Accelerating Decarbonization through Trade in Climate Goods and Services

The report identifies 25 key climate technologies and a corresponding list of services that could be prioritized in trade negotiations to reduce global emissions. It argues that while tariffs on environmental goods are generally low, non-tariff barriers (NTBs)—such as technical regulations, local content requirements, and government procurement rules—pose more significant obstacles to the spread of green technologies. The document emphasizes the need for a 'just transition' that includes developing countries, noting that these nations often face higher tariffs and greater difficulty meeting technical standards. It recommends that policy-makers adopt 'living lists' of goods and services and pursue regulatory cooperation and mutual recognition agreements to lower costs and increase the availability of climate-friendly innovations.

• The report proposes a reference list of 25 key climate technologies across energy supply, transport, and buildings, as well as carbon capture and storage (CCS) and refrigerant management, to help policy-makers prioritize trade discussions.
• Non-tariff barriers (NTBs) are identified as more significant obstacles to climate technology trade than customs tariffs, with some estimates suggesting that combined NTBs and tariffs can result in protection levels ten times higher than tariffs alone.
• Technical barriers to trade (TBTs) create significant friction; for example, static converters, which have global exports worth approximately $60 billion annually, are subject to 523 different technical requirements across 61 countries.
• Local content requirements (LCRs) are prevalent in green industries like solar, wind, and electric vehicles, often appearing in government procurement despite evidence that 80% of investors in a 2015 survey disagreed that LCRs encouraged local investment.
• Trade barriers to climate-related services—including restrictions on commercial presence and the movement of professionals—lead to missed business opportunities for the sale of associated climate goods.
• Developing countries face specific challenges in the energy transition, including a lack of electricity for 759 million people globally, primarily in South Asia and Sub-Saharan Africa, and higher average tariffs on climate goods compared to developed nations.
• The report suggests that a trade deal focused on a narrow, actionable list of high-impact items could signal government commitment to climate action and be expanded over time as confidence and capacity grow.

APA

World Economic Forum (2022). Accelerating Decarbonization through Trade in Climate Goods and Services. https://www3.weforum.org/docs/WEF_Accelerating_Decarbonization_through_Trade_2022.pdf

Chicago

World Economic Forum. Accelerating Decarbonization through Trade in Climate Goods and Services. 2022. https://www3.weforum.org/docs/WEF_Accelerating_Decarbonization_through_Trade_2022.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=Accelerating Decarbonization through Trade in Climate Goods and Services |date=September 2022 |url=https://www3.weforum.org/docs/WEF_Accelerating_Decarbonization_through_Trade_2022.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2022accelerating, author = {{World Economic Forum}}, title = {{Accelerating Decarbonization through Trade in Climate Goods and Services}}, institution = {World Economic Forum}, year = {2022}, month = sep, url = {https://www3.weforum.org/docs/WEF_Accelerating_Decarbonization_through_Trade_2022.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }