Trend Trade-linked carbon regulation makes climate capacity a core of industrial competitiveness

Summary

As the global climate crisis deepens, carbon neutrality has become a central agenda for the international community, and countries are strengthening mitigation and adaptation at the same time. The report cites the IPCC Sixth Assessment Report, which points to the rapid depletion of the carbon budget for 1.5 degrees and to climate disasters becoming routine. The EU Carbon Border Adjustment Mechanism enters full operation in 2026, and a US Clean Competition Act is under discussion. These moves show carbon regulation linked to trade taking hold. In that environment, capacity to respond to climate change is emerging as a key element of industrial competitiveness. For export-oriented industries, the report later proposes reviewing refunds of carbon border costs as part of a support package.