1、Trade:a catalyst for achieving the Paris Agreement Policy InsightsAdobe StockGlobal tradeupdateNO VEMBER 2 0 2 5KEY TAKEAWAYSTrade policy is a strategic driver of climate action.By lowering costs and expanding access to clean technologies,it can accelerate the global transition to low-carbon economi
2、es while also boosting exports.Trade in solar and wind technologies and their components is growing faster than other industrial goods.In 2021,exports of environmentally preferable goods such as biodiversity-based products reached$3.7 trillion.In 2023,non-plastic substitutes exports hit$485 billion.
3、In 2024,exports of other environmental goods reached$2 trillion.Increasing and diversifying exports in low-carbon industries can generate the revenues needed to fund the climate transition and meet Nationally Determined Contributions(NDCs)under the Paris Agreement.NOVEMBER 2025Global tradeUpdate2Pol
4、icy insightsWhat does trade have to do with NDCs?To effectively meet the goals of the Paris Agreement,1 Parties are required to prepare and submit updated nationally determined contributions(NDCs)every five years,aiming for the highest possible ambition2.These NDCs must adopt an economy-wide approac
5、h that integrates climate policy with broader national economic and development strategies.NDCs are not just climate pledges;they represent each countrys commitment to reduce emissions,adapt to climate impacts,and advance sustainable development.UNCTADs Guide for Policymakers on Trade Policies to Ad
6、vance National Climate Plans3 recommends designing mitigation policies that also deliver adaptation benefits and align with the Sustainable Development Goals(SDGs).This integrated approach can diversify economies,enhance resilience,and raise the level of ambition in emissions reductions4.In addition