The importance of trade liberalization in altering country’s ecological condition is a very important topic these days; the current examination seeks to study the empirical association between environmental degradation and trade openness in a panel of ASEAN countries. In doing so, the study seeks to analyze the influence of trade liberalization in impacting carbon dioxide emanations in the countries of Malaysia, Indonesia, Singapore, Thailand and Philippine by utilizing advanced methods of panel Dynamic Ordinary Least Square (DOLS) and Fully Modified Ordinary Least Square (FMOLS). The results confirm that all the variables stationary features at the first differential series. Furthermore, the results of bootstrap cointegration, Pedroni, and Kao cointegration check that all the variables are cointegrated in the long term. Finally, the outcomes suggested that trade liberalization has a significant positive impact on carbon dioxide emission. The outcomes confirm that the more theenhance in the liberalization of trade cause the poor environmental condition. Therefore, the study recommends that the government need to enhance trade based on renewable and green technology. Also, the government can adopt a green transportation system such as hybrid vehicles for the logistics and shipping the good from one place to another place.
