Led by the Biden administration and its counterparts in Europe, wealthy nations are in...
, including cement, fertilizer and electricity, based on their greenhouse gas emissions – known as a border adjustment.in discussions with officials in Europe about creating a global scheme“We’re heading towards a real shift in how we deal with climate in terms of international trade,” said Emily Benson, a senior fellow at the Center for Strategic and International Studies, a Washington think tank. “A lot of this goes back to how something is made.
“They’re drawing on a power grid which is much more carbon intensive,” he said. “All the high emitting parts of the economy have concerns about a border adjustment and what it would mean for their relationship with E.U. and the U.S.” U.S. and Qatari LNG shipped to Europe has a two to three times smaller climate footprint than natural gas from Russia.
How quickly nations follow Europe’s lead on placing a tariff on imports based on greenhouse gas emissions remains to be seen.Republicans and Democrats alike have expressed interest in a border adjustment for imports based on greenhouse gas emissions “For too long, China has been flooding global markets with its cheap steel and aluminum, artificially lowering prices, and making it impossible for America’s steel and aluminum industries to compete,” she wrote. “And all of us also paid the price because the production of Chinese steel — some of the world’s dirtiest — pumped tons of carbon into the atmosphere.”
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