Economic Impact Analysis of Carbon Tariffs Trading Policy on Chinese Exports

Abstract

As glaciers melting and sea level rising, the global warming issue is drawing more and more attention all around the world. In order to maintain climatic stability, some countries and international organizations advocate an alternative measure for the proposal of border tax adjustment(BTAs) which is carbon tariff, abating greenhouse gases emissions. This article mainly analysis the potential impact of carbon tariffs on Chinese exports. And main conclusions as followed: (1) Comparing with developed countries, developing countries suffer more negative effects.(2) In all industries, Mining industry, Metal manufacturing and Chemical industry are most heavily affected if carbon tariff were to universally impose, (3)and which might reduce the profit by over 520 million dollar if carbon price set at 40 $/t.