Digital Innovations and Governance Frameworks for Sustainable Global Value Chains: Insights from the Belt and Road Initiative Countries

The integration of global value chains (GVCs) into international trade has led to significant economic growth, but it has also raised critical concerns regarding environmental sustainability. In particular, the Belt and Road Initiative (BRI), which spans numerous developing countries, exacerbates these challenges due to varying levels of governance and regulatory frameworks. This article provides a conceptual review of environmental governance challenges within GVCs in the BRI countries, examining how governance structures, digital innovations, and policy interventions can promote sustainability. We explore how fragmented regulatory environments, governance levels in developing regions, and inconsistent enforcement contribute to environmental risks in GVCs. Additionally, we discuss the potential of digital innovations to improve sustainability monitoring and governance. Finally, policy recommendations are offered to address the governance gaps and environmental challenges associated with GVCs in BRI countries, focusing on enhancing international collaboration and leveraging digital technologies for better environmental outcomes.