we must remember its potentially damaging consequences for the environment, and we must strive for sound and responsible environmental policies to mitigate its impact.

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What is the impact of trade on the environment?

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