President Donald Trump’s decision to withdraw the United States from the Paris Climate Agreement on Thursday has U.S. industry organizations worried about the impacts on future international trade.
President Donald Trump’s decision to withdraw the United States from the Paris Climate Agreement on Thursday has some U.S. industry organizations worried about the impacts on future international trade.
The U.S. Council for International Business (USCIB), for example, said it was “disappointed” by the president’s decision. “In our view, this decision could leave U.S. companies unprotected and exposed to possible discrimination under the Paris Agreement if the U.S. government is not at the table,” the New York-based group warned.
“The Paris Agreement is redefining global markets for energy and environmental goods and services, as well as providing major economic stimuli for companies. U.S. energy security and access were never threatened by the Paris Agreement, which allows each national government to define its own climate action plan. Moreover, the U.S. stands to benefit from trade and investment opportunities that the Paris Agreement will set in motion,” USCIB explained.
USCIB said it hopes the United States will remain engaged and continue to offer solutions to the global climate control debate.
“Multilateral forums and cooperative approaches are the best way to address the transboundary challenges of energy access and innovation, climate change and sustainable development,” the group said.
EU Climate Action and Energy Commissioner Miguel Arias Cañete called the U.S. withdraw from the Paris Agreement “a sad day for the global community, as a key partner turns its back on the fight against climate change.”
The Paris Agreement is a multilateral partnership between about 200 countries, supported by companies and communities worldwide, to address climate improvement.
The Trump administration remains unmoved by the negative comments to leave the Paris Accord, arguing the decision will ultimately benefit American businesses and workers.
Commerce Secretary Wilbur Ross said the climate accord is a “terrible deal,” which “imposes little responsibility on the world’s largest emitters, while costing the U.S. economy three trillion dollars in reduced output, six million industrial jobs, and three million manufacturing jobs.”
However, Megan Berge, an environmental attorney with Baker Botts, said “in many ways, whether or not the U.S. remains a party to the agreement does not significantly impact U.S. regulation of carbon emissions. The U.S. will still need to decide on its own approach to controlling domestic greenhouse gas emissions, whether through traditional command and control structures or through programs that properly incentivize GHG reductions.”
Trump’s Paris agreement departure troubles trade groups
