How the Baker-Shultz Plan Would Put America First
New research confirms that the Baker-Shultz Carbon Dividends plan would hold foreign competitors accountable for their emissions and put America first.
This stands in sharp contrast to the typical climate proposals coming from the left, which would hamstring the American economy, ship jobs overseas, and allow foreign countries to pollute without consequence. The UN agreements often championed by liberal activists rely, naively, on the hope that other countries will voluntarily doing the right thing. That will never work.
Instead, the Baker-Shultz approach would leverage America’s significant trade power to hold our overseas competitors—including China, Russia, and India—accountable for their emissions and force action.
By charging a pollution fee at the border on overseas goods, we would economically compel our biggest competitors to clean up their acts. What’s more, we would enhance US competitiveness, boost domestic manufacturing, and create jobs here in America.
That’s because the US has a significant carbon advantage over our trade competitors. Products made here in America are on average more than 3x more carbon efficient than those made in China and India and more than 4x more efficient than those made in Russia.
Therefore, assessing a fee on the carbon content of goods in the marketplace would give American products—which are cleaner and more efficient—a major advantage.
“The GOP recognizes that integrating climate and trade policy could produce a competitive advantage....It’s a realignment of political interests that brings blue-collar voters closer to the GOP”
In the steel industry, for example, foreign steel imports would be cut by up to 50%, with American steel production boosted in its place. According to an analysis by CRU Consulting—a well-respected business research group—sales of US steel would jump up as much as 9% and profitability up by as much as 41%. That means more jobs and economic opportunity here at home.
As George David Banks, who served as a climate and energy advisor to President Trump, outlined in a recent piece in the Washington Examiner, “The GOP recognizes that integrating climate and trade policy could produce a competitive advantage....It's a realignment of political interests that brings blue-collar voters closer to the GOP.”
With a strong conservative approach, we can tackle the climate challenge while also putting America first. That’s what the Baker-Shultz Plan would deliver.