How Could Trade Measures Being Considered to Mitigate Climate Change Affect LDC Exports?
Export led growth remains a critical route out of poverty for many least developed countries (LDCs). But in a world increasingly concerned about climate change and the contribution of international trade to global warming will measures being consid...
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| Language: | English |
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World Bank, Washington, DC
2021
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| Online Access: | http://documents.worldbank.org/curated/en/615031623852601666/How-Could-Trade-Measures-Being-Considered-to-Mitigate-Climate-Change-Affect-LDC-Exports http://hdl.handle.net/10986/35844 |
| Summary: | Export led growth remains a critical
route out of poverty for many least developed countries
(LDCs). But in a world increasingly concerned about climate
change and the contribution of international trade to global
warming will measures being considered to mitigate emissions
hurt the export opportunities of LDCs? This paper reviews
the trade-related instruments being considered by both
policymakers and business communities to mitigate climate
change, identifying areas where LDCs may be affected. The
paper explores the following key issues: (i) how a shift to
low carbon transportation may affect LDC exports given their
remote location from main markets; (ii) how LDCs’ exports
will be influenced by their own domestic climate measures;
(iii) whether mitigation instruments introduced by other
governments that result in carbon border tax adjustments
will significantly affect LDC exports; (iv) the importance
of the nature of liberalization of trade in green goods; (v)
how government sustainability standards in overseas market
may affect trade, and finally (vi) the potential impact of
private measures used by businesses for carbon management.
The paper shows how climate change mitigation instruments
will create challenges and provide new opportunities for LDC
exports that will require attention to traditional trade
policy issues but also to a deeper agenda relating to
regulatory development and convergence. |
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