The Development Promise of a Green Steel Deal
Published: 1 August 2023
Thought piece
Dr Maha Atal, has written a blog for the Roosevelt Institute in the United States about US-EU trade talks and more broadly the use of trade policy to combat climate change.
In Dr Maha Atal's blog for the Roosevelt Institute she writes how the United States and European Union are currently deadlocked in talks over how to use trade policy to combat climate change, with a particular focus on creating a joint standard for “clean” steel and imposing restrictions on imports that do not meet it.
While the sides are stuck on how to reconcile their efforts with international law, developing countries are concerned that the whole idea of penalizing carbon-intensive imports will discriminate against poor nations that rely on fossil fuels to grow.
The US-EU debate has paid little attention to these complaints, as the priority in the initial negotiating rounds is securing an acceptable bilateral outcome by an agreed deadline of October 2023.
However, as both sides contemplate expanding the membership and scope in subsequent talks, there are ways to address the legitimate concerns of emerging markets. In so doing, the US and EU may also find a solution to the legal conundrum, and a path to green trade.
Read the blog on the Roosevelt Institute website
First published: 1 August 2023