Border Carbon Adjustment

By Aaron Cosbey on August 28, 2008
This paper looks at border carbon adjustment—a trade measure that has been proposed to address competitiveness and leakage concerns in conjunction with strong domestic actions on climate change. It judges BCA on the criteria of effectiveness, administrative feasibility, WTO legality and wider geopolitical impacts. It was prepared for the seminar on Trade and Climate Change, June 18-20, 2008, in Copenhagen, co-hosted by the Government of Denmark, the German Marshall Fund of the United States and IISD.

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IISD, 2008