ADDRESSING THE CLIMATE CRISIS AND SUPPORTING CLIMATE-RESILIENT DEVELOPMENT

This report, curated by the Forum on Trade, Environment, & the SDGs (TESS), is a compilation of 34 expert views exploring how the international trading system can support the Paris Agreement and climate-resilient development. It identifies critical synergies and tensions at the nexus of trade, climate, and sustainable development, focusing on clean energy transitions, green industrial policies, and the specific vulnerabilities of developing nations.

• There is a fundamental consensus among experts that the climate crisis cannot be effectively tackled without trade policies and international cooperation that are aligned with the objectives of the Paris Agreement.
• The proliferation of unilateral trade-related climate measures, such as the EU's Carbon Border Adjustment Mechanism (CBAM), has created competitiveness tensions and high compliance costs, particularly for developing countries and MSMEs.
• The International Maritime Organization (IMO) has set a goal for the full decarbonization of international shipping by approximately 2050, with a Net-Zero Framework expected to raise $10–12 billion annually in its first three years.
• Developing countries, particularly in Africa, risk remaining trapped as raw material exporters of critical minerals unless they can leverage trade and investment frameworks to achieve local value addition and green industrialization.
• The 'powershoring' strategy involves relocating energy-intensive industries to regions with abundant and competitively priced renewable energy to achieve rapid, low-cost emissions reductions.
• The EU's Ecodesign for Sustainable Products Regulation (ESPR), effective July 2024, introduces performance and information requirements (including Digital Product Passports) that may act as non-tariff barriers for exporters to the EU.
• Analysis of trade data since 2017 shows a 'echo' effect where subsidy awards or import curbs by major economies (China, EU, USA) typically trigger similar responses from others within 6 to 24 months.
• The African Continental Free Trade Area (AfCFTA) is highlighted as a critical tool for reimagining trade as a development instrument to support food sovereignty, climate adaptation, and regional value chains.
• Proposed initiatives for the global food system include 'Codex Planetarius', a system of minimum environmental standards for food trade, and a '1% Fund' environmental fee on food commodity exports.
• There is a significant gap in climate finance for adaptation; while total climate-related ODA peaked at $93.4 billion in 2022, adaptation finance has historically been underfunded compared to mitigation.
• The 'Aid for Trade' (AfT) initiative is identified as an underutilized lever that could be 'greened' to support climate-resilient infrastructure and green trade facilitation.
• The Brazilian COP30 Presidency has proposed the 'Integrated Forum on Climate Change and Trade' (IFCCT) to bridge the gap between the WTO and UNFCCC and foster a shared language on carbon accounting and climate criteria.

APA

Forum on Trade, Environment, & the SDGs (2025). ADDRESSING THE CLIMATE CRISIS AND SUPPORTING CLIMATE-RESILIENT DEVELOPMENT. https://lyrical-cormorant.files.svdcdn.com/production/assets/images/Publications/Synergies-Compilation-Climate-and-Trade.pdf?dm=1769160083

Chicago

Forum on Trade, Environment, & the SDGs. ADDRESSING THE CLIMATE CRISIS AND SUPPORTING CLIMATE-RESILIENT DEVELOPMENT. 2025. https://lyrical-cormorant.files.svdcdn.com/production/assets/images/Publications/Synergies-Compilation-Climate-and-Trade.pdf?dm=1769160083.

Wikipedia

{{cite report |author=Forum on Trade, Environment, & the SDGs |title=ADDRESSING THE CLIMATE CRISIS AND SUPPORTING CLIMATE-RESILIENT DEVELOPMENT |date=December 2025 |url=https://lyrical-cormorant.files.svdcdn.com/production/assets/images/Publications/Synergies-Compilation-Climate-and-Trade.pdf?dm=1769160083 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{forumontradeenvironmentthesdgs2025addressing, author = {{Forum on Trade, Environment, \& the SDGs}}, title = {{ADDRESSING THE CLIMATE CRISIS AND SUPPORTING CLIMATE-RESILIENT DEVELOPMENT}}, institution = {Forum on Trade, Environment, \& the SDGs}, year = {2025}, month = dec, url = {https://lyrical-cormorant.files.svdcdn.com/production/assets/images/Publications/Synergies-Compilation-Climate-and-Trade.pdf?dm=1769160083}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }