Trudeau Government Says It’s Open to Carbon Tariffs Amid Global Climate Push

“One has to look at it,” the minister said of Johnson’s efforts to forge an alliance on the issue. “My overarching answer to this is that we’re always going to be looking at it from the interests of Canada and to create that competitive advantage where it is.”
 

Johnson is expected to use his country’s G-7 presidency this year to win support for so-called carbon border adjustments. Ng’s comments indicate that Canada is, at the very least, open to the concept.

“This government is clear around our ambitions and objectives around climate change and I absolutely believe that trade and climate and the economy all are synergistic,” she said.

The European Parliament’s environment committee backed a resolution last week urging the European Commission to put a price on emissions from imported products by 2023.

The risk for Canada is global carbon border penalties could end up targeting the nation’s massive energy sector. At the same time, levies would alleviate some of the competitiveness concerns associated with Trudeau’s plan to increase Canada’s domestic carbon tax over the next decade.