In a globalised world, the transfer of carbon between regions, either physically or embodied in production, represents a substantial fraction of global carbon emissions. The resulting emission transfers are important for balancing regional carbon budgets and for understanding the drivers of emissions. In this paper we synthesise current understanding in two parts: (1) CO₂ emissions embodied in goods and services that are produced in one country but consumed in others, and (2) carbon physically present in fossil fuels, petroleum-derived products, harvested wood products, crops, and livestock products. We describe the key differences between studies and provide a consistent set of estimates using the same definitions, modelling framework, and consistent data. We find the largest trade flows of carbon in international trade in 2004 were fossil fuels (2673 MtC, 37 % of global emissions), CO₂ embodied in traded goods and services (1661 MtC, 22 % of global emissions), crops (522 MtC, 31 % of total harvested crop carbon), petroleum-based products (183 MtC, 50 % of their total production), harvested wood products (149 MtC, 40 % of total roundwood extraction), and livestock products (28 MtC, 22 % of total livestock carbon). We find that for embodied CO₂ emissions, estimates from independent studies are robust, and that differences between individual studies are not a reflection of the uncertainty in consumption-based estimates, but rather these differences result from the use of different production-based emissions input data and different definitions for allocating emissions to international trade. After adjusting for these issues, results across independent studies converge to give less uncertainty than previously assumed. For physical carbon flows there are relatively few studies to be synthesised, but differences between existing studies are due to the method of allocating to international trade, with some studies using "apparent consumption" as opposed to "final consumption". While results across studies are sufficiently robust to be used in further applications, more research is needed to understand differences and to harmonise definitions for particular applications.

This paper reports a study of the full carbon (C-CO₂) budget of the Australian continent, focussing on 1990–2011 in the context of estimates over two centuries. The work is a contribution to the RECCAP (REgional Carbon Cycle Assessment and Processes) project, as one of numerous regional studies. In constructing the budget, we estimate the following component carbon fluxes: net primary production (NPP); net ecosystem production (NEP); fire; land use change (LUC); riverine export; dust export; harvest (wood, crop and livestock) and fossil fuel emissions (both territorial and non-territorial). Major biospheric fluxes were derived using BIOS2 (Haverd et al., 2012), a fine-spatial-resolution (0.05°) offline modelling environment in which predictions of CABLE (Wang et al., 2011), a sophisticated land surface model with carbon cycle, are constrained by multiple observation types. The mean NEP reveals that climate variability and rising CO₂ contributed 12 ± 24 (1σ error on mean) and 68 ± 15 TgC yr⁻¹, respectively. However these gains were partially offset by fire and LUC (along with other minor fluxes), which caused net losses of 26 ± 4 TgC yr⁻¹ and 18 ± 7 TgC yr⁻¹, respectively. The resultant net biome production (NBP) is 36 ± 29 TgC yr⁻¹, in which the largest contributions to uncertainty are NEP, fire and LUC. This NBP offset fossil fuel emissions (95 ± 6 TgC yr⁻¹) by 38 ± 30%. The interannual variability (IAV) in the Australian carbon budget exceeds Australia's total carbon emissions by fossil fuel combustion and is dominated by IAV in NEP. Territorial fossil fuel emissions are significantly smaller than the rapidly growing fossil fuel exports: in 2009–2010, Australia exported 2.5 times more carbon in fossil fuels than it emitted by burning fossil fuels.