Favors American products and American jobs. Americans will buy more lower-carbon goods made in America–and fewer imported goods made with high emissions.
BENEFITS
OF A BCA
U.S. climate policy should reward our
manufacturers for doing the right thing.
A border carbon adjustment (BCA) gives U.S. manufacturers credit for their progress at lowering emissions. As efficient manufacturers become more competitive, they will displace imported goods made with higher emissions. Output from U.S. factories will climb, while the most carbon-intensive imports will fall or disappear altogether.
“For example, when steel rebar is produced in America for the construction industry, it typically generates less than a quarter of the carbon emissions per ton than rebar manufactured elsewhere in the world.”
This means U.S. steelmakers will gain from a domestic carbon fee and border carbon adjustment, and that translates into more economic growth and American jobs.
SALES
up as
much as
PROFITABILITY
up as
much as
STEEL IMPORTS
down by
much as
Source: CRU International
America’s carbon advantage isn’t limited to steel. A range of sectors across the U.S. economy stand to gain.
And the list goes on…
The benefits for America don’t end there.
A BCA…
Holds other countries accountable. A BCA will apply pressure on major economies to fall in line with our policies or lose a share of the world’s largest market.
Secures valuable supply chains. A BCA will make the U.S. less reliant on imported goods made with high emissions and encourage companies to shift investment and production back to the U.S.
Puts the U.S. in the driver’s seat. The U.S. sets the rules to ensure they are transparent, enforceable and fair to U.S. industry.