Abstract
This paper simulates the effect of a carbon tariff on China’s trade of industrial products and emission reduction through the GTAP 8.0 model, when the European Union, the United States, and Japan impose a carbon tariff simultaneously or respectively. The conclusions indicate: (1) a carbon tariff will cause a decrease in exports for high-carbon industries and generate an increase in exports for low-carbon industries; (2) a carbon tariff will cause a greater reduction on imports for low-carbon industries than that for high-carbon industries; (3) a carbon tariff will also generate a noticeable increase in output for light industry and a decrease in output for heavy industry; and (4) a carbon tariff has an obviously positive effect on emission reduction for China’s industrial sector, which bears the most responsibility of emission reduction. Based on these conclusions, this paper puts forward some corresponding policy suggestions.
Highlights
The 2015 United Nations Climate Change Conference (COP 21) held in Paris negotiated the Paris Agreement among 196 parties all over the world which, once again, puts climate issues in the background of international cooperation and controversies
Springmanna, by using the marginal cost curve and global energy economy evaluation model, simulated the influence of carbon tariffs and the results showed that carbon tariffs may help to finance $3.5–24.5 billion for clean energy development and reduce by 5–15% carbon emissions for developing countries
Mathiesen and Maestad, by using the partial equilibrium model, studied the steel industry and the results showed that a carbon tariff would cause a dramatic decline in carbon emission for the global steel industry
Summary
The 2015 United Nations Climate Change Conference (COP 21) held in Paris negotiated the Paris Agreement among 196 parties all over the world which, once again, puts climate issues in the background of international cooperation and controversies. The parties made a consensus of pursing efforts to limit the temperature increase to 1.5 ◦C [1], and the agreement calls for greater worldwide efforts to reduce greenhouse gas emissions. China made its commitment to the Copenhagen Climate Summit that it would make efforts to reach its goal of cutting CO2 emissions per unit of GDP by 40–45% from the 2005 levels by 2020 [2]. Considering the serious situation economic development in China, there is still a long way to reduce greenhouse gas emissions, as well as the carbon intensity. According to data from the IEA, China became the country with the largest CO2 emission in the world in 2007 (Figure 1). Stoa,rihffoiws immupclehmimenptaedct, idtowesill tbhreingcaprbroofnoutnadrififnflimuepnocseeonongloCbhailnCa’Os 2teramdiessioofnsinadnudsttrraiadle pstrroudcutuctrse. aSnod, hcoawrbmonuchemimispsiaocnt dreodeusctthioenc?arWbohnattarkiifnf dims poofsemoenasCuhriensa’csatnratdheeogf oinvderunsmtrieanltpraondducetnstaenrpdricsaersbotankeemtiossidoenalrewduitchtiothne? Wnehgaattikviendinsfolufemnceea?suTroesacnasnwtehrethgeosveerqnumesetniotnasn,ddeeenptesrcpireinsetisfitcakreesteoardcehaliswniethcetshsearnye.gative influence? To answer these questions, deep scientific research is necessary
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