Do energy trade patterns affect renewable energy development? The threshold role of digital economy and economic freedom

The development of renewable energy in various countries may be related to their positions in traditional energy trade, yet the existing understanding in this regard is limited. This study utilizes data on 59 countries from 2000 to 2020, complex network analysis, and econometric models to assess the impact of traditional energy trade patterns on the development of renewable energy. Additionally, it explores the potential threshold effects of the digital economy and economic freedom. The main findings indicate a significant influence of energy trade patterns on renewable energy development. It is favorable for the development of a country's renewable energy when it has more extensive trade relationships, greater trade intensity, and more important trade partners in traditional energy trade network. This impact exhibits a non-linear relationship, with the digital economy and economic freedom acting as thresholds. As the levels of the digital economy and economic freedom increase, the positive impact of energy trade patterns on the development of renewable energy strengthens. Further analysis suggests variations in threshold effects when considering countries with different income levels. This study offers a new perspective for countries to better grasp their positions in global energy trade patterns and strategically plan for future energy transitions.