When trade turns into war, the planet is the loser - OPINION April 15, 2025

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When trade turns into war, the planet is the loser

How can we save the planet if the countries that pollute the most are in a trade war over solutions that could curb the climate crisis?

In recent days, the United States has reignited the dispute with China by increasing tariffs on strategic products such as electric vehicles, semiconductors, batteries, and steel. On a planet that desperately needs to accelerate its energy transition, this decision is more than a trade war: it is a climate step backward.

Instead of agreements that facilitate access to sustainable technologies, we see barriers, taxes and political disputes stifling green innovation. And the impact goes far beyond Washington and Beijing.

When the world needs to accelerate its transition to a low-carbon economy, we are seeing a reversal of priorities. Instead of international cooperation to expand access to clean technologies, what we see is a scenario of disputes, punitive tariffs and economic nationalism holding back the advance of global sustainability.

The invisible price: who loses?

It may not seem like it, but decisions like this directly affect communities in the Global South. Countries like Brazil - with enormous potential in clean energy and the bioeconomy - still face difficulties in accessing technologies and investments precisely because of this global instability.

While on the one hand the world needs more batteries, solar panels and electric cars, on the other we see punitive tariffs against those who are trying to lead this change.

And the paradox only increases: by 2023, the world had allocated more than US$7 trillion in subsidies to fossil fuels, according to the IMF. Meanwhile, products that decarbonize the planet are being taxed and stopped.

ESG for the show?

This scenario exposes an uncomfortable contradiction: companies and governments say they are committed to ESG, but in practice, they block the entry of sustainable solutions. How can we trust reports that talk about governance when geopolitical decisions put the energy transition at risk?

The economic instability created by these disputes puts the brakes on investments, paralyzes projects, delays legislation and, above all, keeps solutions away from those who need them most. Energy exclusion, pollution and food insecurity continue to impact millions - and could be mitigated with international cooperation.

The world needs to align climate and trade agreements, penalizing polluting products and facilitating access to clean technologies, especially in developing countries. However, we see the opposite: barriers on sustainable solutions, while fossil fuels still receive billions in subsidies. The climate crisis is advancing without waiting, and every delay is costly - in emissions, extreme events and lives.

If we want to build a sustainable future, we need to stop treating sustainability as a detail and put it at the center of economic and diplomatic decisions. Either we learn to cooperate, or we will (continue to) heat up together. And fast.

With gratitude, 🌿🌍

Anna Luisa Beserra

Founder, Sustainable Development and Water for All

LinkedIn: Anna Luisa Beserra

SDW: Sustainable Development & Water For All