Carbon Border Tax Can Create Protectionism: IMF Official (1)

A carbon border tax could lead to protectionism, and an international carbon price floor is a superior way to achieve emission reduction, a senior International Monetary Fund official said.

• “We are concerned that border carbon adjustment could create trade protectionism, could also be divisive, and could only target a small subset of the products we want to cover,” said Li Bo, deputy managing director of the IMF, at a virtual event organized by the Official Monetary and Financial Institutions Forum Wednesday
• The IMF is working on a proposal to promote a minimum carbon price for a small group of ...