U.S. business warns Congress of "green trade war"

WASHINGTON (Reuters) – Leading U.S. business groups warned Congress Wednesday it could start a “green trade war” by passing a climate change bill that threatens other countries with tariffs on energy-intensive goods.

“We urge the Senate to refrain from including provisions that could negatively impact U.S. relations with key trading partners and disrupt the global trading systems,” the U.S. Chamber of Commerce, the National Foreign Trade Council and two other groups said in a letter to Senate leaders.

“Climate change is a global problem that calls for international cooperation, not unilateral ultimatums.”

Last month, the House of Representatives passed a bill aimed at reducing U.S. carbon dioxide and other greenhouse gas emissions blamed for global warming by 17 percent by 2020 and 83 percent by 2050.

The bill includes a “border adjustment” program that, beginning in 2020, would allow additional tariffs on carbon-intensive goods such as steel, cement, paper and glass from countries the United States believes are not doing enough to reduce the heat-trapping emissions.

Reuters