Why We Have A
Carbon Advantage

Several factors drive America’s success
in low-emissions manufacturing.

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A competitive, market-based economy.

Our businesses invest huge sums of capital to reduce costs, including energy costs, so they can grow their profits and market share. At the same time, U.S. companies are facing growing consumer demand for cleaner products.

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A highly advanced economy.

Our manufacturers make–and use–higher-value and more efficient technologies across the economy. This includes everything from solar panels to well heads to microchips to gas turbines.

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Abundant natural gas.

Natural gas is about half as carbon intensive as coal. It’s a large source of energy for America’s power sector and an important feedstock for American manufacturers.

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A cleaner electricity grid.

The share of electricity generated from carbon-free energy is far higher in the U.S. than in many major economies. And it keeps growing.

Unlocking Our Carbon Advantage

With the policies to harmonize climate and trade, we can leverage this carbon advantage and reward U.S. manufacturers for their progress at lowering emissions. As efficient manufacturers become more competitive, they will displace imported goods made with higher emissions.

Our output from U.S. factories will climb, while the most carbon intensive imports will fall or disappear altogether.

With climate aligned trade policies, we can:

Favor American products and American jobs. Americans will buy more lower-carbon goods made in America–and fewer imported goods made with high emissions.

Hold 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.

Secure 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.

Put 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.

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