I assume the "eco-nazi" part is why you're being downvoted, but I think your basic premise is absolutely correct. If the Western world outlaw this practice it will just happen in places like China and India instead.

With significantly less environmental oversight and regulations. The pollution could perhaps end up crossing over to western countries at higher levels than any domestic, well-regulated, production would emit.

The other side effect of added regulations is generally that the extraction gets more efficient too in order to maintain higher profits, so it helps stretch out the resource for longer too.

And in a whole lot dirtier and environmentally damaging way.