The US Inflation Reduction Act and the EU’s response in the form of the European Commission’s Green Deal Industrial Plan are simultaneously strategies to advance climate goals and strategies to support investment and growth.
Combined with a plethora of other initiatives, including the EU’s Carbon Border Adjustment Mechanism, the turn towards green industrial policies raises a number of questions for trade and global competitiveness.
At this roundtable discussion, participants will discuss the following:
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How can green industrial policies contribute towards climate goals and energy security without sliding into protectionism and trade friction?
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Are recent measures introduced on both sides of the Atlantic consistent with existing trade rules?
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Where do efforts to diffuse transatlantic tensions at the nexus of trade and climate policies stand, and how do they fit with broader initiatives to strengthen collaboration, such as the newly launched Coalition of Trade Ministers on Climate or the G7 Climate Club?
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What are the opportunities and challenges for creating an enabling international framework for environmental subsidies? What role does competition and cooperation with China play in this regard?
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Are these climate-motivated trade restrictions fair to developing countries?
This discussion is part of the Chatham House Global Trade Policy Forum. We would like to take this opportunity to thank AIG (founding partner), Boston Consulting Group (associate partner) and Diageo plc (supporting partner) for their generous support of the forum.
