STRATEGIC ANALYSIS

Energy-Related Border Trade Measures: Can They Lead to Trade Wars?

Shebonti Ray Dadwal is Consultant at the Manohar Parrikar Institute for Defence Studies and Analyses, New Delhi. Click here for detailed profile
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  • November 2010
    Volume: 
    34
    Issue: 
    6
    Articles

    Following the recent economic crisis, concerns over the revival of trade protectionism have surfaced, with some countries imposing or threatening to impose highly trade-distorting legislation to help their domestic industries compete in world markets, raising the spectre of a potential trade war. This paper looks at the attempts by some of the developed countries to introduce trade measures using the issue of climate change as a Trojan horse, to ensure that they do not lose out to the emerging economies. It also looks at the proposed legislations, and whether they are in conflict with international trade laws.

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