It covers ten trade policy areas that governments could consider as part of their strategies to promote Sustainable
development and support UNFCCC-COP28’s climate mitigation efforts
| Major Trade Policy Tools | Actions |
| Trade facilitation | Speed up customs clearance, reducing Greenhouse Gas (GHG) emissions associated with inefficient customs procedures, etc. |
| Regulations and certification | Use international standards to avoid regulatory fragmentation when upgrading energy efficiency regulations |
| Import Tariffs | Accelerate transition to green economy by rebalancing tariff policies that may inadvertently benefit carbon intensive sector |
| Subsidies | Unlock additional resources to assist climate action by reforming environmentally harmful support measures. |
| Sanitary and phytosanitary measures | Protect economies from spread of disease and pests exacerbated by climate change by strengthening sanitary and phytosanitary systems. |
| Internal taxation and carbon pricing | Reduce policy fragmentation and compliance costs by improving coordination of climate-related issues etc |
Impact of Trade on Climate
- About 20-30 percent of total CO2 emissions, which account for most GHG emissions, are estimated to be associated with
international trade. - Sectors including energy and transportation account for more than 75 percent of GHG emissions embedded in
international trade. - Accelerate use of natural resources which in turn can increase pressure on ecosystems.
- Environmental damage e.g. Rise in palm oil demand led to clearing of rainforest in Indonesia.