Climate Change and Trade on the Road to Copenhagen: Policy Discussion Paper

Date period
19 December 2008

SummaryAs climate negotiations accelerate in the run-up to the Copenhagen meeting in December 2009 and beyond, trade-offs and trade-related issues have emerged as elements of the discussions. Some of the issues within the future climate regime will have direct repercussions on the trade realm, and need to be well understood and prepared for. In order to contribute to the debate, this paper provides information on the most salient and pressing policy linkages. It addresses issues in the climate-trade interface that are relatively well known as well as emerging areas that need to be further researched.

The debate on trade and climate change has often treated climate change and trade policies as either friends or foes. The approach adopted in this paper takes climate change as the entry point. It frames the discussion within the five pillars of the Bali Road Map: i) the long-term vision, ii) mitigation of climate change, iii) adaptation to climate change, iv) technology and v) fi nancing. The paper examines the various trade and climate change policy interlinkages with a view to identifying a positive agenda for trade and trade policies to contribute to a successful global climate change agreement and its implementation.