Climate equivalence and international trade
Lydgate, E (2022), 'Climate equivalence and international trade', EUI RSC Working Paper; 2022/64; Global Governance Programme-479; [Global Economics], European University Institute, Creative Commons Attribution 4.0 (CC-BY 4.0) International License
Published 10 November 2022
This article examines a significant question in navigating trade and climate tension: how to recognise another country as having equivalent climate regulation. Such equivalence forms the foundation of many proposed models of so-called climate clubs. The author examines prospects for country-based cooperation through three models and concludes that all models necessitate some trade-offs between the goals of rigorous oversight of climate objectives, inclusivity, and WTO-compliance.