Our world faces a double threat: rising tensions and a warming planet. Some see technology as a villain, fearing disruption to established systems. This is leading to protectionist measures against green technologies, like solar panels and electric vehicles.
Green tech, often labeled “foreign,” is being excluded from markets through tariffs on import of solar panels and local content requirements. This stifles progress, even when costs decrease. Concerns about national security and industrial policy further hinder adoption.
We see this on multiple continents. Tariffs on solar panels and local content requirements in various countries, like those in India and the US, are indirectly blocking cleaner energy in favor of fossil fuels.
Electric vehicles are next. China’s rise as an EV leader worries other countries, who see affordable, clean imports as a threat because their advance technology in electric vehicles has brought Chinese EV models to the forefront in various continents.
There has been limited outrage so far over 25% tariffs imposed on Chinese vehicles by the Trump administration and an investigations have been launched by both Brussels and United States into potential unfair subsidies for Chinese cars and technology in connected vehicles. This highlights a troubling trend.
China must acknowledge that it can’t export its way to a healthy economy. Protectionism will only rise. The solution? All countries need to cooperate. Trade wars hurt everyone, especially in the fight against climate change. We can’t achieve zero emissions without working together.
Reference- Bloomberg story, Economic Times, Mercom India, Down To Earth, Business Standard