Border carbon taxes are also designed to protect domestic manufacturing. If a country commits to reducing its emissions domestically, it runs the risk, for example, that its steel and cement factories face higher costs and be at a disadvantage compared to foreign competitors with more environmental rules. flexible. As a result, steel and cement production could shift overseas, undermining climate policy, as foreign factories emit as much or more carbon dioxide elsewhere.
“This legislation will assert US leadership on the climate crisis, but neither can we be ‘Uncle Sucker’ where other countries, led by China, benefit from what we are going to ask our country to do.” , said Markey. .
Majority leader Senator Chuck Schumer of New York said he included the tariff because “it keeps other countries from polluting.”
China is the world’s largest emitter of greenhouse gases causing global warming, followed in descending order by the United States, the European Union, India, Russia, Japan, Brazil , Indonesia, Iran and Canada.
Scientists have warned that the world needs to urgently reduce its emissions if it has any chance of preventing average global temperatures from exceeding 1.5 degrees Celsius, or 2.7 degrees Fahrenheit, from pre-industrial levels. This is the threshold beyond which experts say the planet will suffer catastrophic and irreversible damage. The temperature change is not even worldwide; some areas have already reached an increase of 2 degrees Celsius.
President Biden has pledged to reduce US greenhouse gas emissions by 50 to 52 percent from 2005 levels by 2030. The White House did not immediately respond to a request for comment. A Senate leadership adviser said the Biden administration had raised the idea of a border carbon tax with lawmakers. Earlier this year, he pioneered the idea of taxing carbon-intensive imports as part of a broader trade policy.
The budget resolution has not yet been drafted. This work will be carried out by various committees over the coming months.