Biden wished a local weather alliance with Europe. He is getting a carbon commerce battle – watts with it
It was inevitable that the relentless radicalization of climate hysteria and protectionist CO2 border taxes would ultimately lead to a global trade war and the self-destruction of the Western alliance.
Today we are one step closer to this geopolitical upheaval that is likely to destroy the international political order forever.
Biden wanted a climate alliance with Europe. He gets a fight.
A brewing CO2 trade war with Europe threatens to destroy President Joe Biden’s hopes for transatlantic harmony in the fight against climate change.
The leadership of the European Union will come up with a proposal on Wednesday to tax imports from countries – including the US – that do not have aggressive policies to reduce CO2 This move has raised fears that protectionism will destroy hopes for a new era of international cooperation on climate change initiated by Biden’s presidency.
The Biden administration is grappling with how to respond to the new tariff threats, even as it works with the EU to remove trade barriers that former President Donald Trump had placed on European goods such as steel and aluminum.
“You could get to the heart of the trade disputes that characterized the US-EU relationship with solutions, and I think that’s a problem,” said John Podesta, President Barack Obama’s chief climate adviser and in frequent contact with Biden officials. “
The bilateral relations between the US and EU democracy are perhaps the most important at the moment to create a structure for solving these global problems, and so this is kind of a test case for that. Can we team up now? “
Biden has made fighting climate change a top priority for his administration, but the US is miles behind the European Union, which created a block-wide carbon trading system to wean itself off of the greenhouse gas that is the biggest contributor in warming the planet plays. As the EU is tightening its CO2 emission regulations, it is wary of allowing foreign companies that have no domestic climate-related costs to flood their market with cheaper goods.
The tariffs the EU is expected to propose on Wednesday will leave Biden with a dire range of options. The White House could take a page from Trump’s trading game book and impose its own retaliatory tariffs, or it could try to challenge the EU’s move by reviving the World Trade Organization’s disabled dispute settlement body, an option sharply opposed by US climate policy advocates.
“Are we really going to let an unelected international body dictate whether we act on climate and jobs? That would be crazy, “said National Wildlife Federation CEO Collin O’Mara, who is close to the White House climate team, and said he has discussed the trade issue” more in the past two weeks than in the past two years “on the hill and with the administration.
Much of the discussion in US climate policy circles revolves around the implementation of vague promises Biden made during last year’s campaign to collect fees on high-carbon imports. The forthcoming EU proposal has spurred environmental groups and the Biden administration to speed up their political discussions after dialogue with EU officials failed to slow down tariffs as US officials had hoped.
Both the EU and the US insist that any climate trade policy must remain in line with WTO rules. Podesta said the EU had urged the WTO to allow talks with the US on carbon tariffs.
But the WTO is essentially mothballed as the Trump administration blocked the appointment of new members to fill its Appellate Body. The Biden administration was not thrilled with its track record, and its trade agenda noted that the US Trade Representative would raise “systemic concerns” with the WTO Appellate Body, which had been disbanded in 2019, mainly over disagreements over how tariffs were handled.
Green groups fear that the WTO has also ignored environmental issues when settling disputes.
“The WTO’s track record in protecting the climate and the environment hardly inspires confidence that this body should make statements about countries’ efforts to cope with the climate crisis,” said Ben Beachy, director of the Sierra Club’s Living Economy program.
According to a leaked draft by POLITICO, the EU plan is to impose fees on imports of aluminum, steel, electricity, cement and some fertilizers from countries that do not have their own national measures to combat climate change.