By Hamidreza Azizi and Erwin van Veen

By Tara Sepehri Far

This policy brief was first published by T20. 

Carbon pricing is an essential tool in addressing the threat of climate change and leveraging investment directed for sustainable energy. But it also poses challenges from an international trade perspective, particularly when paired with carbon border adjustment mechanisms (CBAMs). Several G20 members are already developing policy tools of this kind without coordination.